Day 15 / 31 Pay yourself First

Day 15: Pay yourself first
Day 15: Pay yourself first
Day 15: Pay yourself first

Paying yourself first is about setting priorities for your finances and determining ways to always make sure you invest in your financial future. If you look at your list of monthly expenses for a moment try to find out where YOUR payment is.

Of course you are probably able to buy yourself a shelter over your head by paying off your mortgage or paying the rent, to buy food and clothes and financial security through your insurance, but whilst you are purchasing these items, somebody else is also benefiting from you buying these products through your payment. Sometimes the one person who does not seem to be getting paid in any way is YOU. Continue reading “Day 15 / 31 Pay yourself First”

Day 14 / 31 Increase your Income

Day 14: Increase your Income
Day 14: Increase your Income
Day 14: Increase your Income

In yesterday’s challenge you worked out your yearly income for each of the 7 sources of income. Today you will take that one step further and investigate which of these you might be able to develop (further) to generate some extra income.

Below are some ideas to get you started for each of the sources: Continue reading “Day 14 / 31 Increase your Income”

Giving staff wings: stewardship delegation over gofer

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“Give the ones you love wings to fly, roots to come back and reasons to stay.”

Dalai Lama XIV

Nurturing greatness in staff should be a goal of any manager. Great leaders spot talent and create a culture of realizing potential among their team. They aim to give their staff wings, so that they can face responsibility autonomously and fly on wards to great things. As Stephen Covey outlined in his great book on self-development: “The 7 Habits of Highly Effective People”,  great managers do “stewardship delegation” over “gofer”. Continue reading “Giving staff wings: stewardship delegation over gofer”

Success Lists over to do lists

Success lists over to do lists.png

Success isn’t doing everything, it is doing what matters most.

The (good) experience of a manager can often be seen in how they organize what they have to do. In Einsenhower’s Matrix we learned how to group what you have to do by priority quadrants but now i would like to look at how to form success lists. Success lists are cut down “to do lists” so that what is left are only the strategic actions that contribute to success. Of course cutting down a long list of “things to do” into a much smaller coherent group of success actions is not easy. Continue reading “Success Lists over to do lists”

Visualize macros but work on micros

MIcros and Macros (1)

Outcomes are determined in the micro decisions and actions, much more than they are in macro big ones.

It is important to think big and to aim high and visualize macro outcomes as these outline the goals to get to and greatness to aim for. However it is also important to know that results are reached and quality achieved by the micro actions, decisions and learning that we do each and everyday. Vision lies in the big, but success lies in completing the small building blocks. Or as I prefer to say we aim for macro goals but achieve them via the micro actions, improvements and decisions we make each day. The micro actions done well in multiple areas is the 5% edge great team of personal leaders have over good ones. Continue reading “Visualize macros but work on micros”

Day 13 / 31 Your 7 Income Streams

Day 13: Your 7 Income Streams
Day 13: Your 7 Income Streams
Day 13: Your 7 Income Streams

Did you know there are a total of 7 income streams? That is 7(!) different ways to make money, of which your job is just one… In today’s challenge you are going to find out about these seven types of income and then discover which one of these might appeal to you most to develop further and start generating some extra money.

The seven income streams are: Continue reading “Day 13 / 31 Your 7 Income Streams”

Day 12 / 31 Stop Lifestyle Inflation

Day 12: Stop Lifestyle Inflation
Day 12: Stop Lifestyle Inflation
Day 12: Stop Lifestyle Inflation

Have you ever noticed when you get a pay rise that even only a few months later you have no idea where that extra money is actually going? While at first you might have fantasized about all the great things you would be able to do with that increase in monthly income, the reality is this money often seems to magically disappear in just a short time and get absorbed into your regular budget.

This phenomenon is commonly known as lifestyle inflation and it means that every time you get more money, you also generally increase your minimum required lifestyle standard. Where at first you were happy with a second-hand car, that later needs to become a brand new car. And that brand new car needs to be handed in for a SUV just a few years later… Similarly your level of luxury on holidays, fancy clothes, expensive meals out etc. all increases, and likely any extra income is simply used for these purchases. Continue reading “Day 12 / 31 Stop Lifestyle Inflation”

Day 11 / 31 Start a Coins Jar

Day 11: Start a Coins Jar
Day 11: Start a Coins Jar
Day 11: Start a Coins Jar

A fun and effective way to speed up your savings efforts, whether that is for your emergency fund, to pay off debt or for your 3 months living fund, is by starting a coins jar.

Whilst you are unlikely to save up your entire 3 months living fund by just adding some loose change to a jar, every little bit helps and what is more important, each time you contribute something to your jar, you not only reinforce your goal and the fact that you can be in control of your money, it also works as a visual representation of your financial progress. It is always fun to see your money grow and what better way than having a coins jar that fills up a little more each time you add in another coin? Continue reading “Day 11 / 31 Start a Coins Jar”

Day 10 / 31 Build a 3 Months Living Fund

Day 10: Build a 3 Months Living Fund
Day 10: Build a 3 Months Living Fund
Day 10: Build a 3 Months Living Fund

Little by little you are improving the financially weak areas in your life: with an emergency fund building up you are taking away the risk of having to go into debt when an emergency expense comes up and by paying off your debts you are regaining control over your finances and reducing the amount of interest you are paying in the long run.

There is another very powerful safety net you can create for yourself: a 3 months living fund. Such a fund would have 3 months’ worth of expenses saved up in case you are without an income for a while. There can be many reasons you might find yourself without an income for an amount of time such as loss of a job, taking an upaid sabbatical to look after an elderly parent, or taking time off for yourself to name just a few. Continue reading “Day 10 / 31 Build a 3 Months Living Fund”

WIIFM Factor: What’s in it for me?

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Creating a culture of purpose in the work place and managing well your emotional bank accounts with your staff are two very important ways to create motivated team players. However people’s powerful sense of self-interest should never be underestimated and understanding the WIIFM – what’s in it in for me? – of your staff will be important to bringing out the very best in your team. WIIFM in the work place in its most basic form is what an individual is getting out of a situation, from: a decision, the success of a project or for getting past a challenge. WIIFM is where our minds often end up when we analyse our feelings about something we have done or something new we are about to face. Continue reading “WIIFM Factor: What’s in it for me?”