Listen to How To Reach Financial Bliss for Artists: 10 Easy Steps here:
Financial Bliss for Artistic Souls may not always be at the forefront of their thoughts. However, allow me to introduce the idea that taking charge of your finances can give you more security and infuse vitality and enthusiasm into your life and relationships. Step into the realm of “The Barefoot Investor,” a profoundly transformative book penned by the Australian author Scott Pape, which has etched an enduring impact on my life as an artist. Upon relocating to the USA, I discovered what I would describe as the American counterpart, Dave Ramsey.
“The Barefoot Investor” originates in Australia, while “The Total Money Makeover” is firmly rooted in the USA. Both books offer invaluable financial wisdom that transcends geographical boundaries. Nonetheless, it’s worth noting that cultural nuances vary between these two nations.
In this blog post, we will explore the concept of a monthly financial date night—a practice that has the potential to catalyze a profound shift in your financial well-being. Whether you are single or in a relationship, this practice can guide artistic souls toward financial contentment and serenity.
Imagine a financial date night that’s not about getting rich quickly but transforming your money mindset. It’s a journey open to everyone, whether you’re starting with limited funds or have plenty to spare. The key is implementing effective systems that bring peace and excitement to your financial life.
This isn’t about complexity; it’s about practical steps to make money a more alluring and engaging topic for you and your partner. My husband and I discovered that these strategies worked wonders for us, regardless of our financial situation. So, whether you’re just starting or have plenty to manage, these steps can help you turn your finances into a thrilling adventure. After all, being on the same page matters.
Monthly Date Nights – Where Money Meets Romance on the Path to Financial Bliss for Artists
At first, the idea of a Monthly Date Night dedicated to finances might sound odd, but trust me, it’s not just about crunching numbers. It’s an opportunity to track your financial goals while savoring wine and delicious food. Say goodbye to those mundane after-work financial discussions (or heated arguments when bills pile up) and embrace the excitement of these dedicated evenings.
Awareness of your financial situation is crucial for achieving financial bliss, especially for artistic souls. Monthly date nights are ideal for initiating financial discussions, ensuring both partners align their financial goals. For those flying solo, this is your opportunity to lay the foundation for a financially secure romantic future. After all, it’s well-known that money can fuel or extinguish the flames of passion. Let’s dive into the steps to transform these nights into a creative financial adventure.
The Barefoot Investor’s Buckets: Financial Bliss Steps for Artists
The Barefoot Investor introduces the ‘Serviette Strategy,’ a simple yet effective way to simplify your financial life. First, create buckets (accounts) to allocate your income creatively:
- 60% to your Blow Bucket: Cover everyday expenses like rent, bills, and groceries.
- 20% to your Fire Extinguisher Bucket: Save for big goals and pay off debts.
- 10% off your Splurge Bucket: Treat yourself to the joys of life.
- 10% to your Smile Bucket: Plan for future adventures or milestones.
Choosing the right financial institutions is critical, and this step can be as simple as looking for banks with zero bank fees or those that don’t penalize you for going slightly under. Furthermore, this minor change can significantly affect your financial journey.
Debt Domino Effect
Debt can be overwhelming, but The Barefoot Investor has a plan to tackle it head-on:
- Calculate: List all your debts, creating a clear financial picture.
- Negotiate: Negotiate lower interest rates or consider switching banks.
- Eliminate: Physically cut up your credit cards to eliminate temptation.
- Detonate: Start with the smallest debt to gain momentum.
- Celebrate: Celebrate each victory, no matter how small.
In the USA, financial coach Dave Ramsey calls this “Snowball your debts,” starting with the smallest and working your way up. This practical tip can assist in eliminating debt effectively.
Buy Your Home – Artistic Abode
Homeownership is still attainable for artists, even with the occasional indulgence in smashed avocado and coffee. Barefoot Investor says to avoid common mistakes like waiting for a market crash or buying beyond your means. Focus on saving a 20% deposit, keeping your mortgage manageable, and considering other housing options. However, Dave Ramsey suggests ensuring homeownership won’t drown you in financial struggle if it will, don’t buy, period.
Supercharge Your Wealth – Invest and Grow
Barefoot Investor advises exploring the possibilities of buying an investment property while supercharging your retirement fund contributions to 15%. Even modest additional contributions can significantly impact your retirement savings, offering a more comfortable future.
In the USA, Dave Ramsey emphasizes investing 15% of your gross income into tax-favored retirement accounts—like your 401(k) and IRA—every month for a secure financial future.
Boost Your Mojo to Three Months – Your Emergency Fund
Start by examining your monthly expenses and multiply that by three or six to determine the amount you should save for your emergency fund. The Barefoot Investor calls this the Mojo Bucket. Having three months’ living expenses in this fund provides peace of mind and adds financial freedom to your life. Dave Ramsey also suggests building an emergency fund as a critical step to financial stability. One of his first steps is a starter emergency fund of USD 1,000.
Get The Banker Off Your Back – Mortgage Strategies
There is varying advice from the money coaches here due to the different countries’ economic systems, so do your research based on where you live. Barefoot shares that lowering your mortgage interest rate and making extra repayments can save you thousands. Additionally, keeping your mortgage simple, avoiding fixed rates (because they are much more expensive in Australia), and negotiating better deals with your bank can further enhance your financial situation. Consider professional assistance to secure a lower interest rate. USA-based Ramsey teaches that a 15-year fixed-rate mortgage is the best type of mortgage and the only one we at Ramsey ever recommend to home buyers because it has the lowest total cost compared to any other type of mortgage.
Nail Your Retirement Number – Plan for the Future
Retirement planning requires a clear strategy. First, focus on paying off your home, reaching a retirement fund balance that aligns with your retirement goals, and remaining active even in retirement. Finally, ensure your finances align with your desired retirement lifestyle. Financial bliss for artistic souls is a lifelong quest. Plan!
Leave a Legacy – Give Back
As you achieve financial stability, consider how you can make a positive impact on the lives of others. Whether through financial contributions or your time, giving back can leave a lasting legacy.
A Creative Path to Financial Bliss For Artists
Embracing The Barefoot Investor’s principles, even through the lens of artistic souls, can lead to financial bliss and a life filled with creative abundance. Furthermore, it empowers individuals to take control of their financial destinies. By nurturing your financial health, you’ll secure your future and infuse energy and passion into your artistic endeavors and relationships. So, start your Monthly Date Nights, embark on this creative financial journey, and unlock the doors to a more vibrant and prosperous life. Financial security is not just for the pragmatic; it’s a canvas for artists to paint their dreams on.
Discover these transformative books, as highlighted above, on my Amazon page. “The Barefoot Investor” hails from Australia, while “The Total Money Makeover” is rooted in the USA. Both offer universal financial wisdom, though the cultural nuances surrounding retirement funds and related topics vary.
With you on the journey, friend.
If you need extra help from Lara, check out coaching here
Learn more about Lara here
Please find Lara on Instagram here