Always feel like your money’s not enough?
You feel bad for spending but you also can’t save that much?
You rather not track your spending because the truth hurts?
Does your jaw drop every time you look at your CC bills?
If you answered yes to half of the questions above…this is probably a sign that you need to KonMari (i.e. organise, detox or cleanse) your finance – ASAP.
If a food detox helps you to stop eating food that isn’t good for your body, a ‘financial cleanse’ or ‘detox’ aims to help you eliminate bad spending habits, residual money pits, and anything else that could harm your finances. All so you’re one step closer to achieving financial freedom. But of course, it is always easier said than done. So here are some suggestions on how YOU can start organising your expenses 🧮.
Check out: 7 Stages of Financial Freedom
Have a financial goal
Kondo’s typical modus operandi prior to rolling her sleeve and decluttering the mess is to say a little prayer and visualise how she wants the end result to be. It might also be a good idea to breathe in and pray a bit before you start taking a look at your finances so you don’t get a heart attack.
After you have gathered yourself, start imagining what’s your ideal financial goal. Set milestones and think about what you want to achieve by then. Take baby steps, though! Of course, it’s not wrong to want to have at least a million before you retire, but if you don’t even have an emergency fund for your rainy days, then that’s going to be a tad tough. When you have clear motivation, it is much easier to work towards that goal.
See it to believe it
You know how the KonMari method gets people to take all of their stuff out and dump it all into a massive pile of nightmare before they start organising it? Do that with your financial closet. Get all the receipts out and download your bank statements from two or three months back, then start compartmentalising them into a few categories. For example:
🎮Entertainment (because what is life without some fun, right?).
Also, write down your financial inventory. All forms of your money (e.g. cash, e-wallet, crypto) and where they’re kept (e.g. bank, hedge funds, under your pillow). You might feel like crying seeing the balance in your account but it’s okay *hugs*. No pain, no gain. This step is super important to give you an idea of where is your money, where has it gone to, and where is it going.
If you find it very mafan to jot them down one by one, just download HeyAlfred. You can easily link your banks and e-wallets account to the app, and voila! Now everything is automated and you see the bigger picture of how your finance looks like.
Re-evaluate if a spending ‘sparks joy’🥰
Now that you already laid out all your finances, go through them and see what purchases made you happy and gave you a positive impact in your life.
Do you really need to subscribe to Astro, Netflix, Disney+, AND YouTube TV or one is enough? Does that boutique gym membership give you joy or are you just getting it to flex on your Insta? 🏋🏽 Should you buy more Dogecoin?🐕
Sometimes people commit themselves to things that are superficially nice without really giving it that much thought then they end up regretting it. When you know what you value in life, it is much easier for you to say ‘tata’ to all the other expenses that you don’t need. Remember, only keep whatever sparks joy in your life.
It’s not gonna be easy to do a full detox in one go.
Start with one strategy at a time, and once you are comfortable with one, add another. If you do slip up, chin up. It’s not the end of the world.
Managing finances is not easy and when it comes to starting a new habit, you’re bound to feel tempted to cave in and buy new stuff that we don’t really need or even stressed not knowing what to do with our money.
That’s where HeyAlfred comes in! Consider us a financial butler that doesn’t cost you a single cent. #poshlivingforfree #jimatduit
Now who’s ready for some financial cleansing?