Make wise financial decisions to live a happier life

If you're discouraged about your situation — be it financial, family, job or just basic uncertainty about the future — there are some things you can do to counter those feelings and attitudes.

Let's say your neighbor just got a fabulous, brand-new vehicle. You are overwhelmed by feelings of desire and envy. There was a time when you would begin immediately to find a way to get a new car, too. But things are different now. You no longer make financial decisions impulsively.

Think of paying for your next vehicle with cash — of not making huge monthly payments, not paying triple insurance premiums, not paying $400 for the annual registration fee, not forking over $600 for that 50,000-mile tuneup.

You also can choose to counter negative attitudes by replacing them quickly with positive ones. Here are some examples:

I never have enough money. I am so thankful for a regular paycheck.

This is too difficult. This is challenging!

I want it now! Waiting builds my character.

No matter what's going on, things are not hopeless. Consider some things you can do starting now — today — to get on track.

Develop your greatest asset: Your attitude — the way you respond to life and all of its circumstances — is more important than anything. It is more important than your past struggles or successes, than education or experience. It is more important than how much money you have, how much you owe, what you would like to do or where you would like to go. When you face tough times, your attitude will be either your greatest asset or worst liability.

The key to changing your attitude is to reprogram your mind. Whatever you choose to focus on is what you will move toward.

Assess your resources: Know what you earn, what you own and what you owe. What insurance do you have? How long would it take your unemployment benefits to kick in? Do you have enough cash to bridge the gap?

Live below your means: It's a simple strategy: Spend less than you earn. Stop living paycheck to paycheck. Start swimming against the tide of the consumer credit culture that says you can have it all while making it possible for you to spend consistently more than you earn.

A good rule of thumb: Adjust your lifestyle so that it fits within 80% of your income. Start now to cut a little from every area of your spending. You will be amazed at how quickly your financial picture will change.

Build a nest egg: No matter where you live or work, the future is uncertain. You do not know when you and your income are going to temporarily part company. Start right now to accumulate cash. Don't stop until you have squirreled away an amount that will pay your bills for a full three months (six is better). Then leave it alone.

Put a lid on stress: Stress not only is hazardous to your health but also can make otherwise tolerable events of life unbearable.

Stress skews your judgment and makes you more prone to make hasty, stupid financial decisions. Releasing the stress in your life will help to clear your mind so you can manage your finances calmly and intelligently.

Layoff-proof yourself:

Keep your expense account significantly below your authorized amount. Don't complain. Don't whine, demand or play workplace politics. No Instagram on company time.

Avoid scams:

Run from anything that promises instant wealth with little work. Shun new credit because it will lead to debt.

Everyday Cheapskate

Mary Hunt