Dr. Phil & Suze Orman Got Me Thinking (No, Really, They Did!)

Years ago, I caught an episode of Dr. Phil. On it, he was talking to an overweight woman who was talking about yet another diet that proved to be unsuccessful. She listed off all the healthy foods that she was eating and yet she fell off the diet because she gorged on some ice cream after a bad day at work or a fight with her husband or something emotionally draining. Dr. Phil was able to sum up the whole of this woman's dieting experience with these two sentences: "It's not about what you're eating. It's about what's eating you."

I was reminded of these words last night when I was up way too late watching yet another television program featuring yet another "guru of the moment." Suze Orman was taking a call from a woman who flirted with declaring bankruptcy and she needed advice regarding the perpetual lack of money in her life. Suze Orman's immediate response to this was "A lack of money doesn't create problems. Problems create a lack of money." And in this caller's case, she was right.

While this statement is not always true, nor is it entirely accurate for every situation, I do think there is something there. How many of you find yourself in a pinch because, due to some crisis (a surprise layoff, hospitalization, ignoring your bills entirely) you are now facing a financial setback? Below are some general areas to help you create a day where you get to deal with life, instead of worrying about money.

Get some order to your life.

Don't stuff the bills into one pile that you then shove into a drawer when neighbors come over for dinner, thinking you'll remember to pull those out at the end of the night. Because you won't. Out of sight, out of mind. A billing cycle will roll around and you'll notice that your payment now includes a past due amount. Why? Because the original bill is at the bottom of the pile that's sitting the bottom of your desk drawer. Develop a filing system. Group your bills together according to they're due date and mark your calendar. If you find that too many bills are due at the same time, call a couple companies you owe and ask if they can move the payment due date either earlier or later in the month.

Develop a system of going through your mail.

Professional organizers suggest that you go through your mail over a recycling bin. You immediately toss out promotional flyers and circulars that are addressed to "occupant" and you shred the remaining credit card offers (and anything else with your name and address printed on it). The remaining one or two envelopes are probably bills. You deal with these immediately. Either pay them right away or devote a couple of days a month--days that fall either on or close to payday--to mail off these payments. Online banking works wonders for the disorganized, by the way.

Safeguard against "the" crisis.

It happens. And we all know what "it" is. Put as many safeguards into your life to end this oppressive cycle of debt. Work on getting that emergency fund savings account filled. Work on getting health and disability insurance. Look into life, home/renter's insurance, too. And, when the crisis does happen, don't pull out the plastic to fix it temporarily because you will end up paying for it in the long run. If you do find yourself in a moment of prolonged crisis--like sudden unemployment--lower your standard of living immediately. No more eating out. No more pizzas delivered. No more shopping as entertainment. And don't charge your life away, either.

As you get your financial life in order, you'll find that the lack of money wasn't actually the problem. Don't get me wrong. I know, we always want to make more, more, more. But recognizing how much you do make and planning and spending accordingly to your income level will truly clear your path to a heightened level of financial freedom.