The Great Money Reset

Change Your Work, Change Your Wealth, Change Your Life

by Jill Schlesinger

What's it about?

"The Great Money Reset (2023)" is a candid guide designed to equip the average individual with the financial tools needed to sculpt their ideal life. It offers straightforward methods to align your financial trajectory with your core values, aspirations, and visions, making a truly enriching life attainable.

About the author

Jill Schlesinger stands as NBC News' distinguished business analyst, celebrated with both Gracie and Emmy awards. As a Certified Financial Planner (CFP), her expertise lies in demystifying intricate economic and financial topics for the general audience. Beyond this, she has penned two books on wealth management and is the voice behind the nationally recognized column, "Jill on Money."

Financial Freedom: The Path to Your Dream Life

Ever pondered what anchors you to your current job? Is it a burning passion? A sense of making a tangible difference? Or perhaps, it's the realization of a dream? Or, let's cut to the chase – is it the allure of a consistent paycheck? The obligations of bills, mortgages, and the sheer dread of losing that financial cushion?

You're in good company. The global tremors of COVID-19 have prompted many to introspect about their professional and personal choices. A growing number are recognizing that their high-demand jobs often sideline personal relationships, passions, and self-exploration. Consequently, bold moves are being made – be it relocating or pivoting to careers that resonate more deeply with personal values. The spotlight is now on what truly counts – cherished family moments, community bonds, and liberation from debt.

With astute planning, you too can embrace these transformative decisions and craft your dream life, all while retaining financial stability. So, are you game?

Strategic Financial Planning: The Bedrock of Lasting Change

Eager to embark on your own Great Money Reset, aligning your financial journey with your core values and aspirations? Fantastic! Life's zest often lies in these audacious shifts. Whether you're contemplating leaving law school for the rhythmic world of tap dancing or trading your ancestral home for a quaint cabin nestled amidst woods, you're on the brink of something exhilarating and genuine.

However, a word of caution: while dramatic changes are thrilling, they need to be enduring. The Great Money Reset demands meticulous planning.

Before diving headfirst, it's imperative to scrutinize five pivotal financial domains, aptly termed the Fabulous Five:

1. Enumerate all income sources and assets. Understand which ones are easily accessible. A cash buffer can be invaluable during unforeseen challenges or as a cushion post a job transition.

2. List out debts and obligations. Strategize on balancing debt reduction while maintaining liquidity. For instance, clearing your mortgage might not be the wisest move if it depletes your cash reserves.

3. Reassess housing expenses. Could downsizing be a viable option? If you're fortunate to own additional property or can opt for a more economical living arrangement, it could significantly boost your liquidity.

4. Draft a pragmatic monthly expenditure estimate. Gauge your current spending habits. Are there areas where you can trim expenses?

5. Account for financial commitments to loved ones, be it education or eldercare. How might your financial support be pivotal in the coming years? And to what extent are you willing to assist?

Envision realistic scenarios post your intended change. Have contingency strategies in place. Perhaps consider phased transitions, like a probationary phase in a new role or locale before a full-fledged commitment.

A comprehensive financial evaluation not only bolsters your confidence but might also highlight areas needing recalibration. Sometimes, minor adjustments might suffice over a drastic overhaul. The essence lies in intentional actions and risk mitigation.

If your financial blueprint aligns with your aspirations, then kudos! You're all set to take that transformative leap!

Redefining Consumption: The Gateway to Realizing Dreams

Imagine you've scrutinized your finances, and the outlook isn't as rosy as you'd hoped. Despite squinting at your bank statements, the figures remain unchanged. And the idea of selling property to fund your aspirations seems far-fetched.

Don't lose heart. There's a potent strategy that can bolster your financial empowerment, irrespective of your earnings or savings. The mantra? Consume wisely.

It's as straightforward as that. For successful life transitions, master your spending habits. Reflect on current patterns and eliminate superfluous expenses. If the pandemic nudged you towards frugality, you're already on the right track. The challenge now is to sustain this newfound financial prudence.

Keen to embrace a more economical lifestyle? Start small. Experiment with brief phases of reduced income to gauge your adaptability. You might discover that contentment doesn't always demand extravagance. Conversely, you might realize the need for a tad more flexibility, prompting you to explore alternate income avenues like part-time gigs.

Consistent spending discipline is pivotal. Last-minute financial acrobatics seldom suffice for significant life changes. By reigning in your expenses, you can channel more towards pivotal goals, be it retirement, education, or career shifts. With unwavering commitment, many can actualize their dreams without depleting their nest egg.