As someone diagnosed with ADHD late in life, I feel urged to share my journey.
Managing finances can be challenging, especially for individuals with ADHD. Here are some detailed tips to help you stay on top of your finances:
1. Create a Routine:
Establish a regular schedule for managing your finances. Dedicate a specific time each week to review your budget, pay bills, and track expenses. Consistency can help make financial tasks more manageable and less overwhelming.
2. Use Automation:
Set up automatic bill payments and transfers. Automation reduces the likelihood of forgetting due dates and incurring late fees, helping to keep your finances in order with minimal effort.
3. Break Tasks into Smaller Steps:
Large financial tasks can be daunting. Break them down into smaller, manageable steps. For instance, instead of handling all bills at once, tackle them one at a time. Another approach is to break down the annual bills and set aside one-twelfth each month in a separate savings account. This approach can make financial management feel less overwhelming and more achievable.
4. Use Visual Aids:
Visual aids like charts, graphs, and color-coding can be very effective for organizing financial information. These tools can make it easier to track spending patterns, monitor progress toward financial goals, and understand complex data.
5. Get Support:
Managing finances doesn’t have to be a solo endeavor. Share financial responsibilities with a trusted partner or seek the assistance of a financial advisor. Having someone to discuss your finances with can provide accountability and support.
6. Use Technology:
Leverage financial management apps like QuickBooks Online, TimelyBills, or YNAB (You Need a Budget). These tools can help you track your spending, set zero-dollar budgets (give each dollar a job) and receive alerts for upcoming bills, making it easier to stay on top of your finances. TimelyBills is my absolute favourite. (I do not earn a commission)
7. Avoid Impulse Purchases:
Implement a 30-day waiting period (try 10 days for a start) for non-essential purchases. This delay can help curb impulsive spending and give you time to evaluate whether the purchase is truly necessary.
8. Prioritize Needs Over Wants:
Clearly distinguish between essential expenses (needs) and discretionary spending (wants). Prioritizing your needs ensures that critical expenses are covered first, helping you to maintain financial stability.
9. Use Cash:
For discretionary spending, consider using cash instead of cards. Setting a cash budget for non-essential expenses can help you stick to your spending limits and reduce the temptation to overspend. I even used jars to separate spending money back then.
10. Review and Adjust:
Regularly review your budget and spending habits. Look for areas where you can cut costs or reallocate funds. Periodic reviews can help you stay on track with your financial goals and make necessary adjustments.
Managing finances with ADHD requires patience, understanding, and creativity. Be kind to yourself throughout the process, and don’t hesitate to seek help when needed. With these strategies, you can gain better control over your financial situation and reduce stress.
Here is a handy budget template to start your financial management journey. Please remember to “Make a Copy” to be able to use it.
If you would like to chat more and get a grip on your finances, please feel free to contact us.
