OK – I fully admit it, I’ve slacked way too long in posting here on FPT, and have just been taking in some guest posts, though I’ve been quite selective about it. Time for my penance and to start writing again. Too many projects going on, and I have a ton of excuses, so I’ll spare you the drama! Onward to managing money stress.

So, let’s talk about financial stress or money problems in general. I came from a family that manages money pretty well, and some of the family members stressed more than others over it. Somehow we think that worrying and stressing over our money will help us in the long run. Can it make you hoard and save up all of your money to prevent financial losses and heartache? Most certainly it can prevent that, I’ve heard of many cases of people intensely worrying about their money, and retaining their cash stash.

However it’s not necessary to worry about your finances and manage your money well. Doesn’t happiness with money sounds better than money with unhappiness and worry? It does to me.

So how do we achieve great money management without worry?

1) Realize that your fears are just that, fears. You can still have CONCERN about a future outcome without worrying about it. Focusing on the bad, is actually more likely to make the bad happen. Or avoidance of the bad, will make you hoard all of your money so you can’t enjoy spending it ever.

2) Upgrade your money management skills. Taking an online course, or hiring a financial adviser, or your accountant to teach you budgeting and money management skills always helps.

3) Get a system in place. I used to scoff at having systems for doing things, but once you get a good financial system in place to track spending, dole out spending money, watch investments, etc – things are a lot easier in managing money (and thus your worry). Putting time into designing a system THAT WORKS FOR YOU (not someone else) – is worth it. Once the system is in place, you don’t have to think about it, just follow it and check-in.

4) Save the best, discard the rest. I’m with Ramit Sethi, author of “I Will Teach You To Be Rich” on this one, spending on what’s important to you and cutting back on frivolous spending i.e. things that aren’t important. If you wardrobe is important to you, then don’t skimp on it, but maybe you really could care less about eating out so much, so you cut that

So in a nutshell, if you can be emotionally neutral about your financial decisions, or when a financial mishap comes your way, not only will you be more able to handle it, you’ll have better life and financial well-being overall.  Sounds like a good combination for success and happiness to me, I’m not really for one without the other.

As always, leave comments, questions and thoughts below.