Breaking Bad Money Habits

Happy New Year!

Are you trapped in a cycle of poor financial choices you made last year?

You're not alone.

Many of us have been there, making decisions last year or even yesterday that we regret today. I was once trapped in my own cycle, obsessed with the latest sneaker releases. My sneaker addiction was more than a passion; it was a barrier to my financial well-being.

But there's a way out.

Breaking bad money habits can seem daunting, but by applying a twist on a proven strategy, you can start paving your way to financial freedom.

What You'll Gain:

  • Insight into how reversing the 4 Laws of Behavior Change can break bad financial habits.
  • Strategies to identify and transform your negative money behaviors.
  • Practical tips to reshape your financial future.
  • Empowerment to revamp your finances, starting today.

The 4 Laws of Behavior Change

James Clear, in his insightful book "Atomic Habits," introduces a framework for building better habits:

  1. Make it obvious.
  2. Make it attractive.
  3. Make it easy.
  4. Make it satisfying.

To break bad habits, we simply reverse these laws.

The Reverse 4 Laws of Breaking Bad Money Habits:

  1. Make it Invisible: Identify and remove your spending triggers, like unsubscribing from marketing emails or avoiding malls if retail therapy is your weakness.
  2. Make it Unattractive: Link bad spending habits to their negative consequences. Overspending today can mean sacrificing future dreams.
  3. Make it Difficult: Use tactics like cutting up credit cards or imposing a 48-hour rule on non-essential purchases to put brakes on impulsive buying.
  4. Make it Unsatisfying: Implement consequences for overspending, like forfeiting a luxury the following month, and find an accountability partner.

My Journey Beyond Sneakers

The principles of "Atomic Habits" were unknown to me when I overcame my addiction. Here's what worked for me, and these strategies can apply to various spending habits:

  • Removing temptation: I stopped visiting malls and unfollowed sneaker-centric social media accounts.
  • Changing my environment: I replaced my time spent in sneakerhead groups with reading financial books, which shifted my focus.
  • Accountability: I set strict cash-only budgets and shared my financial goals with friends who helped me stay on track.

Tip of the Day: Your environment, both physical and mental, plays a crucial role in shaping your financial habits.

Cultivate a mindset rich in financial wisdom and motivation. Engage with books, podcasts, and conversations about financial success. A well-nourished mind leads to a healthier wallet.

The journey to financial well-being isn't about drastic overnight changes. It's about reversing small, everyday habits that accumulate into significant results.

By confronting your bad money habits, you're not just enhancing your finances; you're improving your life's quality.

The power to rewrite your financial story lies in your hands.

Every decision, big or small, can move you towards or away from your financial goals.

Choose to break free from detrimental habits, and watch as your financial health transforms.

I am excited for the best version of you this year.

Kuya Jay

👋🏽Whenever you’re ready, here are two ways I can help you:

  • Craft Your Own Financial Roadmap: Get access to an easy-to-follow financial planning tool, a series of video courses to help you craft your own financial plan and an exclusive community of like-minded individuals who want to manage their finances better! More about that here.
  • 1-on-1 Personalized Coaching: A three-session coaching program where we’ll discuss your financial goals, build your own money management system, improve your money habits and guide you on how to invest on your own. Learn more here.