Money Management and Comfort Zone
Starting any business means taking risks. Risks include investing money, starting something new, putting constant efforts and obviously, getting out of one’s comfort zone. All these result in a lasting business.
Starting anything, not just a business, takes a lot of effort. When people say that you must put in a lot of energy to get what you want in life, it is because nothing in life ever comes easy. Earning money is an important part of life. We are aware of the fact that without money, you can get nothing in these times. I remember someone saying, “To earn money, you need money.” I realized when I was starting out, I took a loan to start this business. Even when you are hunting for a job, you need to go around and some people pay money to agencies to help them get a job. It is true, to earn money, you need money.
I guess all of us understand the importance of money. Let’s dive into a better way of money prospecting or money management.
Keep account
The first and foremost step in money management is keeping accounts of all that you earn or get as pocket money and all that you spend. This way you can keep a track of all your expenses and know where you are spending the most and if you have an option to cut down somewhere to save. Money management can be tricky, but it is a necessity in life. If you are looking for a balanced life, you should know how to manage your expenses and your money.
Have Budget
Keep a budget for your spending. Make sure you keep a definitive amount for saving. Saving is something that should not be an option for you. As my mother always said, “In order to grow in life, learn to save on a daily basis.” And it is true. Doing so will teach you the value of money and every time you save, even the smallest amount, it will make you happy. You can learn how to spend less by trimming down day to day costs. Like taking the bus or metro instead of cab or cooking at home instead of eating out. Small things like these will make a lot of difference.
Make a list
Make a list of things that are important and should be worth spending money on. Ask yourself, is this necessary? If you get an answer other than a definitive yes, you don’t need it. For example, groceries: they are essential and can not be cut down on but, expensive lunches and brunches are not as necessary.
Segregate spending
Segregate spending means maintaining a spending limit for certain things. For example, ideally you should be spending only 20% of your salary or pocket money on entertainment or non-essential desires like buying that overpriced bag or shoes. Segregating your money into areas like, leisure, essential, savings, transport etc. is the easiest and the oldest way to manage money and has been proven efficient.
Getting out of comfort zone
Comfort zone is the small comforting space we create for ourselves in our lives. This could be anything, anywhere. Wikipedia states it as, a psychological state in which things feel familiar to a person and they are at ease and in control of their environment, experiencing low levels of anxiety and stress. Comfort zone is good but, as it’s known, we need to move, change in order to grow.
Similarly in business, you need to come out of your comfort zone and put yourself in unfavourable conditions to learn and grow. It is difficult and seems impossible too, but you ought to do it. As Ranbir Kapoor said in YJHD “Kahi paunchne ke liye, kahi se nikalna bahut zaroori hai, sahi time pe katt lena chaiye, varna gile-shikwe (tension) hone lagte hai.”
To sum it up, I would just say that, the best way to live when you are struggling or starting off, is to save, manage and don’t stick to your comfort zone. Struggles of now will show you a better and brighter tomorrow.
