For real estate professionals, getting control of your finances is crucial; because you don’t have fixed paydays, it’s difficult to predict when you’ll get paid next and how much it’ll be. Some months, your bank account runneth over while other months you might look under the couch cushions for spare change to buy coffee.
Take control of your money once and for all by getting your finances in order with the following advice:
Where is your money going?
If you’ve ever wondered what happened to your income at the end of the month, it’s time to track your expenses. When you track your expenses, you can get a better handle on your spending so you can save more of it.
Get checks ahead
We encourage our clients to pay themselves a salary and to get three paychecks ahead. Paying yourself a salary will help you stay motivated and focused on meeting your payroll each month. And, getting checks ahead will allow you to compensate for any lulls or unexpected circumstances you might experience in your business.
Set financial goals
Goals give you a target to reach; after all, you might have a goal to achieve financial freedom, but if you don’t have an amount in mind, it’s tough to create an actionable plan for success.
Assess where you are right now: Are you saddled with consumer debt or have you paid it off? Do you have money in reserves or are you living commission to commission? Do you have money invested in your retirement fund or are you putting it off?
Your answers to these questions will help you assess where you are on the path to financial freedom and help you set goals to get to the next level.
Invest in you
Ben Franklin said, “If a person empties their purse into their head, no one will be able to take it from them. An investment in yourself always pays the highest dividends.”
Constant improvement is vital to your success in business. Try to dedicate 10 percent of your income to classes, events and workshops that will improve your skills. Remember, the sharper your skills, the more money you’ll make.
Invest in your business
To operate your business at maximum efficiency, you need money. Before you make cuts in your business, make cuts to your discretionary spending. Then, channel your savings into your business.
Do you want to learn more about getting your financial house in order? Download the infographic: “The High-Performance Path to Financial Freedom.” Save it, print it and share it with your family, friends and colleagues.
Brian Buffini is the Chairman and Founder of Buffini & Company. You can follow Brian and Buffini & Company on Facebook.