Delayed financial plans, poor credit planning & mounting debt; three sure signs you’re a financial procrastinator. Read on to understand the mind of a serial procrastinator and how one can break off this state of mind.
Much like diabetes is to good health, procrastination is to good finances; both are masters of gradual degradation. While one many procrastinate in various aspects of his or her life, the impact that this action (or lack or action, rather) has when it is to do with your finances is huge.
What makes one procrastinate? What are the signs of it in a personal finance context? How can one break out of this habit – scroll down to find your answers.
The Infamous Art Of Procrastination
From students putting off homework to the last moment to an employee filling in the time sheet just in time, procrastination is everywhere, so what is it exactly? Well, to put it in simple terms, procrastination can be described as a habit that encourages you to put off a certain task for now to give you some sort of instant relief from responsibility but then leaves you scampering at the last moment. As you can see here, the latter half doesn’t sound pleasant. So then, why do people do it?
Additional Reading; Financial Habits Of A Sensible Indian
Well, just like other bad habits such as smoking, procrastination gives instant relief. However, this joy doesn’t last for more than a few minutes, but it’s addictive. While procrastination’s effects may not manifest themselves as evidently as say the effects of smoking or bad posture, this habit can easily show you its negative impacts when it comes to your finances.
The Symptoms Of Financial Procrastination
- The want for a solid personal finance budget at the beginning of every month that doesn’t seem to formalise at all
- Plans to clear Credit Card dues that constantly seem to be forgotten until your Credit Score is in dire straits
- Fair knowledge of investments but no progress in implementations required to execute investments
- A habitual need to pay off dues only to save face in the last minute
Additional Reading: Tips To Improve Your Credit Score
- Setting up automated reminders to ensure payments are made on time
- Getting sound advice from a financially smart friend or family member so that you get influenced to make a change
- Monitoring your credit report every month to see exactly where you stand and what needs to be done to improve your Credit Score
- Setting a deadline to get your investment portfolio kicked off in such a way that you can’t postpone it further. (getting another personal involved can help here)
- Consciously paying off more Credit Card debt than just the minimum (a classic procrastinator mistake)
Additional Reading; Modern Habits That May Be Hurting Your Finances
Identify with any of the above symptoms? You’re not alone. The good thing about this habit is that it is not difficult to shake it off. Once you realise how much you’ll be benefiting your finances, you’ll surely be motivated enough to dust yourself off and soar the financial skies.