Deliberate practice – habits to improve personal finances

Life is often a succession of habits, some good and some bad.
In this audio we cover how to build the good habits and relinquish the bad habits

Deliberate practice

by Jeremy Deedes | Living Money

Carrying on talking about Transformation, the process of overcoming the obstacles between where we are now and where we want to be.

Central phase of the life and financial planning process, out of this comes a plan

Life, though, is often a succession of habits, some good and some bad. So, build good habits, relinquish bad habits

Good habits lead to improvement, self-development and excellence, something that is common to all plans. We all want to become better at what we do and who we are.

Aristotle understood this over two millennia ago. He wrote that ‘excellence is an art won by training and habituation. We do not act rightly because we have virtue or excellence, but we rather have those because we have acted rightly. We are what we repeatedly do. Excellence, then, is not an act but a habit.’

Embrace the concept of Deliberate Practice, a phrase coined by research psychologist Anders Ericsson and which he sees as the key to exceptional achievement. In effect, this is improving what you do and who you are by habitual repetition, often on our own where we can concentrate

In financial planning terms, get into the habit of recording and monitoring expenditure, checking against our spending plans

Other side of the coin:

Change often involves letting go of some habits and taking up others that will lead to a better quality of life.

Moving out of bad habits involves moving out of a comfort zone and this is what causes pain.

James Prochaska, author of Changing for Good, and his team carried out detailed research into personal change, particularly around quitting bad habits.

They concluded that successful personal change is not just about planning and willpower. It is a process, a series of steps. Although the research was centred on breaking bad habits such as smoking the six stages they identified to making personal change: pre-contemplation, contemplation, preparation, action, maintenance and termination are valuable tools for changing our lives in the widest sense.

On that note, have a great week, take care and I’ll be back next week.