I’m not saying you have to demand that your three-year-old wear a jacket and tie, or that you install unflattering florescent lighting. But when it comes to financial decision-making, why not model your household after the guys who have made success their business?
I’m sure even Google has a couple of junk drawers in those nifty little offices of theirs. Frankly, you can have a whole junk closet for all I care, so long as it doesn’t interfere with your organizational productivity. What does that mean exactly?
- Keep important documents safe, organized and together. If they are truly important, you don’t want to be empty-handed in an emergency.
- Know what you have. If you don’t know what you have, you can’t use it. If you don’t use it, you’re wasting it and your money.
- Time is your most valuable asset. Try not to waste it hunting for your other shoe or wishing that things were different. Spend it wisely doing things that help your organization.
Cut the Crap
Businesses are always looking for ways to not only increase their income, but to keep more of it (and you should too). This means cutting costs.
- Make a budget and stick to it.
- Always look for ways to improve and be even more efficient. Do more with less.
- Seeing as how you are getting organized anyways, get rid of the stuff you don’t need. You’ll move faster when you have less bogging you down.
Focus on the Bottom Line
The “bottom line” refers to the last line on a company’s income statement – net income. This is the profit that the company has made after it subtracts its expenses. The profit for a household is measured not only in monetary terms but in non-tangibles like happiness.
Make sure that all of your goals, budgets and financial decisions serve to maximize your overall household profitability.