Financial Decluttering

When it comes to arranging our finances, I like to use this concept: Financial decluttering. But what does it mean?

Well it refers to finding out all the financial transactions you do on a monthly basis. Once you find them, print hard copies and keep them visible in front of you. Then you are in a stage of spotting those transactions that need decluttering and removing.

Beleive me or not, there is a story behind the financial transactions. When they are physically there printed in front of you, you have got a great chance to realize that story, challenge it and decide for yourself if you wanna continue with it or you would rather prefer a different story.

Now you maybe wondering. But is it my duty to cover all the expenses and complete all my financial obligations? Well yes you need to do that. But also you need to focus and prioritize your expenses. What is important and what is not? What is urgent and what is not? And the difference between urgent and important.

With my appreciation and understanding, when you have families, kids, extended families and all look up to you for your support and help, you would find yourself overly stretched and frustrated. The same day income comes in, the same day it goes out.

I know such a conversation topic is not comfortable to have in majority of our homes. You find most families prefer to keep quite and move on with whatever financial habits they do. But talking about it adds clarity to what is going on. If there is an unfair burden on one person, a potential for saving/investment, a chance to delegate the financial tasks to others, or probably readjust and tune the financial priorities, then having this conversation can fruitfully bring up transformative and creative ideas.