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Don’t Be Afraid: Face Your Financial Fears
By Molly's Brother | May 26, 2006
My aim of writing this blog is to demystify the world of personal finance. Too many Americans are afraid to take control of our spending habits and to start saving or investing money. Rather than face our anxieties related to our individual financial situation, what do we do? We run from them, hide from them, and ignore them, hoping that without constant and decisive action everything will just work itself out in our favor. Although a nice thought, it will not ultimately work out that way. Unfortunately.
When we do try to take a stab at getting on top of our personal financial situation, some of us become overwhelmed with the idea of finding extra money to save or invest and our lack of understanding. My goal is to help you realize that you can do it. You just need to start right now.
I know a woman who is in her mid-60s. Wonderful woman. Beautiful lady. Warm, sincere, genuine, friendly. But she’s screwed financially. Totally, completely, utterly, undoubtedly screwed. Due to an injury a few years back, she landed in the hospital and–you guessed it–she didn’t have health insurance. That injury temporarily forced her out of the work world. At least, she thought it was going to be temporary.
Face your future by facing your financial situation now.
A long hospitalization combined with a prolonged period of convalescence caused her to lose her job. At her age, she couldn’t find another job. She soon ran out of any cash she had stowed away in retirement and bank accounts. Once that was gone, she maxed out her plastic before she knew it. Then there was a fire in her apartment which prompted an unplanned move to another–slightly more expensive–apartment. And now she is facing eviction from this unit because the owner just sold the complex and it is going to be torn down and converted into–you guessed it–condos.
Such is the way of the world, I guess.
It could have been her fear that kept her from facing her financial future, I don’t know. But this should serve as a cautionary tale to all of us. Face your future by facing your financial situation now.
Rather than face our anxieties related to our individual financial situation, what do we do? We run from them, hide from them, and ignore them, hoping that without constant and decisive action everything will just work itself out in our favor.
When starting to build your savings putting money away in your 401(k) or your 403(b) or your IRA, you might find that you don’t understand everything. All you have to do is ask. Do your research. Or you might find out that you have made some minor mistakes. Don’t worry. Chances are you will. Once you do, correct these immediately. And learn from it so you don’t make the similar mistake down the road.
You don’t have to be a pro at this. Honestly, you just have to do it. And, regardless of your age or your income, you have to start and you have to start NOW.
Topics: Deep Thoughts, Insurance, Your Budget |