Whether it’s a trip, a concert, a toy or even a chocolate bar.  One of the most common excuses I hear from people is they do not have enough money or can’t afford it.  When people tell me they would love to be able to afford something I ask them from what’s stopping them. The two simple ways of being able to afford what you want is to re-allocate where you’re currently spending money or increase your income.

The money is there

Do you:

- wear the latest designer clothes

- continually upgrade to the latest cellphone

- have a coffee or latte on the go each day

- eat out a couple or more times a week

- have a hardly used gym membership

- subscribe to the movie channels

- have cable

It’s not to say having or doing these things is wrong or you should not do them.  They are simply where money has been allocated to.

Reality check

Where is all the money going to? Do you know? Have you taken the time to go through all your bills and statements and record how much is leaving every month? If not, now is the time to do it.

Chances are you will not like what you see, however this is the first step that is a must. Changes can’t be made if you don’t know what needs to be changed. Did you find you were spending money on things you did not even know you were?

Re-allocating

So now that you know where your money is going, how does one go about changing this?  The main difference is short term gratification versus long term.  Instead of getting a tall grande everyday try preparing your favourite brew before heading out the door in the morning.  Bring your lunch instead of buying it.  Cut the extra channels and revisit your DVD collection. Large changes aren’t necessary to make a big impact.  Saving $5 a day adds up to $100 a month.

How bad do you want it?

Do you really want that new outfit, the weekend spa adventure or the trip to the caribbean?  If you really want to do any of these then let people know you’re working toward making it happen because if you can’t afford it then you don’t really want it.