Quick Links | Women & Finance

10 Daily Habits Of Debt-Free People

Here are 1o practices that the most mindful money mentors practice to become and stay debt-free:

Set daily intentions.

This is so easy to do but even easier not to do. If we’re not careful, months and even years can go by without a clear sense of direction. It’s too easy to be left feeling victimized and wondering where the time has gone. To be debt free, start each day with clear intentions. Your daily intention should absolutely include being mindful with money. Bonus points if you’re even more specific like having a daily goal to create a certain amount of extra cash flow (above and beyond what your business brings in).

Limit cards.

The trick is to limit your cards but choose them wisely. It is very likely that you are not maximizing all the benefits and perks of your current credit card. Read up on all the benefits included with your credit card, and make sure you are reaping for the spending you do.

Prioritise your own well-being.

Keeping up with your Instagram-famous neighbor or best friend who is really in financial distress isn’t a smart strategy for money-making or happiness. Whenever you are in a season of spending or anxiety, take a long walk and have a meaningful conversation with yourself. When we binge spend or forget that stuff won’t bring us happiness, we just need a little moment to take a deep breath and remember that we disconnected from nature for a second. It’s all good.

Keep liquid assets handy.

Liquidity. It is very important that you always have access to cash should you need it. Assets are amazing and so important to growing your net worth, but having fast access to cash is crucial. How “liquid” are you today? If your heart is pounding while reading this, write out 10 ways you could start generating more money today! Remember not to let junky debt linger. Act on it now. As you step up your liquidity game, fast-track removing that heavy debt from your world with a loving sense of urgency.

Have a vision and execute it.

Make choices today that will benefit you in 10 years. When we live paycheck to paycheck and forget about the big picture, we end up in the same stressful situation at retirement. Making choices today that benefit your friends and family or make your parents happy aren’t always the wisest legacy choices where you are concerned. The trick is to train your brain to think like a visionary and learn to make little choices today that are more in alignment with long-term success. Write a letter to yourself dated five years from today clearly describing everything you do want—most people focus way too much on what they don’t want.

Keep things as simple as possible.

When life gets messy, so does our money. We lose sight of our spending and our money management. Keep an eye on your daily money activities and make sure to be never too busy to sort receipts, pay bills, and manage each bill with respect and diligence. Don’t procrastinate on managing money well.

Have more than one income stream.

When we rely on only one income stream, we have a higher tendency to live from a place of fear. It is smart financial practice to have multiple streams of income.

Understand and value the relationship between time and money.

Debt-free people understand that the two ways to create great wealth are money and work and people at work. The trick is to find your own sweet spot in life. For example, housecleaning may be a priority for you but it is not the best use of your time, try to find a balance in the things you must do but do it in a way that it does not swamp you. This free time can go into revenue generation activities which will greatly increase your cash flow. The result will be learning to leverage that extra cash flow and begin experiencing the leveraging power of money at work.

Check finances weekly.

Schedule a date with yourself (or for you and your partner) each week to review your money and gain greater clarity on your true desires. Make your weekly money meeting joyful, simple, and cozy.

Know where every rupee is going.

Online subscriptions, internet purchases, hidden transaction fees, bank fees, and memberships you don’t use are some examples of where you may be leaking money. Debt-free beings have their eyes on their money output on a very regular basis.