Spring cleaning your finances

It’s springtime. After months of gray skies, the sun is peering through the clouds and the flowers are blooming. Spring is the best time to get re-energized about your money goals and take big steps to achieve them.

There’s a reason why spring cleaning is something that your grandmother and mother practiced religiously every year. The season is the perfect time to let go of the old and make space for the new. When it comes to money, this is the time re-evaluate what is working and release patterns that no longer serve you in order to invite abundance.

Ready to do some major spring cleaning on your finances? Here are 10 steps to take.

1. Clean out your closet. Nothing says you are ready for an upgrade in your life than getting rid of clothes. Go through your closet and pack up the articles that no longer fit or just don’t inspire you. You can donate them or, with the gently used items, send them off to thredUP so you can get paid!

2. Review your money goals for 2018. Take a look at the goals you set back on New Year’s Day and reflect on your progress. Is there anything that needs to change or be updated? If you realize that some goals may have been overly ambitious - that is ok!  Life happens. Now you can adjust them to something that is more attainable. Otherwise, keep going for that big, bold, audacious goals.

3. Set goals for this quarter. If you are a blogger and business owner, how many pieces of content do you want to create? How many brands do you want to work with and how many clients do you want to sign up? When you write down your goals, don’t forget to include your savings and investing accounts totals. How about increasing them by 25% this quarter? You can do it!

4. Review your bank accounts. Check the fees you’re paying on your various accounts and if you are maximizing your earning potential. One account that most people overlook is their checkings account. Many banks charge a fee to hold an account or do not offer an opportunity to earn interest. With a Radius Bank’s hybrid checkings account, you can earn 0.85% APY* on your balance. It’s an incredible product and an easy way for you to make money on that money. Get it, girl!

5. Tidy up your bookkeeping. Like a clean closet for your clothes, your bookkeeping is the closet for your money. And nothing says you care more about your money than a fresh set of books. Whether you use Excel, pen & paper, or a digital bookkeeping program (we highly recommend going with an app!), make sure everything is up to date and in order.

6. Re-evaluate your life. This may seem a little dramatic, but we all have a little drama queen in us. And it’s necessary. Take note of how you are spending your time, who you are spending it with and if it is in alignment with the vision you have for this season of your life. It may be time to let some people go or remove activities that are not getting you to where you want to be, financially.

7. Calculate your net-worth. Your net-worth is your assets minus liabilities. We talk a lot about this at Money & Mimosas because it is the true indicator of your personal wealth. Compare it to your net worth from three months ago, and set a goal for this quarter.

8. Review your business and make adjustments. Are you happy with all of the services you provide? Is it time to let go of clients or proactively seek out new ones? Listen to your intuition and make the changes you need to make.

9. Clear your money energy. As Erykah Badu says, you gonna hurt your back carrying all them bags. Many of us are holding on to resentment and anger against ourselves for past money mistakes. Practice some self-forgiveness and self-compassion exercises to let that ish go.

10. Refresh your money mindset. After you’ve cleared the air, now you can dream. Take 10-15 minutes to imagine the grandest life possible for yourself. Who are you hanging out with? What are you wearing? What are the sights and sounds you are experiencing? The types of food you are eating? Hold on to that vision of yourself and operate from it during this beautiful spring season.

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This post was in partnership with Radius Bank.

*Annual Percentage Yield (APY) is accurate as of 04/18/2018. Minimum amount to open account is $10.00. Rate tiers are as follows: 0.00% APY applies to balances of $0.01-$2,499.99, and 0.85% APY applies to the entire balance on balances of $2,500 or more. Rates may change after account is opened. Fees may reduce earnings.

The secret to paying off your debt faster

If you are like the majority of Americans, you have a mound of debt that you are eager to pay off. In fact, the New York Federal Reserve released a report that the total household debt for Americans reached $12.73 trillion in 2017, surpassing the 2008 peak. Yikes!

From student and auto loans to credit cards, the increasing level of debt is a source of anxiety for many. According to the Prosper Marketplace Financial Wellness Survey, 44% of Americans rank debt relief as a top priority for improving their financial standing. Companies like Prosper can help you get your finances back on track by consolidating your debt, so that you can sleep better at night.

Paying off your debt is one of the first steps to achieving financial wellness. And while we all know to spend less than what we earn in order to pay off our debt, it may often feel as if this is easier said than done. As a financial coach, I have worked with hundreds of individuals and have helped them pay off nearly a half million dollars in debt.

One of my clients had over $70,000 in debt that she had been accumulating over the past fifteen years. Within one year of working with each other, she was able to pay it all off. We did this by slightly increasing her earnings and, more importantly, we worked on shifting her mindset. Because when it comes to finances, there is a little known fact that most financial advisors may not have shared with you. In order to experience a shift in your financial situation, you must have a mindset shift, first.

No matter where you are on your financial journey, it is important to remember that having a positive mindset is the key to getting to your next stage of financial wellness. And who better to know the connection of a positive mindset and financial wellness, than Oprah Winfrey.

“The great discovery of all time,” Winfrey once said on her TV show, “is that a person can change his future by merely changing his attitude.”

And sometimes, as Winfrey says, it’s our own mindset that’s blocking the path forward.

When we have debt that continues to haunt us, we become frustrated and often spiral into negative thinking. You may say phrases such as “I am bad with money” or “money doesn’t grow on trees” or “being broke is just the way my life is”. These thoughts turn into beliefs that are sabotaging your ability to pay off debt.

Imagine that you were talking to a young child and trying to teach her how to do long division. The first few times, she may get the answer wrong or take a long time to figure out how to do the problem. Would you yell at her to hurry up? Or tell that she is stupid for not getting the problem right? Of course not! You would gently show her a few mathematical short cuts. And encourage her by saying that she is smart and good at math. Why? Because no one is motivated by shaming or negative talk.

The same holds true for you. In order to pay off your debt, you have to encourage yourself throughout the process. You are not doing yourself any favors by beating yourself up and having negative thoughts. The key is to remain positive and become your own biggest cheerleader.

As you work on paying off your debt, here are five steps you can take to improve your money mindset.

Step #1: Write down all of the money mistakes you have made on a sheet of paper.

Step #2: Grab another sheet of paper and write "I forgive myself for ..." followed by each mistake.

Step #3: Go to a mirror and read the second sheet of paper out loud to yourself. Look yourself in the eye as you say, "I forgive myself for..."

Step #4: And then, tear each sheet of paper into a million pieces. Because the past is over. And now it is time to move on...to a much brighter future.

Step #5: Repeat these steps daily until you pay off your debt.

Now we'd love to hear from you! Is paying off debt one of your financial goals? If so, why is this important to you? Leave us a comment below.

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This post was sponsored by Prosper.