Going “MAD” about Finances- 3 pillars for Fiscal Well-being

Published:August 4, 2021 | Finance 理財視野, YOU!

Money, or the mere thought of it, can be stressful. How you receive it, manage it, spend it, save it, budget for it, borrow it, and invest it underpins your personal wellbeing and level of stress.

The numbers of people currently struggling to manage their personal finances are staggering. According to the July 2020 Cigna COVID-19 Global Impact Study: New Directions, personal finances remain the single largest source of stress for most people, including Hong Kong residents. Only 17% of Hong Kong residents surveyed reported being positive about their personal financial position, meaning 83% of respondents were not happy with their personal finances.

With financial stress being the single largest contributor to stress, anxiety and depression (collectively, key factors in the quality of your mental health), it’s time for you to take charge of your money and enjoy the benefits that come with sound, measured action as it relates to your pocketbook.

In this article, I will outline a strategy to lay a strong foundation for your fiscal well-being using the principles I teach through my consulting business. By honing in on these three “pillars” of financial stability you can start your journey- or tweak your existing plan- to be set-up for long-term success.

The strategy can be remembered by a catchy acronym- “MAD”. M- Mindset, A- Action, D- Discipline. Here is how it works:

MINDSET

Taking charge of your money starts with your mindset, or as some like to call it, your “Money Mindset.”

It is my firm belief that all of us can benefit from a growth mindset when it comes to our money. What does that mean in particular?

Rather than focus on your past failures, you learn to move on from mistakes and look forward
You take responsibility for your actions- STOP blaming others for your problems with spending.
You decide that you will stay positive and roll with the punches- this is a big one as short-term finances will always fluctuate, keep your eye on your long-term goals.

Like most financial advice, this isn’t a one-way dialogue. Take a moment to reflect honestly with yourself on the following questions…

Do you believe you can create your own financial future, or is it beyond your control?
Do you believe you can learn how to manage your money, or have you given up because you believe money management is too difficult to learn?
Do you take responsibility for your lack of money and indebtedness, or do you blame others?
What can you do to make your money work better for you?

After you have reflected on those points now make a list of items you can work on to add more “growth” into your mindset.

ATTITUDE

In my research and life experience, the people I know that are genuinely happy maintain a positive attitude in life. It’s very difficult to be happy with a negative attitude – in fact, I’d say it’s impossible.

If you are struggling financially, it is likely you’re maintaining a negative money attitude and are blaming others for your lack of financial success. It’s easy to do- we read about it in the press and online all the time. People blame the government for high taxes, or blame bankers for making money matters too complex to understand, or blame their parents for not giving them a solid head-start, or blame the schools for not teaching financial education (which they should!)…. The list goes on and on…

Each of us needs to take charge of our own actions (and money) and be responsible for our own lives. Maintaining a healthy, positive outlook on life and daily positive attitude will set you on the course for happier, wealthier living.

To encourage yourself to think more positively there are a few activities you can engage in:

Start a gratitude journal
Workout regularly
Make time for close, positive-minded friends
Schedule in time for self-care and relaxation
Read more WELL, Magazine Asia articles 😊

DISCIPLINE

The final letter that completes the “MAD” financial mantra is perhaps the hardest. Discipline is easy to write about but harder to execute.

There is no doubt that without discipline you can’t create the financial future you covet. My own life experiences have taught me the hard way. After starting and failing to build a cupcake business, I found myself in 500K USD of debt. It took five years of careful planning to dig myself out of that hole and get back on the right track. That meant planning and sticking to the budget I set for myself.

Even less complicated endeavors take discipline. For instance, as I’m writing this article, just outside my window it’s a beautiful, sunny, blue sky over Vancouver, Canada. I would love to be walking by the sea wall, swimming in the ocean or biking on one of the nearby mountains. Instead, I’m typing away in my Airbnb with the shades drawn during my holiday sharing my thoughts with you. But I made a commitment to myself and to my readers, so outdoor activities will have to wait.

Discipline can seem boring, but it in fact underpins all your success (or lack there-of) when saving money. Take a moment to reflect on how disciplined you are with your plans related to money. Ask yourself the following questions:

Do I have a set budget and list of short and long-term goals.
Do you stick to your plan and spend according to your values (check out my article related to this for a more detailed dive on this point https://wellmagazineasia.com/value-based-spending-5-ways-to-stay-on-track-and-budget-with-purpose/)
How can you become more disciplined about spending. What areas do you tend to fall short and how can you minimize their negative impacts?

NEXT STEPS

Now you know the 3 pillars of MAD success- taking charge of your money and your financial future by embracing a growth Mindset, positive Attitude, and developing personal Discipline.

If you are motivated to embrace MAD success, I suggest a quick writing exercise to get you moving in the right direction. Grab a paper and pen and write down the following:

three recent achievements related to money (no matter how small),
three things that you are grateful for in your life, and
three specific and achievable goals (each with a target completion date)

After writing down your answers, take a moment and reflect on your answers. You should find that the process of writing helps you to embrace the concepts of MAD and take away next steps from this article.

If you are still unsure of your next steps, send me an email and we can arrange a free, 30-minute coaching regarding mindset, attitude, discipline, finance, accounting, or any other topic area where you find yourself stuck.

The quality of your life and your financial future is your responsibility, and you can choose to embrace your future today, or not. It is your choice. Choose well, my friend.

Please email me your thoughts and feedback at GetUnstuck@MadSuccess.com, I’d love to hear from you.

#MADSuccess #GetUnstuck #FinancialWellbeing #FinancialLiteracy #EmbraceYourFuture #TakeChargeOfYourMoney

About the author: Lachlan Campbell’s purpose, his “Why”, is to help people live the life they want, their way. He founded MAD Success Limited, because he believes everyone should live a happy, healthy, wealthy, more fulfilled life. Lachlan is available for professional coaching, consulting, and speaking engagements on such life fulfilling topics as embracing Mindset Attitude & Discipline (MAD Success), Financial Wellbeing, Career Paths, Your Leader-within, Being an Entrepreneur, and Wellness (holistically combining Mental, Physical & Financial Well-Being). MAD Success offers workshops, seminars, courses and coaching for individuals and corporate teams. Email: GetUnstuck@MADSuccess.com

Written exclusively for WELL, Magazine Asia by Lachlan Campbell