Organization is KEY!
If you are like the rest of the U.S. adult population who plans to take control of your finances in the coming year, you may have started implementing tips designed to give you more control of your money. There is an endless list of recommendations designed to improve your money management. But none are as effective as one:
Withdrawing your cash.
Millennials and Zoomers often blame a lack of high school and college-level financial education as the reason they aren’t able to manage their money. However, previous generations didn’t have that financial education and were far more capable of managing even meager amounts of money.
Yes, life was less expensive three decades ago. But, there was also a physical link to money. People either carried around check books or cash. Every time they spent a dollar, there was a psychological connection that their bank balance was missing that dollar. Paying with an app or card removes the psychological component of spending money.
You don’t have to withdraw cash to pay your bills, but for small purchases – a trip to Dunkin’ Donuts or Walmart – having physical cash will allow you to see when you’re overspending without having to look at a budget. Why? Because you’ll run out of money.
