Headlines are looking grim again, so let’s pause and take stock.
Why are the headlines terrible?
Because the media loves drama. This is not news to you or me or anyone who pays attention. The 24-hour news cycle is there to whip up emotions and keep us glued to the latest “BREAKING NEWS.”
Financial security won’t happen by accident, and it won’t happen overnight. Just as businesses have quarterly goals, annual revenue targets, and five-year business plans, you need to approach your life with a long-term strategy made up of a series of short-term actions and goals.
You could say that personal finance is a scientific art. On the one hand, it is about money and math. On the other, it’s about values, goals, and self-control. It’s easy to say that the key to financial security is to spend less than you make. Surely, subtracting a smaller spending number from your larger income number will result in a remainder which can be saved or invested. But that is not so simple.
Do you find yourself believing the negative hype and frequently grumbling about how the market is going to tank any minute? Does it seem that all news is bad news, especially when it comes to how it will impact your investments? Maybe the sky is falling, but maybe this is just negative speculation intended to sell newspapers and get eyeballs onto television news screens.
Do you think you’re telling yourself the truth about money?
We may think we know the facts about our finances. But our beliefs can often overshadow the facts.
Our wishes, hopes, and fears can tip the scales away from the truth. This makes it easier for us to believe what we want to about money — and it can happen without us even realizing it.
