What to do when you track your expenses and are off budget ? To solve any problem you have to first identify the root cause. Determine the cause of the problem and employ a strategy that will adequate address it. Then take action and go to work on the strategy.
Work through these steps and strategies to troubleshoot when going off budget.
Identify the cause
It could be a lifestyle issue, it is more often than not.
Many adults confuse needs for wants. They feel luxury items, like a new handbag or new shirt, are things they really need. They give themelves excuse, they say that they just got a promotion and need to look the part, that their social status has changes and they need bag to without realizing that true millionaires do not really have the nee to get expensive bags to impress people.
Some people feel they need a fancy car to impress clients or else they wont get the business they desire or impress the client enough to get a contract. Such deep seated desires are basically humans with emotiponal triggers of joy that come from luxury items, wants and desires. Their minds tell them that they need those things, but they are basically wants. People with strong personalities and great powers of persuasion sometimes convince themselves that the lifestyle they cannot affod is something that they cannot afford is something that they need, that it is necessary and not just something they want.
In a child these types of desires are formed by some sort of lack in their lives and need for validation. They are compensating for this lack with material things.
This is why chapters one and two are of great importance. We need to avoid having our emotion asuransi jiwa mess up our financial plan. Most people, children included, are driven by emotions. The key is to manage them and exercise control, not letting our emotions control us. Our children need to be taught this at very early age. Our children need to learn that giving in to wrong emotions has bad consequences for them and it is not tolerated. This enables them to understand boundaries, and allows them to find better ways to express themselves.
Impulse buying is one of the main reasons people do not achieve financial goals. To control impulse buying, people need to understand how to brutal about their needs and wants. It also helps if our mindset is one of most importance things for ourselves and our children to cultivate assets, opur mindset and our children mindset are in the right place. This too can become addicitive like a game. Start your children investing with you early.