Five Keys to Successfully Manage Your Finances

For too long, Black people and people of color have experienced a variety of challenges to building wealth. We know it’s rooted in systemic racism and policies that prioritize wealth for just a few. The good news is that we have the tools and power to navigate these systems and grow the wealth we want. 

We partnered with Healthy & Wealthy and FinRoth to increase our knowledge and power to set and achieve financial goals so we and our families can prosper. Here are a few key takeaways from our first Manage Your Bag Brunch & Learn workshop!

1. Make a budget.

The first step to successfully managing your finances is to create a plan that aligns with your personal or professional goals. Want to buy a house? You need to know how much you want to spend, how much you need to save, and create a spending and saving plan that will get to the dollar amount you have in mind. Want to scale your business? Write out how much you need to make it happen and where that money will come from (revenue, crowdfunding, loans, or some other source). 

Whatever your goal, you need a budget. A budget will help you set goals, plan for how you want to reach them, and track your progress. It’s also necessary for accountability. You can use a spreadsheet to get your budget started or an app like Mint.

2. Have discipline.

Discipline and accountability are key. Only you have the power to follow your budget and spend and save accordingly. It takes commitment to set aside the funds you promised yourself you would save. It also takes commitment to spending less in certain areas. But trust - passing on bottomless brunch can go a long way.

You can stay on track by enlisting an accountability partner or buddy to offer support. We never have to do anything alone. Our networks and community are here to support us on our path to financial freedom.

3. Check in regularly.

To make sure you’re still on track with your budget, it’s best to check on your spending and saving regularly. This may mean checking your accounts daily, every few days, or weekly. If you’re not used to looking at your money so often, start by checking in weekly and try to move up the frequency from there. 

Information is the key to success. Opening your banking and budgeting apps provides you with the information you need to make great decisions and manage your finances to achieve your goals.

4. Make adjustments.

Empowered with information about your spending, saving, or investing, you can make adjustments where necessary. You can find places to save more, scale your investments that are doing well, or reduce spending if you notice you’ve gone off track. 

5. Give yourself grace.

And finally, give yourself the grace you need to execute the plan you set for yourself. It takes time to reach any goal. If it takes longer than you thought to pay down debt, that’s okay. If it takes more effort to get used to being accountable to a budget, that’s okay too. You will reach your goals eventually with the right resources and dedication.

You got this! Onward to financial freedom and wealth!

Missed our first Manage Your Bag workshop? You can join us in December. Register here.