Strategies to Deal with Financial Stress

Owing a Dental Practice has its financial concerns, it’s a regular source of anxiety, too much debt, reduced income due to competition from big players, taxes, in addition to personal stress as marriage, kids personal loans and unending list which can go on for another 10 items at least. It’s a one of the largest stressors on relationships. Financial stress affects all your life.

Is your life over? Is it no hope? Some choose to just give up and accept the fact that there is no way out.

In reality, there are few things you can do now to relieve your financial stress and make it easier to function.

1 – Identify your stress points

Whether it’s the realization that you need to get more serious about planning for retirement, upgrading your dental equipment and systems or you are dealing with a troublesome credit card balance, many loans, etc. It’s important to recognize what’s causing your anxiety. Write down your three biggest financial sources of stress so you know what you’re up against. (Keeping the list short can help you feel less overwhelmed.)

2 – Create a budget

At first, you may think that a budget is only going to add to your financial stress, but it is the best tool you have to get control of your finances and stop worrying about money. A budget allows you to decide when and how you are going to spend your money. It is really a spending plan that makes sure you are reaching your retirement and savings goals. It can help you find extra money to put towards debt.

3 – Get outside help

If you are really struggling with getting a handle on your budget and spending issues, do not be afraid to get outside help. You can take classes on basic money management and invest that will help you plan out a budget and do the things you need to succeed financially. Asking for a professional help from your accountant who can help you setting your budget and cash flow management can have a great help in your situation

4 – Take small steps

You may not be able to cut any one expense by $1,000, but you may be able to identify five monthly expenditures you could reduce by $200. Forgive yourself if you slip up. Sticking to a budget is not always easy, and there may be days when your resolve falters. If that happens, remind yourself of how much you have to gain by reaching your goals. Then examine your spending patterns to see why you overspent. You may need to modify your budget or your behaviour—if you can’t go into sporting supply stores without buying something, stop visiting them.

5 – Celebrate small successes

Whenever you hit one of your goals, stop for a while to enjoy that fact. Give a day off. Go to a ball game or have a party. If you and your employees all know that each step along the way will be an occasion to have fun, both you and they will be that much more motivated to get to the next achievement.

Finally, remember that actions deliver results

If you have any further question/comment or would like to have chat please call us on : +61 2 8067 8643 or send us an email on peter@pmpaccounting.com.au