Personal Finance Series: No 23 – Sick to the Stomach With Statutory Demands?

The sizeable debt problems in the UK and USA are well documented and are growing so quickly that quoted statistics become quickly obsolete. In Ireland, the issue is a growing problem too, and in all 3 countries, charities and government sponsored bodies set up to handle debt problems are over run with enquiries.

The credit industry and their relentless lending, collection and recovery methods created a debt management solutions industry where companies represent their clients to creditors in return for a professional fee. These debt management companies can provide debt consolidation counseling, and if chosen carefully, can be very helpful and professional.

Our lifestyles are dominated by borrowing and servicing debt, finance charges and fees.

The Dangers Of The Debt Spiral

The Debt Spiral starts off when a new credit card arrives in the post. Most people believe that because their credit rating ‘passed’ the lender believes that they can afford to have it, why else would it have been issued? So false authority is given immediately to a piece of plastic and the belief “It’s all right” is seeded.

Constant usage seeds a habit, then a behaviour until clearing the monthly balance becomes difficult. The next downward stage is to make part payments, and finally only the minimum payment each month. Interest on Interest quickly compounds and the minimum payment does not make any significant impact on the balance. This gets repeated on average over 3 of 4 different cards, until the average debt payments become a burden.

Then in that situation, a life event happens and the money funding the repayments stops. Yet the interest, demands and bills are relentless – building and growing. Matters at this stage become desperate.

How To Get Out Of A Desperate Situation

There are a number of options, which largely depend on the personal finance statement. The first thing to do is grab a clear hold on the money in and the money out. Consult the personal finance budget software online and make lifestyle adjustments.

As things deteriorate, renegotiate with each creditor for breathing space, or seek professional help from a debt consolidation counseling centre who can walk you through all sorts of tools. Tools like a debt snowball calculator, an affordability calculator, financial goal setting and a range of insolvency options to suit the circumstances.

How To Become Debt Free Forever

Common sense dictates that living within the money available each month is the way to do this, yet so many do not. The first task is to create some ‘wriggle’ room. Pay off the most expensive debts with as much as is available to do so, then transfer to the next and the next until it is done.

Next, turn all these repayments to the capital on the mortgage and it is entirely possible to become debt free in less than 10 years, and owe nothing.

Why Your Parents Were Wrong About Debt

Previous generations didn’t encounter the credit culture we all live in today. Their values are still worth following in that if you couldn’t afford it, you didn’t get it. However, debt can be harnessed and managed if understood properly. This issue isn’t debt, it’s unmanagable debt.

Subscribing to a money management system, like the kind provided by personal finance budget software online is an easy way to keep track on money. With the right tools, debt, charges, and fees do not need to be things we fea

Most people lie about all sorts of things but none so much as money. They lie to others about how much they make, how much they spend, and what they really think about it. Most people ignore personal finance, financial planning, and money management, and most people are not happy. The pursuit of money is often mistaken for the pursuit of happiness, yet more and more, people are finding that the true route to happiness lies outside money, that in fact it lies in being authentic.

How to Be Money Happy: The Power of The Truth

It’s not their fault, that Society makes people lie about these things, because Society actually encourages lying and deception, and people actually save their biggest lies for their most intimate relationships, the ones with the potential to betray trust. Most often people think that the naked truth might cause more damage to how they are perceived than a lie, and they choose the lie.
People who confront themselves with this truth, and start to relate to the meaning behind it start to embrace authenticity, and begin to become money happy. Personal finance online software brings with it a number of additional benefits built on goal setting motivation theory and financial planning calculators, and by using these tools for managing personal finance budgets online, the power of the truth can be shaped for a happier relationship with money.

How to Be Money Happy: The Behaviours of Trust

Being authentic rather than chasing money is a much more constructive strategy to becoming happy, and by being authentic, the author means behaving and communicating in way that is true to self, to “be who you are. ”

And in personal finance budget creation, it means accepting that you might not have the money to aspire to have – so focus on becoming a person of trust and happiness will be easier to achieve.

There are a number of behaviours that typify a happy person of trust. Firstly they are truthful and will look you in the eye and tell it how they see it – while still having high regard for others. They also demonstrate respect and that they have listened carefully to what the other person is saying. Happy people who understand trust will right wrongs, be loyal in relationships, and deliver on the things they promise.

How to Be Money Happy regardless of Your Personal Finance Statement

Being authentic also adds to happiness because there is a self acceptance with their financial situation which allows them to understand that perfection is not linked to wealth and their identity is not connected to their belongings.

If your family budget worksheet, your personal finance spreadsheet or your personal finance online budget is showing a negative balance, then financial goal setting can set the objectives which can be tracked, while the forecast functions allow you to see the future before it happens thus allowing for a rapid adjustment in spending and lifestyle before it becomes a problem.

Alternatively, if the balance is a positive one, then different goals can be set – like investing for kids, investing to make money, or investing in the 401k. The answer to being money happy regardless of budget balance is to be authentic around and with money, and behave to build trust. By identifying worries or aspirations, set goals, forecasts and then monitor them.

Advantages of Cash Flow Statement Helps You Run a Successful Business

In financial accounting, a cash flow statement or statement of cash flows is a financial statement that shows a company’s incoming and outgoing cash during a time period. All three statements are arranged from the same accounting information, but each statement serves its individual function. The statement of cash flow reports the movement of cash into and out of your business in a given year. Cash is the lifeblood of your company. The cash flow statement reports your business’ sources and uses of cash and the beginning and ending values for cash and cash equivalents each year. It also includes the combined total change in cash and cash equivalents from all sources and uses of cash.

Cash flow statements format planning involves forecasting and tabulating all significant cash inflows and analyzing the timing of expected payments in detail. We have highly skilled cash flow financing professionals prepare comprehensive periodic cash flow projections that can assist you in tasks such as budgeting, business planning and fund raising.

Advantages of the cash flow statement

Helps the newly formed companies to know their inflow and outflow of cash and thus prevent cash shortage
Helps the investors judge whether the company is financially sound
Cash flow statement records the inflow and outflow of cash over a period of time
We provides Cash Flow statements on monthly, quarterly, six monthly or yearly bases
Helps the company to know whether it will be able to cover payroll and other immediate expenses
These statements will be highly helpful for planning and management of future financial commitments

This helps them have an accurate analysis of the firm’s ability to meet its current liabilities. Our Accounting Firms possessing years of experience and expertise catering to the diverse requirements of global clients can help prepare periodic cash flow statements format – historical or projective. We deliver integrated Cash Flow financing management solutions that go beyond recommendations and reports.

These statements will be extremely helpful for planning and management of future financial commitments. Availing Cash Flow financing statements Format preparation support from us will act as a very useful money management tool that provides warnings in advance of periods of high expenditure and low sales. This is also a very important component in the application process for additional funding.

Personal Finance Series: No 7 – The Seven Secrets of Switching in Shelter Provision

When considering personal finance budgets, most people will only consider making cutbacks when the money begins to run out, and only then will they think about creating a home budget worksheet, or a personal finance worksheet. The more proactive will have done this well before they get that far, some will even investigate personal finance online, and a proportion of those who do will find that their search leads them to some personal finance online software.

This behaviour though, is in itself not a financial planning definition, and there are seven things that people just don’t think about when completing a personal finance spreadsheet.

1. Shelter Provision – Why People Don’t Switch

Switching means to change service provider either because the service being received is no longer satisfactory, or because it can save money. Yet despite these obvious benefits of better service and financial savings, most people don’t switch.They don’t switch bank accounts because they believe there is a disadvantage to moving from ‘people who know me’. They don’t switch utility providers because they think it’s ‘too much hassle’. The REAL reason why people don’t switch though is apathy. Most people just can’t be bothered.

2. Shelter Provision – Overcoming Apathy

There is a psychological effect known as “bystander behaviour” when people in crowds fail to take any action when they witness a crime or accident together- each believing another will be the one to act. People don’t want to overreact or be embarrassed.

Other studies on apathy showed that people experience apathy when things just don’t affect them, they have a visible lack of emotion or drive. The second secret of switching is to understand that overcoming apathy is easy and possible, and that holding back is damaging the personal finance statement!

3. Shelter Provision – Motivation

Often, Apathy and it’s cousin, procrastination, come from a lack of motivation, which simply means that people either don’t have any goals, or don’t have the right goals.

People in this situation have simply forgotten what they want, their activities just don’t fill them with enough enthusiasm- and this can be traced right back to the lack of goals setting with students, or goals setting templates taught to us at an early age.

Financial goal setting is a powerful way to overcome this apathy – and switching is an instant way to achieve quick savings within a personal finance budget.

4. Shelter Provision – Budget Target

Budgeting can be one of those things that people put off, because it doesn’t necessarily bring pleasure. Yet the whole point of a goal is to connect you to something you want. Saving money releases funds to do exactly that. Often, it is possible to save hundreds just from switching – so set a target from all the possible routine and regular outgoings.

5. Shelter Provision – Prioritise the Prize

It makes sense that one you look at your family budget worksheet, you target the biggest spend items first, and shop around to switch. Some won’t be possible until contracted dates, such as mobile phones or special utility deals, but if you start with the largest first, and then work down the list, you will understand the value of the biggest prize for the least effort.

6. Shelter Provision – The Power They Have

Most service providers are big companies who don’t really know you at all. We think their power is the ability to restrict services – that the bank won’t lend us the money we need because we only just joined them.

We pay Utility bills quickly or on time because they have whole departments of people dedicated to chasing us for money when we don’t and in extreme circumstances we have all heard the tragic stories about people dying because they lost electricity, gas, or water supplies.

We think that they have more power than they actually have. We think that because they are so huge and powerful, that they have all the power – that we have no individual significance to them.

7. Shelter Provision – The Power You Have

Actually, you have much more power than you think. The competition among mobile phone providers, power companies, and in fact every supplier to your home is a very good thing for personal finance budgets.

These organisations now have customer retention departments who try their best to keep you. Savvy customers are very valuable and customer retention departments will offer all sorts of ‘deals’ to keep your business because of the lifetime value of your custom, and the high costs to them of replacing you with someone else. You actually hold ALL the power, because you get to choose who gets your custom.