Written by: Marcia N. Armstrong, Executive Contributor
Executive Contributors at Brainz Magazine are handpicked and invited to contribute because of their knowledge and valuable insight within their area of expertise.
Financial stewardship is how well you are able to manage your resources. Your resources are made up of your money, relationships, time, and health.
Imagine that each resource is a seed that you’ve been tasked to take care of each day until it reaches maturity and bears fruit. Your ‘seeds’ may experience different seasons but the overall goal does not change.
You can have the freedom to design the life you want to live, and not become enslaved to a settled life using these five wealth keys of financial stewardship.
Key No.1 Have an abundance mindset
Wealth is more than money, it’s a mindset.
It is intimately tied to your beliefs which make up the money script you subconsciously operate by daily. These beliefs impact the way you are able to steward your finances.
When you look at what’s happening in the world, do you see lack or plenty? Those that have an abundance mindset understand the art of multiplication, that is, how to take what’s in their hand and invest it so that it brings a return on investment (ROI) and return on effort (ROE).
It allows you to take your eyes off of your problems and become more solution-oriented. Moreover, you understand that abundance strongly correlates to the spirit of gratitude.
Key No.2 Have a Financial Plan
To improve your quality of life and fulfil your vision you need a plan. A financial plan is a road map to your destiny. It is an ongoing process that provides an aerial view of your current finances, your financial goals and strategies to achieve them. One component of financial planning is budgeting.
There are many types of budgets but the one I recommend to my corporate clients is the Zero-Based Budget. You take your projected net income minus your projected expenses which equates to zero. With this plan, you assign every dollar a job and you’re able to spend your money on paper before you get paid. This budget informs you of your financial options and gives you a realistic time frame in which you can achieve your goals.
Key No.3 Leverage Debt
At some point in our lives, we will need other people’s money to get things done instead of pulling solely on our resources. The difference lies in how this debt is optimized. Debt can either be your prison or your ally. As a tip, take a look at your debt and write down the purpose for borrowing the money.
For instance, if it was to fund your education so that you become more marketable in the marketplace, that’s amazing. However, if you took out a loan because of persuasive marketing tactics then it wasn’t done mindfully and this debt is ultimately stealing from your future income.
As your net worth increases, you will need to learn how to use other people’s money (OPM) and leverage it to get what you need.
Key No.4 The Principle of Giving
As our standard of living increases, we should also increase our standard of giving. We are blessed to be a blessing. If you’re afraid to give, it means you have a money block of scarcity. The grandness of your wealth cannot be measured by standard measurements. The things money can buy are temporary but the joy of giving lasts a lifetime.
Famous celebrities give millions of dollars through philanthropic efforts because they understand the principle of sowing and reaping. You cannot out give the One who gave you the power to create wealth. Giving activates abundance and gives you access to doors you can’t even comprehend or imagine.
Key No.5 Leave a legacy
You have a unique purpose and because of that your gift will make room for you. There are talents, gifts, and abilities that are latent in us that only some people are able to use and transform the world.
Your legacy isn’t tied to a particular income level but being wealthy allows you to make a greater impact that not only transforms your immediate household, but your community and possibly the world. Building a legacy is creating something that will outlive you and reach people you may never meet.
Applying these five wealth tips will shift your mindset, and behaviour so that you become a better financial steward.
Marcia N. Armstrong, Executive Contributor Brainz Magazine
Marcia Armstrong is a thought leader in the financial literacy industry and is an advocate of personal development. She specializes in helping visionary career women maximize their income so that they can leverage their skills, influence, and impact to create generational wealth. Having grown up in a household where money was deemed inaccessible and a scarce commodity, she was able to unlock key wealth principles that enabled her to take control of her finances and design a life that allowed her to live financially confident and empowered. Her mission is to redefine wealth so that it empowers and equips change agents to create a life of design that positively impacts their household, community, society, and the world. Marcia is a certified coach who holds the designation of Master of Business Administration from the University of South Wales. Her mantra is no one can believe in you more than you do!
