How To Develop Self Discipline With Your Money
Wouldn’t it make your life a hell of lot easier if you just followed through with your money and resisted the various temptations that come your way?
Our current marketing world makes it 10x’s harder to say no, delay gratification, and follow-through. We even have our friends and family continuously marketing to us.
It’s hard out here, but plenty of people are still reaching their financial goals year after year and have a wealthier future. They aren’t superhumans or super-rich, they are regular people like you and me who are financially disciplined.
They know what they have and what they want and have gone after it full force.
Today I am going to show you how to gain financial self-discipline in a 3 phase process + loads of tips and tricks to try on.
Let’s start by defining self-discipline.
What is self-discipline with your money
The definition of Self Discipline is the ability to control one’s feelings and overcome one’s weaknesses; the ability to pursue what one thinks is right despite temptations to abandon it.
When you add money to it, you gain the ability to control your feelings and weaknesses about money and do the right thing with your money despite temptations.
So money discipline requires control of your feelings and your weaknesses.
That is what we are going to deal with today.
Why have self-discipline with your money
Self-discipline with your money gives you the results you want and need with your money.
Results that are for your future good.
Self-discipline with your money allows you to reach your money goals. From there, your wealth is elevated and you can further impact your world.
Money is not the end all be all, but it allows you to make a huge impact in your life and in the lives of others.
Self-discipline with your money keeps you out of money struggle and overwhelm.
I love struggling with money said no one ever!
Continuously putting yourself in money stress is not fun and all of it catches back up with you in the worst way and at the worst time.
Elevate from that type of living by staying disciplined with your money.
How to have self discipline with your money
Self-discipline is an agreement with yourself and your values. Once you agree to how you want to live your life and handle your money, following through is your respect of that agreement.
No matter what is tempting you. No matter what excuse is available.
Because discipline can only hold out for so long you will also need fall back plans to strengthen your weaknesses and set up money automations so you can put your sole focus on your discipline.
Once you have the agreement and the plan, all you need are small pushes towards your end goal to stay the course.
Create the Agreement With Yourself:
The agreement you are making with yourself requires layers of discipline for it to stick.
You can’t just say I want to be disciplined, you have to take action along with your words.
The first thing you should do is think like a financially disciplined person.
Use your imagination and come up with your ideal financial life.
- How much money do they have in savings?
- What type of activities do you do?
- What do you think about regularly?
- How much money do you make?
- How much do you spend?
If you really want to make this stick do a vision board with magazines and printouts.
Now we are going to do the uncomfortable part. Think about all the things you do now or do sometimes that sabotage your ability to become that person and have that amazing financial life.
Ask yourself is this worth it? I’m more than sure the answer is no.
Since you now see where you want to be and what is stopping your from becoming that person you have completed phase 1.
Awareness is a beast, but it’s the first step towards freedom.
Create The Money Plan:
A plan will keep you focused on the future financially disciplined you. You will have a reason to stay disciplined and a clear path to follow.
You can easily lose discipline if you don’t have clarity on what to do next, a plan will make sure you don’t have that excuse.
Your job is to work your plan and follow through!
Goal setting and a Big Why are crucial steps in your money plan
1. Set Goals
For a plan to come about you gotta have some money goals. When it comes to money I like to set 1, 3, and 5-year goals. Usually, the 1 and 3-year goals are connected to the 5-year big goal.Example Financial Goals:
Pay Off Credit Cards
Pay off Car Loan
Pay off Student Loans
Become Debt Free
Now break down each goal monetarily and create tasks to reach each financial goal.
For example: If your year one goal is to pay off $10,000 of credit card debt.
- Every Month You are Paying $833 or Every Quarter You are paying $2500
- Every biweekly paycheck is $411.
- If you don’t have that in your regular budget after optimizing your expenses ( lowering bills, eating in, having an allowance) and setting it up ReEducated lifestyle. If you still don’t have it, you will need to plan in a side gig or part-time job or cash flow to reach your targeted amount.
- Each month recalculate your money based on if you followed through with your plan and keep optimizing until you reach your goal.
This plan is on point and gives you a clear path to success, plus allows for wiggle room if you don’t meet the monthly income you can meet the quarterly. Make a plan following the example above.
2. Your Why
Your why is the bigger reason behind all your goals. This can be financial freedom, to give more time to causes you love, or to impact 1000 people in this world.
Whatever the case, it needs to be a burning desire that you won’t give up when things get tough and fulfill something you feel called to do. I personally believe your calling keeps coming to you even when you don’t feel like you have the talent or the time. It shows up and pushes you to follow thru.
This gives you a bigger reason to stay disciplined and will light your discipline fire when things get dim.
Know Your Weaknesses and Temptations
You can’t just plan for the good you gotta plan for the bad too.
Write down a list of your money temptations.
Next to each one write down when and where you encounter them.
For example: Whenever I go by Trader Joes I have to go shopping and it blows my budget. I go by it every day on my way home from work.
Lastly, you need to find a solution to fix each temptation.
For our example I would go another way to work and have my Trader Joes fix once a week for a while, then once a month for a while, and then once a quarter for a while. I would plan my trips and go with a friend who will help me stay on budget.
The biggest point is not to deny yourself what you want, but to let the habit die off on its own. The long stretches of time let your mind know that this is not a need for your survival, but is just a strong want. Eventually, you will get control of it.
Automations make building good habits easy. They take a little bit of set up time, but once they are good, you literally can let the automation fairies do all the work every paycheck.
My Budgeting Blueprint is an automation ninja! It tells you exactly how to set you your accounts so that you reach your money goals in no time while keeping your temptations limited.
It’s the exact method I use to pay off my credit cards in 7 months ( 1 year early) and my car loan in 2 years ( 3 years early).
Set your money up for financial success. Download it below!
Stay Motivated: The Push
- Read one personal finance book a quarter
- Follow financial gurus on Instagram and check their stories and post once a day- Follow me here!
- Listen to finance podcast weekly -Debt free screams are really motivating
- Reward yourself for your big and small money steps in the right direction
- Check your freedom numbers frequently: Your net worth, financial independence number, and your financial freedom number.
Extra Tips For Success:
1. Credit cards
- Cut them up
- Freeze them
- Give to a friend
- Remove from online sites
2. Use the envelope system with your money: Take all money out of your account and place into categorized envelopes when the money for that category is gone it’s gone until your next paycheck. The Money Shift Action Plan recommends this as your first budget when you are living paycheck to paycheck or our struggling with your money.
3. Do a savings or money challenge: Get motivated to save or stick with a habit by doing a a 30 day challenge. You can either have a challenge that you post to your Instagram stories or wall for others to see and keep you accountable or do a group challenge with friends or a Facebook group.
4. Use the 48 hour, 7 day, 30 day rules: When you want to buy something use these rules to keep your emotions and bad habits in check. Implement a 7-day rule for online small purchases. A 30-day rule for online big purchases. And a 48-hour rule for in-store purchases. If you see something you like at the store or online take a picture or add to cart/list, but do not purchase until you have waited and assessed for the set amount of time. These give you time to shake your emotions and think clearly. It also gives you time to see if you really need it in your life and that it fits your budget. Then you can make the decision logically instead of emotionally.
5. Have a fun money fund or an allowance for your money: This was such a key step for me when I first started managing my money because it gave me a spending stopping point. I didn’t feel caged in because I made sure It was just for treats while I went after my money goals. You can learn more about that in The Money Shift Action Plan.
6. Calendar Your Money: Plan all your money for the year ahead of time and check that plan every month. This means racking your brain for all the things you usually do and plan on doing for the year and budgeting for them with sink funds. Total game changer.
My Last Two Cents:
Following the steps above will help you stay disciplined with the money you work so hard for and help you become your ideal financially disciplined self in no time.
If you need any help or need clarification on a point above reach out to me on Instagram @ReEducatedMoney
If you need more help with becoming financially disciplined, start your ReEducated Money Journey below.
Good luck and remember the little steps always count!