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The Most Common Dilemmas Most People Encounter While Making a Personal Finance Plan

By Charles Hopkins Published 09/19/2006 | Finance

We are all matured enough to realize the importance of personal finance planning in our lives. But sometimes the sincerest attempts are met with the most devastating fate. There are many people, who set up a financial goal, start their journey towards accomplishing the goal but give up midway long before any financial gain has been achieved. The financial experts located three major areas of dilemmas that account for the failure of a personal finance plan before any substantial gain has been accomplished. It is important to be aware of these dilemmas; this awareness will work as a shield against the hindrances that may happen in the way of fulfilling your personal financial goals.

First of all, the lack of an optimistic outlook is the foremost dilemma that creates a stumbling block in attaining the desired financial success. Most people have the wrong perception about a budget and savings. They look at these personal finance vehicles as some form of constraint. There are many people who just cannot adhere to any kind of budget just because they view it as some kind of unrewarding sacrifice. If you think of financial planning in such a negative term, you are bound to fail in your endeavor.

So if you are seriously thinking of pursuing some kind of personal finance planning, you have to inflict a change in your outlook first. You have to perceive financial planning as a kind of vehicle that will take you into a position for fulfilling your dreams. So you should learn to resist the temptations of instant gratifications of spending on a whim. Think long-term, instead of being whimsical. The best way of maintaining a positive attitude is to think of the rewards that await you in the end of all your financial efforts.

The second dilemma that often kills the very spirit of personal finance planning is the lack of motivation. First ,make it clear to yourself: why do you need financial planning? Is it the over spending spouse that reduces you to take shelter in frugal living? Or is it the debt tangles that force you to follow a lifestyle on a budget? Or is the planning a part of your attempts to avoid bankruptcy?

If these are the reasons for your subscribing to a finance plan, they are not strong enough motivation; they are actually coercive measures forcing you to abide by a stringent plan.

Motivation for financial planning is the drive that come from inside in anticipation of achieving something better. Even the above mentioned instance can be transformed into motivation if you think of their positive effects that is a life free of the humiliation of debts. There can be infinite reasons why you should start a personal financial plan today; only you have to take a journey deep down into your heart to find them out.

Another dilemma faced by a number of people in their personal finance goals relates to their unreasonable expectations and unattainable targets. If you want to be a success financially, you have to be patient and sincere in your efforts. So never set a target that is impractical or that makes your life uncomfortable. Such pointless hardships are hard to adhere to. So never expect miracles or do not make your plan too restrictive.

Before carving out a financial plan for yourself, just make sure that the plan does not suffer from the dilemmas of over expectation, lack of motivation or lack of a positive attitude. Always keep in your mind the imageries of the rewards you can attain at the end and your personal finance plan will be a great success.