A New View on Wellness

By on June 12, 2013 in Financial Wellness

MONEY – it’s a word that strikes fear in the hearts of many however it doesn’t have to be that way.

Even worse than the word money is the word BUDGET. It’s like the swear word of money. This one word sends people into a state of financial overwhelm unlike anything else that I’ve seen.

So when people talk about wellness, I find it ironic that financial wellness is often overlooked. Financial stress and overwhelm runs like a virus in your mind subconsciously impacting how you show up at your job and in your life, and many people carry this stress and overwhelm like an unwelcome sack of financial waste on their back. When people don’t feel financially well, it only adds to the mental, emotional, and physical wellness challenges that they may already be experiencing.

What do you think all of that is doing to your mind, body, and soul?

The world that I live in and see every day includes people paralyzed with financial fear, embarrassment and guilt. All of these people were never taught how to properly manage their money, yet they feel they’re the only ones who didn’t get the “money memo” despite the fact that at least 70% of people are living paycheck to paycheck (including people who earn really good money and would consider themselves to be successful).

I’m here to start a revolution and share the good news that personal finance can be taught and it can be friendly and fun while being an empowering part of the overall wellness in your life.

Financial wellness isn’t just about having a savings and spending plan (this is my preferred phrase to describe a budget!), getting out of debt, or saving money, it’s also about aligning how you use your money with what matters and what’s important to you. When you use your money in a way that’s aligned with what matters to you, you’re living a financially authentic life and this is the platform for financial freedom, financial independence, and financial peace of mind.

And it doesn’t stop just at financial peace of mind, either. When you have financial stability and clarity, you then have choice in your life. As you make choices to do more that makes you happy and really matters to you, those choices inevitably lead to opportunities to contribute in a bigger way to other people in your life, to your community, and the world at large. And if everyone were contributing something that mattered to them in a bigger way, imagine how truly connected we would all feel instead of the negativity we see and feel all the time. Clarity leads to choice, choice leads to contribution, and contribution leads to connectedness.

As you can see, being financially authentic and empowered isn’t just about the money. It’s about a pivotal point that we’re at where we have a choice right now to be, do, and have more in our lives. We can have more freedom, more choice, more connectedness, more wellness and more happiness.

As I’ve seen and experienced, living a financially authentic life results in at least 3 key benefits when wellness is considered:

  1. The chaotic energy around money in your life is reduced – Have you ever stopped in the middle of the day to worry about whether you paid that bill on time? How about wondering whether or not you can afford something in your life that came up unexpectedly? When you take the time to be financially authentic and you have a solid financial plan that includes the things that matter to you, you know where you are and you know where you’re going when it comes to your money and your life and there’s substantially less chaos when something unexpected arises. It’s like your “financial GPS” is fully operational and you’re driving in the right direction, so a short detour off of the financial road isn’t such a big deal.
  2. Money decisions are suddenly simpler – I hear all the time how people don’t know what to do when a financial “emergency” comes up, or when they find something that they want to buy but know they probably don’t necessarily need. There’s a lot of energy that goes into trying to make these decisions, and when it’s a “want vs. need” decision there’s a lot of guilt sometimes too. When you’ve taken the time to plan ahead, you’re ahead of the proverbial money 8-ball by having clear intentions about how you want to use your money which simplifies the decision making process. You’re no longer spending days going back and forth on making purchasing decisions, and if you’re married (or in a long term relationship) those money arguments suddenly become a lot less frequent!
  3. Financial stress decreases, and finances become more friendly and fun – Financially authentic plans help to decrease stress and take the sack of financial waste off of your back, and when your money has a purpose and a place to go then you can resume breathing and focus on having more fun in your life. If you’re like most people I talk to, there’s not enough fun igniting your life is there? Financial clarity has been a constant in my life and it has allowed me to take risks, enjoy myself, and live a life that I’ve only dreamed about.

As you spend time thinking about your wellness goals for 2013 and beyond, I would encourage you to start that process by reflecting on and being grateful for all of the awesome things that you already have in your life. Then, ask yourself whether the pillar of financial wellness in your life could use a little attention – what could you accomplish with the extra time and energy that you would find if once and for all you empowered yourself to be financially authentic and clear?

Could you stop working in a job that was no longer a good fit for you? Could you see being laid off as a blessing to have the time to reconnect with what you’re passionate about instead of being fearful about it? Could you be brave enough to start your own business doing something that you loved that made a difference to others? I was blessed to be able to say “yes” to all of these questions because of the financial clarity and wellness in my own life.

The options are never-ending really…is it time for you to choose what wellness really means to you?

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How to Make Your Own Financial Rules

By on May 30, 2013 in Financial Foundation, Financial Plan

It’s confession time again.  I am a classic “Type A” and overachiever in recovery.  For the most part, I like rules, I like order, and I like structure and systems.  There, I said it out loud.

But can I confess something else?  In the last few years, I’ve broken a lot of the financial “rules” that the financial experts say I should adhere to.  When you start a business like I’ve done, sometime you have to break the rules to get yourself on the fast path toward a longer-term goal.  So yes, I’m currently carrying debt related to the business. And yes, I’ve taken money out of my retirement account to fund the business (I can hear the experts screaming now “noooooooooo!!!!).

When it comes to financial “rules,” there are lots of financial experts out there telling you what you should do with your money.  Pay yourself first, save 3-6 months of living expenses, don’t carry credit card debt, etc. etc. etc.  And in general, I think they have solid ideas that should be considered when you’re building your financial plan.  I incorporate many of these ideas in the plans that I design for my clients.

But the one big thing I find that these experts are missing is that people want CHOICE in their lives when it comes to how they live it.  People want to live and be happy now, and not wait until they “get to retirement.”

Can I tell you a secret about these financial experts? Sometimes they drive me nuts.  They have a lot of good intentions and are doing their best to teach you what has worked in the past to be financially “safe” and end up with a boatload of money when you retire.  It’s what I like to call the “accumulation method” where you save up a ton of money and for the most part, wait until “someday” to have fun.

Well you know what? Life’s way too damn short.  And from my perspective, life is to be lived NOW and experiences are to be had NOW (not when you retire).  It’s time for us to create our own rules!

Now, before everyone starts to go off the reservation spending all their money and racking up credit card debt to live a life that they can’t afford and saying that I said it was ok to do that, that is NOT what I’m saying.  What I am saying is that it’s in your best interest to invest some time in developing your own financial rules that work for you and your life and that will help you to achieve your goals and choose what is important for you.

Be intentional with your money.  Be intentional with your life.  Sit down and take time to decide which of the traditional financial rules will serve you well and which ones you want to redefine a bit more for yourself so that you can enjoy your life here and now.  It’s important to have a financial framework that allows you to build financial freedom for yourself while also experiencing life joyfully.

Establishing your own financial rules can be a bit tricky if you’ve never tried before, so here are the 3 steps I would recommend if you’re wanting to reconsider your own rules:

1)      Ensure your financial stability – I’ve had clients that get really excited when they hear that I’m not afraid to break some of the more traditional financial rules that most people would suggest.  However, let me be clear – while I am not afraid to bend and mold the rules to meet each client’s need, it is critically important to be working toward a basic level of financial stability before changing the rules in any substantial way.  The reality is that life takes money to live, and money is a tool to support goals.  So first and foremost, develop a financial plan to suit your life that allows you to handle your commitments (i.e. bills, etc.), save some money, and pay down your debt, if applicable.  Having a financial foundation will allow you to absorb future unanticipated bumps in the road.

2)      Consider the rules of the past – Many of us learn things about money from the people around us while we’re growing up (parents, grandparents, neighbors, etc.), and we never stop to really think about whether these rules or beliefs actually work for the lives we are building for ourselves now.  In my household, both of my parents worked as employees and while they taught me many great things about money, I absorbed the belief (or rule, if you will) that financial security came from a paycheck and benefits.  It wasn’t until I realized that this little gem of a belief was rattling around in my head (unconsciously rattling, I might add!) that I could examine it and decide consciously whether it was still true for me as I considered entrepreneurship that would require me to be responsible for my own paycheck and benefits.  So, ask yourself this question as you think about changing your own financial rules – what beliefs or rules were you taught that may no longer serve you where you are in your life now?  Once you gain awareness of what these beliefs and rules are, you can spend time understanding them and begin to choose differently and consciously.

3)      Balance short-term goals with long-term goals – If you listen to many of the financial experts, a significant portion of them are highly focused on saving for retirement as the “mecca” of all times in our lives.  While I agree that long-term saving for retirement is indeed important and that there are smart ways to do that, for me life is also to be enjoyed now and money is to be used to experience the present as well.  As you’re considering new financial rules for your life, think about some of the experiences that you say you’d like to do “someday” and think about whether you should fast track those things to do sooner rather than later.  Should you save for that vacation to Italy 3 years from now instead of when you retire in 20 years?  Perhaps you’d enjoy date night with your husband or wife once a week to keep your marriage strong?  Maybe you love a certain place to vacation and you’d like to buy a small second home for regular time off to rest and relax with friends and family? Each of these choices might make you happier now and result in a better balance between fun and financial responsibility.

As my mentor would say, live life like you mean it and go for your dreams.  I know I live a much happier life now that my paycheck no longer defines my worth and I balance my retirement goals with living in the present, and I’d love for you to have the same for your own life!

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Things My Parents Taught Me about Money (and Life)

By on May 15, 2013 in Budgeting, Family Finances, Financial Freedom, Financial Plan

Have you ever had one of those moments where you had to admit to yourself that your parents were actually right?  And perhaps beyond that even that they were really smart (or if you’re from Boston like me, “wicked smahht”)?  It’s humbling…I have one of these moments at least once a week if not more often.  And as much as I may hate to admit I might be wrong about something, I’m so grateful that I’ve had my parents to show me the way (financially and otherwise).

As I reflected on what I wanted to write about this week, I’ve been thinking a lot lately about exactly what it was that my parents taught me about money and life that have made such a difference in how I was able to build a strong financial foundation that has afforded me financial freedom and choice in my life. I also thought it might be helpful to share what they taught me so that you could not only learn from what they taught me, but also understand why it’s so important for me to teach others how to plan for their financial futures and use their money efficiently and effectively.

While there were many lessons that my parents taught me, I’ve boiled it down to 3 key lessons that have impacted how I handle my money and to a larger extent, my life.

Lesson #1: Failure to plan on your part does not constitute an emergency on mine.

This phrase was (and still is sometimes!) one of my Dad’s favorites.  Any time I used to try to rush him to do something that I needed quickly (a ride to the mall, a decision about something I wanted to do, etc.), this gem of a statement would pop up.  And while it annoyed me when I was younger, I’ve come to appreciate the importance of looking ahead at where you want to go and establishing a roadmap on how to get there.

From a financial perspective, this lesson also applies.  I’ve had clients in the past who tell me “so-and-so did this” or “so-and-so wouldn’t let me XYZ” and that’s simply putting the power in someone else’s hand when perhaps you didn’t take the time to plan financially in advance on your end.  When you understand your “money map” and know how your money is being used, you can use money as an effective tool to live your life and avoid situations where someone else has control over the decisions that you make.

Plan ahead, and you’ll be less likely to run into an emergency where you’re dependent on someone else!  As I say to my clients all the time, focus on developing your own personal economy and you’ll understand what true freedom and choice is all about!

Lesson #2: Live within your means

This one may seem obvious, and it’s said often by lots of financial experts, yet I find that the true lesson in these words is often missed since they are repeated so often (and people get tired of hearing the same things).  While both of my parents used this phrase and lesson often, since my Mom was in charge of the family finances it was primarily her who taught my sister and I what this really meant, both in word and in reinforced action.

Let me share a story from when I was about 17 or 18 years old.  (PS – My Mom doesn’t remember this story, but I absolutely do because it taught me powerfully about living within my means.)  At this point, I had a license and my parents had given me a credit card that was an extension of one of their cards.  This was as much to learn how to use a credit card responsibly as it was for my parents’ convenience for me to be able to buy certain things on my own that I needed (with their approval in advance).  One day, my mother told me I could buy new basketball sneakers for the upcoming season and I could spend $80.  I headed off to the mall after school that same day and found a pair of sneakers that cost $100.

I rationalized to myself, “what’s another $20? This newer brand and color looks better so I’ll go with the $100 pair.”  Time went by, and a few weeks later my mother showed up at my bedroom door holding her credit card statement and said “do you have $20?”  I looked at her funny and said “yes, I do – why?”  She said “if you want $100 sneakers then you can pay the difference from the $80 I asked you to spend since you work and earn your own money.”

Now, this might seem harsh to some of you but I have to tell you it was one of the best lessons my parents ever taught me about money.  It wasn’t about the fact that my parents couldn’t afford the additional $20 (they totally could).  This was a lesson that taught me the importance of planning and sticking to a plan because without one my parents would not be happily and successfully retired in their early 60s with the opportunity to spend several days a week watching their 2 beautiful grandchildren.  Those small $20 differences add up over time when you start to think about the freedom that our daily choices can provide for us, don’t they?

Lesson #3: Always be ahead of the “financial 8-ball”

While my mother didn’t necessarily explicitly teach us this lesson, her financial habits and actions of sitting down each weekend at the kitchen table to pay the bills and attend to financial matters showed us everything we needed to know. Sometimes it was simply writing checks and paying the bills, sometimes it was following up on charges that didn’t make sense (i.e. medical bills, odd charges on monthly bills), or perhaps even transferring money into a savings account.  No matter what she was doing, it usually involved about an hour to 90 minutes of her time and for the most part we never saw her sit down with the checkbook and the bills again until the following weekend.

I use this habit with my clients all the time, and I call it a “money date!”  It’s amazing how impactful and freeing it can be to sit down just once a week and handle all of your financial matters for the week ahead.  You stress less about money knowing that you have set space aside to pay your bills, transfer funds between accounts, and look ahead to make sure you’re always ahead of things that you need to address. 

So what does all of this boil down to? Having a plan, living within your means and being ahead of the “financial 8-ball” doesn’t just happen without some effort on your part.  In my mind, having a cash flow plan (a.k.a. “budget”) that helps you to be in control of your money is a critical piece of being on a path toward financial freedom and independence.  But here’s the catch – you have to start somewhere, yet many people were never taught and don’t know how to develop a plan that works for their life.

If you’re looking for a place to learn how you can get started on your own path, make sure you take advantage of the FREE CALL this coming Tuesday to get the information you need to move beyond financial overwhelm and stress into a world of financial peace!!

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How to Get Started Building a Financial Plan

By on April 30, 2013 in Budgeting, Financial Foundation, Financial Independence, Financial Plan, Financial Planning, Money Management

If I’ve heard it once (or some version of the following), I’ve heard it 1,000 times: “I don’t like numbers, they scare me.  I can’t seem to sit down and put together a budget even though I know I really should.”

So let me get this straight – you’re scared (which means you’re not thinking as clearly as you’d like to), you think you’re “supposed to” put together a budget (which is like the universal swear word of money), and you are “shoulding” on yourself that it’s an exercise you have to go through (and be tortured it sounds like to me).

C’mon….how about a little compassion for yourself please?  Is it possible for you to see that maybe it doesn’t have to be torturous and if you just had the right tools and information it would be easier?  I’d like to help you shift your perspective to have building a financial plan be a more joyful experience so that you can have the financial freedom, independence and choice that you’re seeking.

The way I see it, there are 3 steps that are required “pre-work” before you ever start looking at numbers to develop your financial plan.

1)      Retire the word budget from your vocabulary – I would say eliminate it, but since other people still use it frequently and we need to be able to recognize the word (I can only educate so many people at a time!), we’ll “retire” it for now.  Why retire the word budget?  Energetically speaking, budget just feels awful. It feels like you’re choking and like if you have a budget you’ll never be able to buy a cute pair of shoes or the newest technological gadget ever again.  Sounds pretty miserable and life-sucking if you ask me, no wonder no one wants to put together a budget! 

Instead of the word budget, I suggest using the phrase “savings and spending plan.”  As one husband reminded me across the kitchen table during a session with his wife one day, “Beth, it’s the same thing, why get caught up in semantics?”  My response? “Well your wife seems to be much more willing to participate in the conversation when we call it a “savings and spending plan” than when we call it a budget, right?”  The husband smiled and said “excellent point.” Sometimes it really is the small tweaks in life that make the difference!

So stop thinking about budgeting as something that weighs you down, and instead start thinking about a “savings and spending plan” as something that is just a financial illustration of how you want your money to move in the world that will help you get from “here” to “there.”

2)      Get really clear on what you want for your life – Before you plan your money, you need to spend a considerable amount of time thinking about what you want for your life.  Money is nothing but a tool to help you move from your present to your future (from “here” to “there” remember?), and without some sort of path to follow money will just exist without purpose.   Unless you tell money where to go it will go just about anywhere it wants to!

Being financially authentic means that you use your money in a way that aligns with what matters to you in your life.  When you’re financially authentic, a financial plan is nothing more than the full expression of what is important to you and all of a sudden the energy around money becomes much less chaotic, and financial decisions are simplified.  You have a road map for your life and your money and it provides you with clear guidance and direction.

In the end, a solid financial foundation and a good financial plan simply requires that you’re intentional, authentic, and proactive with managing your money.  Get clear and get real about your life, and using your money efficiently and effectively will become much easier, I promise.

3)      Set some specific goals with timelines – Now that you’ve gotten some clarity around what you want for your life, it’s time to set some specific goals so that you can then determine whether those goals will require money to support them.  Not all goals need money, although many goals do need some level of financial support at some point in time.  

When setting goals, I encourage people to think about them in 3 different time-based groups – short-term (1 to 3 years); medium-term (3 to 10 years); and long-term (10+ years).  This is important because depending on the goal, it can impact whether or not it’s a goal that needs to be reflected in the current financial plan or whether it can wait to be included in a few years.  Remind yourself when you’re setting your goals to be realistic – saying that you want a Ferrari in a year isn’t likely to be something that you can achieve (unless you randomly hit the lottery, and the lottery isn’t a financial plan it’s a fluke!).

Once you’ve determined which of the goals need money to support them, consider the short-term goals first and state the goals in a very specific and measurable way.  For example, saying “I want to save more money” isn’t very specific, whereas “I want to save $1,200 in the next year to take a vacation in spring 2014″ is very specific.  The more specific goal allows you to measure out that you’d like to save $100/month toward that goal ($1,200 total / 12 months), whereas the more general goal doesn’t give you a solid target.

So before you even start to concern yourself with looking at the numbers, take some time to sink deep into your head and your heart to think about what you really want for your life.  Are you happy as you are?  Do you want to set a really big goal that needs financial support (i.e. like starting your own business)?  Do you want to simplify things and live more peacefully and calmly without as much “stuff” cluttering up your life?

The options are endless, it’s simply up to you to choose and design a financial plan to match your life!

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Making Finances Friendly, Fun and Fearless!

By on April 2, 2013 in Beth Marshall, Financial Abundance, Financially Authentic, Friendly and Fun Finances, Money Management

OK, so first things first. Yes, I’m totally serious that your finances can be friendly and fun.  No, I am not taking any special medication that helps me to think that way.  (Sorry – I just had to get that out of the way since most people ask if I’m serious and if I’m taking any drugs when I talk about finances being friendly and fun!)

With the right approach, finances can indeed be friendly and fun which helps to relieve a lot of the fear surrounding money.  In fact, my business tagline is “Making Finances Friendly and Fun” so I’m even putting it out there loud and proud.   I believe every word of my tagline.  I live it, I breathe it, and I teach it to my clients (and pretty much just about anyone else who will listen).

I can hear the chatter in your mind right now – she’s got to be joking. I’m so stressed out right now about money that the idea that it could actually be “friendly and fun” is pure insanity.

Call me insane, call me whatever you want to.  In fact you can call me an orange hippopotamus if it helps you to consider changing your financial perspective for the better, I could care less!  But I have proof that it can happen – my clients all tell me in the end that they see money more positively and aren’t weighed down by fear.

With a few simple shifts in perspective, you can start seeing things differently for yourself and decrease the amount of financial fear in your life while increasing the amount of financial fun and friendliness.  There are 3 simple steps I suggest to get started on viewing your finances in this new and exciting way.

1)      Think of money as a game – One of the main ways I tell people to shift their perspective about money to a more fun and friendly approach is to think about money as a game.  In essence, money is a tool and a resource to get you where you want to go and to allow you to do the things that you want to do, so the more money that you keep the more that you can do the things that excite you.  With that in mind, start to think of yourself as the gatekeeper of your money – it comes in, and YOU are in charge of what goes out!  Take a stance that every bill that you pay is a money-making opportunity in and of itself.  Do you know how many times I’ve found an error on a bill that I’ve reviewed and called the company about it to have my bill adjusted? I can assure you it has been LOTS of times and it has likely added up to thousands of dollars over the years. Another great idea is to involve other family members in helping you to manage the money.  In fact, I have a client who plans her family’s food for the week and creates the grocery list for her husband and he then takes their young daughter to the grocery store where she adds up their bill in the store with a calculator so they can make sure to stay within their planned amount!  By making a simple shift to empower yourself as the gatekeeper of your money and begin looking for ways to involve others and ask for help you’re well on your way to making money more manageable. 

2)      Redistribute and realign how you’re using your money – I find that most people talk about the things that they “should” do with their money.  And while there are certain smart things that you can be doing with your money (saving and living within your means come to mind),  I would encourage you to spend less time thinking about what you “have to do” and more time thinking about what you “love to do” when it comes to your money.  Yes, we all have responsibilities and I completely get that.  However, from the information I see when I look at how my clients choose to use their money before we put together a new plan I see a lot of unconscious spending.  That isn’t a judgment on my part it’s just a fact from where I stand.  It’s very likely that there is space for you to have more experiences in your life that you would “love to do” if you simply took the time to redistribute and realign how you’re using your money right now! 

3)      Allow yourself to dream again – For me, this step is the most important one in making the shift to view finances as friendly and fun.  For many people, money is full of a heavy energy and responsibility.  Many people have simply forgotten how to dream and think of money only as something to pay the bills.  If you want only enough money to pay the bills, then that’s exactly what you’ll attract and not much more.    What are the reasons why you’d like to have more money in your life?  For me, I love to travel and learn, and I want to contribute toward the futures of my 2 adorable nephews, Jack and Ryan.  I enjoy taking care of my mind, body, and soul as well which for me means lots of Pilates classes and regular massages, manicures and pedicures too.  In the future, I’m looking forward to being married and being a mom, so I know I’ll have lots of reasons to dream big then too!  So ask yourself, what do you dream about doing and is it even reflected in your financial life at all?  Where can you be fearless and dream about doing something bigger than you ever thought you could to inspire yourself and others? You’ll be able to attract more money and financial stability into your life if you have a specific reason to enjoy it.

In the end, viewing finances as friendly and fun requires a purposeful decision to want to see things differently.  There’s an old quote that “every master was once a disaster” and this is true for your finances as well.  Perhaps things aren’t going well now, however that doesn’t mean that you can’t decide today to shift things around and view your finances in a more positive manner.  The choice is yours, are you ready to believe that finances can be friendly and fun?

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