Your Money Glow-Up Guide: How to Transform Your Finances and Build Financial Freedom
The end of the year is approaching, as is one of the most expensive seasons of the year before the longest, leanest month known to womankind - January. With the New Year fast approaching and that urge to set new goals and resolutions, many around the topic of money, now is the perfect time to start thinking about improving your financial situation.
A "money glow-up" isn’t just about making more money; it’s about developing a healthy, empowering relationship with your finances. With the right mindset and strategies, you can improve how you manage money, budget smarter, save more, and work toward financial freedom. Here’s your step-by-step guide to mastering your money glow-up.
1. Change Your Money Mindset
The first step toward a money glow-up is shifting your mindset. How you think about money affects how you spend, save, and invest. Many of us have grown up with limiting beliefs around money—whether it’s guilt about spending or a scarcity mindset that makes us feel we never have enough.
Start by practicing positive financial affirmations and recognizing the value money brings to your life. Instead of focusing on what you lack, appreciate the opportunities money creates for you, and view managing your finances as an empowering act of self-care.
2. Create a Realistic Budget
Budgeting is the backbone of any financial glow-up. It helps you see where your money is going and ensures you’re spending intentionally. However, many people think of budgeting as restrictive. In reality, a budget is just a plan for how you want to spend and save your money.
Start by tracking your expenses for a month. List everything you spend money on, from bills to daily coffees. Once you have a clear picture, categorize your spending and set realistic limits based on your income. Don’t forget to include savings and fun money—it’s about balance, not deprivation.
Apps like YNAB (You Need a Budget) or Mint can help automate your budget and keep you on track.
3. Prioritise Saving
After budgeting, the next step in your money glow-up is saving. Whether you’re building an emergency fund or saving for long-term goals, having a solid savings plan is crucial for financial stability and peace of mind.
Start with an emergency fund. Aim for at least 3-6 months of living expenses. This ensures that if unexpected expenses or job loss happen, you’re financially protected.
After your emergency fund is in place, consider automating your savings. Set up an automatic transfer to your savings account each time you get paid. This ensures you prioritise savings without even thinking about it. You can also break down savings goals into smaller, more manageable targets, like saving for a vacation or buying a car.
4. Reduce Unnecessary Spending
A big part of glowing up your finances is learning how to reduce unnecessary spending without feeling like you’re missing out. This doesn’t mean cutting out everything you love —it’s about becoming mindful of your spending habits.
Start by identifying areas where you overspend. This could be impulse shopping, frequent dining out, or subscription services you no longer use. Set limits for these categories or find ways to cut back.
One effective trick is the 30-day rule: if you find yourself wanting to make a non-essential purchase, wait 30 days. If you still want it after a month, go ahead, but often, the desire fades, saving you money in the process.
5. Set Financial Goals and Build Wealth
A critical part of financial freedom is knowing where you want to go. By setting clear financial goals, you’ll give yourself something to work toward, which can motivate you to stick to your budget and savings plan.
Set both short-term and long-term goals. Short-term goals could include saving for a vacation or paying off credit card debt, while long-term goals might be saving for a house, starting a business, or planning for retirement.
Once your financial foundation is solid, you can start focusing on building wealth through investments. Consider educating yourself on different investment vehicles, such as stocks, bonds, or real estate. The earlier you start, the more time you give your money to grow.
6. Create Multiple Income Streams
One of the best ways to achieve financial freedom is by diversifying your income. Relying solely on one source of income can be risky, so creating multiple streams allows you to bring in extra money, even if one income source decreases.
Look for side hustle opportunities or ways to monetise your skills and hobbies. Whether it’s freelancing, creating digital products, or starting an online business, finding a secondary income stream can fast-track your financial goals.
7. Focus on Long-Term Financial Freedom
A true money glow-up isn’t just about short-term wins; it’s about building long-term financial freedom. This means paying off debt, living below your means, and making smart investments.
Debt can be a major obstacle to financial independence, so prioritise paying off high-interest debt like credit cards. Then, work on building your retirement fund, investing in the stock market, or purchasing assets that can generate passive income over time.
8. Stay Consistent and Accountable
Like any glow-up, transforming your finances won’t happen overnight. It requires consistency, discipline, and self-accountability. Make a habit of reviewing your finances regularly, adjusting your budget when necessary, and tracking your progress toward your financial goals.
You can also consider partnering with a friend or financial advisor who can help you stay accountable and provide guidance when needed.
By taking control of your money and making intentional choices, you’ll not only improve your financial health but also feel more empowered in every area of your life. Follow these steps, and you’ll be well on your way to achieving your own money glow-up and creating long-term financial freedom.
Remember: A healthy relationship with money isn’t just about how much you earn—it’s about how well you manage and grow what you have.
Here’s a list of great books to read on personal finance, budgeting, saving, and achieving financial freedom:
1. "The Total Money Makeover" by Dave Ramsey
- A step-by-step guide to budgeting, saving, and paying off debt to achieve financial freedom.
2. "Your Money or Your Life" by Vicki Robin and Joe Dominguez
- Focuses on transforming your relationship with money and achieving financial independence.
3. "I Will Teach You to Be Rich" by Ramit Sethi
- Provides actionable advice on saving, investing, budgeting, and building wealth.
4. "The Psychology of Money" by Morgan Housel
- Explores how human behavior and emotions influence financial decisions, with insights on saving and investing.
5. "Rich Dad Poor Dad" by Robert T. Kiyosaki
- A classic on building wealth through investing, entrepreneurship, and understanding the difference between assets and liabilities.
6. "The Simple Path to Wealth" by JL Collins
- A guide to investing and financial independence, emphasising simplicity in building wealth.
7. "The Millionaire Next Door" by Thomas J. Stanley and William D. Danko
- Examines the habits and behaviors of ordinary people who achieve extraordinary wealth through smart money management.
8. "Broke Millennial" by Erin Lowry
- Tailored for millennials, this book focuses on budgeting, saving, investing, and building a solid financial foundation.
9. "Atomic Habits" by James Clear
- While not strictly about finance, this book teaches how small habits lead to significant improvements, including financial habits like saving and budgeting.
10. "The Barefoot Investor" by Scott Pape
- Offers practical, no-nonsense advice on budgeting, investing, and achieving financial security.
11. "Financial Freedom: A Proven Path to All the Money You Will Ever Need" by Grant Sabatier
- Focuses on strategies for early retirement, side hustles, and fast-tracking financial independence.
12. "The Wealthy Gardener" by John Soforic
- A mix of storytelling and practical advice on achieving wealth and financial freedom through disciplined financial choices.
13. "Smart Women Finish Rich" by David Bach
- Written specifically for women, this book empowers readers to take control of their financial futures.
14. "Profit First" by Mike Michalowicz
- For business owners and entrepreneurs, this book emphasises budgeting and financial management in business to ensure profit and financial success.
15. "The Richest Man in Babylon" by George S. Clason
- An easy-to-read classic that offers timeless principles of wealth-building, saving, and investing through parables.
These books cover a wide range of personal finance topics, from mindset and psychology to practical tips on saving, investing, and budgeting. They're great resources to deepen your knowledge and help you achieve financial freedom.
Just remember that you don't need to wait for the New Year to start getting good with money and achieving your financial goals. Now is as good a time as any to improve your relationship with money and undertake a money glow up! Wishing you the best of luck, you can do this!
