Happy Financial Literacy Month!

Hey Mamas!

Did you know that April is the month of Financial Literacy. While we should learn about finances all year round, April serves as a good reminder to check on our financial wellness and perhaps learn one or more areas on how we can improve. And I hope this post will empower you to want to improve or continue to enhance your financials.

As part of Financial Literacy Month, I will be speaking with Lekeshia Cody, the Founder and CEO of The Praying Single Mom, on her podcast regarding the importance of financial literacy and what we can do to improve our finances. For more information, please see my Events section on this site TheMomsMoneyMindset.com/Events I will be sure to post the link to the podcast on my Events page once it has been published.

Additionally, I would like to share some helpful financial tips with you in the meantime that have helped me to move from living paycheck to paycheck and not having enough to thriving in the area of my finances and setting up my future for financial success. Below is a summary on the 5 Keys to Financial Freedom and building Generational Wealth. Out of these 5 tips, I am currently working on my savings plan and investing more. Which key(s) will you be focusing on improving this month?

1. 🧠Having a Renewed Mindset - because in order to execute the next 4 steps, you must first have a changed mindset. Stop trying to keep up with the Jones and focus on making the sacrifices now, so that you set yourself up for succes.

2. 💳Budgeting - Create a budget by writing your weekly, biweekly, or monthly income and expenses and make adjustments, so that you have Net Profit and can place that additional money in your savings account which brings us to the next step.

3. 💰Saving - Put together a savings plan. In this savings plan, you will need both an Emergency account and Sunking fund accounts. Emergency fund should be 6-12 months of income during these current times and only used in the event you cannot bring in income due to an emergency such as an illness or losing your job. Your sinking fund account is used for expenses that do not come out of your account each month such as getting the A/C fixed in your car or getting plumbing done in your home or saving for traveling.

4. 📊Paying off Debt - Once you have your emergency and sinking fund accounts built to a comfortable place, then you can focus in on paying off debt. There are two ways to do this… Snowball method (paying off debt with the smallest balance first then move on to the next smallest debt), or you can use the Avalanche method (paying off debt with the highest interest rate).

5. 📈Investing - You can begin investing after you’ve accomplished step 2. Part of your budgeting plan can be investing in your 401K or 403B or IRA. Always put in the amount your company will match, so that you aren’t leaving free money on the table. Also, consider life insurance, which is one easy way to build generational wealth. Once you have accomplished steps 1-4, you can begin increasing your investing even more in many ways such as but not limited to investing in real estate, stock market, additional businesses and more.

For more financial literacy from Moms Money Mindset, check out Moms Money Mindset Videos on how to always stay F.I.T. in your Finances.