The Super Bowl will be played in a few hours when my hometown Saints will face the Colts. To prepare for this big day each team has put in hours of preparation time so they can execute their game plan to win the game. The Saints have designed a defensive game plan to stop the Colts and Peyton Manning from scoring while the Colts have designed a defensive game plan to stop the Saints and Drew Brees ( I hoping the Colts game plan does not work). Just like each Super Bowl team has designed their offensive and defensive game plans to win the Super Bowl. You should design your own personal financial game plan to help you simplify your personal finances so you can win the personal finance game.
Here are a few keys to winning the Super Bowl as well as your personal financial game:
Financial Offensive Keys to the Game
In the game of football, you want your offense to accumulate a lot of yards so you can score. In the Super Bowl both teams will design plays to gain yards. Some plays will be designed to gain a lot of yards while other plays will be designed to gain a few yards. The same can be said for your financial game plan. Instead of yards you want to accumulate money to save. So design some short term and long term saving plans to accumulate money. This will help you win the financial game.
Don’t Get Sacked
Both Super Bowl teams will try to protect their quarterbacks from being sacked. Having a good offensive line can help you protect your quarterback from being sacked. In the financial game, the best way to avoid being sacked is to have a financial budget. A financial budget will show you where the pressure is coming from and will enable you to put extra protection in place to prevent the sack.
To win the Super Bowl each player must protect the football and not fumble it. To prevent you from fumbling the ball in the financial game, consider consolidating your accounts. The more accounts you have the more likely you are to fumble. Consolidating will help you have a better grip and hold on your accounts so you can monitor them better and avoid fumbling.
Financial Defensive Keys to the Game
Protect Your Endzone
On the defensive side each team wants to limit the number of touchdowns the other team scores. The best way to do this is to have a good defensive game plan in place to eliminate those touchdowns. In your financial game, you also want to protect your end zone. The best way to protect your end zone and eliminate those scores is to have insurance in place. Insurance is a great defense, which can help you hold the other team to field goals or not allow them to score at all.
Avoid the Big Play
If you want to win the Super Bowl your defense can not give up the big play. The other team may have a few trick plays in their game plan to get that big play to score. In the financial game, you have to prepare yourself for those unexpected trick plays. To do this establish an emergency fund, just in case one of those trick plays are called you will be prepared to quickly response and prevent that score from occurring.
Good Red Zone Defense
In the Super Bowl, each teams red zone defense must tighten up to prevent the other team from scoring. The same goes in the personal financial game. You should set up red zone alert when your accounts reach predetermined amounts. By having red zone alerts, you can make adjustments in advance of some things happen like your account being overdrawn.
What are your financial keys to help you win the personal financial game and simplify your personal finances?
If you don’t already have a personal financial game plan in place put one. You cannot win the game without a good game plan in place. Once its in place you must execute on your plan. What good is a plan without execution.
Remember in order to simplify your personal finances you must take one step at a time.
This post was featured in Carnival of Personal Finance #243: Valentine’s Day Edition hosted by Get Rich Slowly