Electronic bill payments, automatic savings and deductions from your paycheck and online financial software can all provide new efficiencies to your personal finances.
In each of the steps leading up to this one, you have been introduced to new tools and resources that teach you how to better manage your finances and reduce your debt.
It's important that you use each of the tools we've provided thus far (ie. record labels, personal financial statement, daily cash flow statement, household budget spreadsheet and cash envelope register template) in order to fully grasp the concepts and develop the financial expertise that is necessary in order to be successful.
At the same time, you are encouraged to be begin seeking out new ways to streamline your personal finances. Today's technology is simply amazing and it would be a mistake not to take advantage of it's efficiencies.
"There are two ways of paying debt more quickly:
Increase production through greater efficiency,
and increase thrift to lessen expenditures."
- Based on quote by Carlyle |
Consider using the following options for automating your financial tasks and priorities:
- Electronic Bill Payments - Stop paying your bills using a check. Save the time and hassle, and the costly stamps! Sign up for a Bill Payment service with your Bank. Some banks offer bill payment services free to their customrs so shop around.
- 401k & Retirement Savings - Save money pre-tax by having some percentage of your income automatically deducted from your paycheck and deposited into your retirement account of choice.
- Checking w/Auto Save - One of the new trends in banking is to provide clients with an automated savings option when they open a checking account. For example, Bank of America has received great reviews on its "Keep The Change" program, which automatically rounds up all purchases to the next whole dollar. The extra change is deposited into a savings account. This method was mentioned in Step Seven, but required you to do it yourself in your checkbook. Here the process is totally automated! Banks are getting more creative so be sure to ask your own Bank what they can offer to assist you in your savings efforts.
- Online Banking - In addition to offering electronic bill payments, online banking provides the ability to automatically categorize your income and expenses, creates monthly reports, online check payment services - and it should also allow you to schedule automatic reminders.
- Electronic Statements - Most utility companies now offer customers the option of going paperless. Stop the flood of paper statements. Instead, access statements online. You can also sign up for monthly electronic bill payments with your utility companies.
- Create Multiple Sources of Passive Income! - More details on this during Step Ten.
Just think about how much time you can save once you have automated much of your monthly financial tasks. Add up how you will save in a year by making electronic bill payments - stamps will only continue to rise in cost!
By automating the flow of your money you will also reduce the amount of stress you feel over financial matters. You won't feel guilty for not saving enouch because you know it's already taken off the top - Pre-Tax! Now that's a smart use of your money.
If you're not sure where to start, go to your local Bank and ask them to educate about online banking, electronic bill payments, automatic deductions, etc. Your Banker should be very knowledgeable about these matters - if he's not, then find another Bank.
Surround yourself with knowedledgeable professionals. These folks should be focused on "your needs", not the needs of their Bank's bottom line. Don't let them just sell you anything. Make sure you understand each product and service - then you decide.
For instance, it shouldn't cost a hefty fee for electronic bill payments. The Bank saves money when you use online bill payment services because they no longer have to process the paper checks - so the fee should be small - small enough to be much less than the cost of stamps for the month. Take time to doo the math!
The more you educate yourself about financial automation options, the more time you'll have available to focus on the more exciting parts of our program. Like how to make more money!
Where Are Your Best Chances?
In concentrating on one unwavering aim - like becoming debt free!
In taking the time and trouble to put all you've got into achieving your goal.
In doing the important things with force and originality, not simply hope and dream they will happen.
In committing to high ideals, while also being willing to sacrifice in order to live up to them.
In never allowing doubt to creep into your mind when obstacles arise. There is no smooth road to success.
In being able to conquer fear, maintain faith in God and confidence in yourself - always.
In having the instinct to minimize difficulties in order to quickly go on with overcoming them.
In continually expecting great things of yourself and being willing to make extreme efforts to realize your goals.
In knowing that despite any poor or tragic circumstance, every man, woman and child has within them the possibility of a grand and prosperous life.
In clearly understanding the motto:
"I will be, what I will myself to be."
Based on "Success Nuggets" by O.S. Marden |
I love that last line! It drives home the all-important point that our success depends solely on the choices we make. Not other people's choices - our choices alone determine our destiny.
Check out the following books for more ideas on automated your finances and finding your inner reserves to meet any obstacles that come your way:
Back to Step Eight Go to Step Ten
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Debt is NOT your friend. It's not a wonderful "tool" for building wealth. That's a myth.
