My Two Cents: How to Stop Stressing about Money

Photo Courtesy of theblueaegean

I have this real detachment from money.  Frankly, I figure – sure, it’s a nice thing to have, and it can certainly buy me some of the things that I really really want, but at the end of the day, I’m not too concerned about it.  I don’t stress about it.  I don’t know why, it’s just me (ever the optimist, certainly not the one with a bank load though)   But I know that lots of people do stress about it and that got me thinking about things that can be done to minimize the worry that people feel about their finances, and the enslavement money can sometimes breed in their lives.  Here are ideas that will inshaAllah help to reduce money stresses:

Trust that Allah SWT will provide.  And that if HE didn’t, you’d be dead. 

Get out of debt.  This one isn’t easy, although a monetary windfall might make it so.  I don’t know, maybe you kept a very precious comic book collection or can find a stash of money hidden in your attic.  But often, these types of things aren’t something you can depend on. 

Debt is a very real thing, that requires a very real action plan to get rid of.  How much can you put aside each month so that you can pay it off?  You’ll need to tighten your belt – look at things you can do without, areas you can cut back on.  However, knowing that there will be a time with an end in sight can help you get through it – and feel good that you are freeing yourself.  You’ll have a plan, and so you won’t need to constantly worry about debt because you’ll know that you are doing what you need to do in order to free yourself from it.

 

Pay your bills as soon as you get them. This is one of the simplest ways to eliminate stress about money. It’s a habit my husband and I have fostered from the beginning - where at the beginning of each month, the rent is paid, the bills are paid, and the rest of the month is free from worry.  If there’s extra cash left over at the end,  that can go to the “saving jar” you have.  And this leads to the necessity of having the ability to:

 

Discuss money with your mate.  Money can be a huge stressor on a family.  She spends, he hates it.  He’s too cheap, she hates it.  Or totally vice versa.  I have deep thoughts on this one – but I won’t get into them here (working on it for the next book inshaAllah ), suffice it to say that the adults should be on the same page, money should not divide you. Experts recommend that you need to talk about your financial dreams and goals, your spending patterns, your budget, your income, your savings, debt, financial security, bills, even what attitudes about money you want to impart on your children. When there is clarity on this issue, everyone is operating from a place of “we are a unit” and cooperation – and therefore less stress is the end game.

 

Develop a financial security net. This is the “rainy day fund” that advisors talk about.  Knowing that you have a few months worth of living expenses saved up is indeed putting your mind at ease.  You won’t worry about “what if I lose my job or the hurricane season destroys my basement and I won’t have enough to pay for it.”  And this can go a long way in making sure that you aren’t fretting over your finances.  Now, how much should you have in said security net?  Experts recommend 3-6 months worth of living expenses. 

 

Review your finances on a regular basis. I always thought that “balancing the check-book” was for old ladies on a social security government payout.  But, life happens, responsibilities towards dependents and bills and …etc., etc., etc… happens.  And I hate numbers just as much as Barbie does.  But looking at your statements, reading the progress towards your financial goals, and figuring out where you’re lacking and need to improve, is giving yourself a clear picture – and a necessary one.  If you don’t do it – you’ll falter.  Period.  It’s like someone who needs to lose 100 pounds, resolves to start a diet, but never steps on the scale.  The anguish would kill and thoughts of “how much have I lost so far” would loop around the brain without resolution.  You need to review your finances in order to kill the financial worries that loop around in your mind too.

 

What strategies have you adopted in order to ease your financial stressors?

Tales of a Tenth Grade Rich Girl

Photo Courtesy of glenda tkalac

Humairah*  went to a private school with private school fees.  Her family (which included 11 other siblings) wasn’t rich by any stretch of the imagination.  But Humariah was.  At 16, she was paying for her tuition with her own money.  She was an entrepreneur at an age when most girls around her were drooling over celebrity magazines and gossiping at the mall.

What made Humairah different than the rest of them?  This girl has propped up in my mind over the years (Allahu Alem where she is now) and I always ponder on what made her distinguish herself from the masses.  

 

So, last week, I’m reading this article about the difference between the successful rich (financially) and the not so rich and as the traits were being counted down, I kept on thinking Humairah, Humairah, Humairah.

 

In the hopes that we can all benefit inshAllah, here is the lowdown on Humairah and attributes that brought her wealth:

 

1.  Happiness

  

Money doesn’t buy happiness, right?  Why then do many of us associate the two?  And you know that they say about negative associations?

Is it possible that happiness brings us more money?  What then of optimism?  Studies have shown that people who are happy at their jobs are more optimistic about the state of the economy.  Other studies prove that those who are happy at their jobs are more likely to perform better and climb the proverbial “ladder”  all the more quicker.

 

Humairah used to work weekends at an ice cream shop.  She’d be a bundle of energy recommending the ‘strawberry cheescake’ flavor or the ‘double chocolate fudge.’  “What’s that, you just want vanilla,” she’d say.  “Then you must have another scoop to go along with it.  Variety is the ice cream of life,” she’d laugh happily.  Humairah loved her job, it was obvious.  And she rose to the role of manager quickly, even getting an all expense paid trip for a tasting tour of their head factory in a different city. 

 

But then again, who wouldn’t be happy working with ice cream?

 

2.  Resilience

  

Good business practice dictates that when the going gets tough, the tough get going.  When things are rough and money is not so plentiful, it’s easy to feel sad and give up.  It’s the ones who stand tall and demonstrate the resilience to weather the storm and turn their circumstances around so that they don’t merely survive, but they thrive.

 

Humairah’s father was an example of this and I think his example might have been a lesson for his daughter.  MashAllah, he had many mouths to feed, but somehow the job he held seemed mediocre - like it could never hope to provide enough.  But he never complained.  And then his employer went under and Humairah’s father found himself out of work. 

 

He took his time on EI (it’s a Canadian provision that the government pays for those who lose employment) and then started his own cleaning business.  And through the days of unemployment and the struggle of starting something new – he maintained his smile and optimistic demeanor.

 

3.  Networking

 

Wealthy people are those who sell their products or services to a wider range of people.  They know more people than the struggling corner store.  They are connected to more people than the “about to go broke” private contact worker who hasn’t cast a wide enough net to bring in customers.

 

Now that I think about it, Humairah was at ease with everyone.  It wouldn’t be strange to see her sharing a laugh with the ‘older aunty’ in the masjid or discussing the different features of running shoes with the commissioned sales person.  And would he be willing to give her a cut if she sent him customers?  Okay, maybe that one is a bit over the top, but you get the point

 

4.  Humairah had a savings account…

 

at 14 !  I remember asking my mom if that was even possible.  It actually took me weeks to learn how to write a cheque   and felt like such a grownup when I finally did!  Thinking that Humairah got to do it all the time was a bit of a wakeup call.  

But that’s the thing - I just now realized she wasn’t writing cheques, she was saving money!  For school, for charity, for a new car… whatever the case may be.  She wasn’t wasting her money on celebrity magazines and ridiculously expensive popcorn at the mall.  She had a savings account with the purpose of saving.

 

Do we?

 

5.  Dare to be Different

 

Seriously, who likes a “copy cat”?  Why is Coke still number one (sorry, Pepsi fans )?  Originality is the back bone of smart entrepreneurship and Humairah proved this early on.

 

Yearly fundraisers for the local children’s hospital were common fair at the school.  Everybody was expected to bring in a few food items from home and a bake sale would be held. It was tradition.  So, one year, Humairah gets this crazy idea to bring in a balloon animal artist.  The lady had come into the ice cream shop, been taken by Humairah’s drive to do something unique for the sick kids and volunteered her time to twist long balloons in colors galore into playful animals galore – all for a price of course!  And best of all, even the balloons could be sent to the sick kids along with the money.

 

 

6.  Charity a.k.a. Sadaqa

 

Financial books will all tell you that charitable donations are the way to earn more and become wealthier.  But we already knew that.  We know that giving is the best means to receiving. 

 

“Verily, those who give Sadaqat (i.e. Zakat and alms, etc.), men and women, and lend to Allah a goodly loan, it shall be increased manifold (to their credit), and theirs shall be an honorable good reward (i.e. Paradise).” [Al-Quran 57:18]

 

The prophet Muhammad (SAW) said, “charity does not in any way decrease wealth…”  

 

Humairah knew this. 

 

So, how many of these attributes do you find in yourself? 

And what do you need to harness in order to release your inner rich queen? 

Share your thoughts below so all can benefit inshAllah :)

 

 ___________

 

*Not her real name, but based on a real person I knew a long time ago.