Refocusing on my Finances

For I would say close to a year I really haven’t been struggling financially, I have been able to pay my bills and there was no danger of missing any of them, but during that time something interesting happened: I lost a lot of my drive to maintain my finances. I’m not sure where this lethargy came from but the net result was that I thought about my finances and tightening them up a bit more and it worked from time to time but the effort was mostly superficial. The real reason for this is that I became comfortable and complacent in being able to pay everything without scrambling for money.

When I got my new job recently I started to think about money again because I would be making more and I needed to figure out how best to apply the new income. I realized that while my finances are not in bad shape because everything is paid on time there hasn’t been as much progress made as there should be. This complacency has been a rut I fall into all too often and one I think a lot of people get into. The real problem is that while the bills are paid the debt doesn’t shrink very much, hence not much forward momentum.

Between all of my thinking and taking a hard look at this blog I realized that I need to do something about my monetary situation. Even though it might not be in any financial danger at the moment its also not improving dramatically (and over the 4 years of this blog really hasn’t). So rather than simply thinking that I should do something about it I figured it was time to start putting some actions behind it.  The first step for me is to get a lay of the land financially and here’s what this translates to for me:

  • What are my debts?
  • Where’s my budget at?
  • What’s my cashflow like?

The first question is fairly easy to answer since I’ve managed to simplify my debts over the life of this blog. The other two are going to take a little work so I’m in the process of slowly figuring this out. Once I’ve got this under control some of the bigger questions will need to be answered, in the meantime this first step of refocusing on my finances needs to take place. I’ll keep you posted!