We all know that feeling, don’t we?

The sudden panic when a bill arrives, or the sinking feeling when you realise you’ve overspent again.

It’s easy to let life’s little surprises dictate how we manage our money.

But what if there was a better way?

What if you could take control and feel more confident about your finances?

That’s the difference between being reactive and proactive.

Reactive means dealing with problems as they pop up, while proactive means planning ahead and taking charge.

It’s like the difference between fixing a leak after your ceiling is ruined and checking your pipes regularly to prevent leaks in the first place.

This quick checklist will help you see where you stand and give you some ideas on how to shift towards a more proactive approach.

Checklist:

• Do you budget regularly?
  • Yes (Proactive)
  • Sometimes (Neutral)
  • No (Reactive)
• Do you have an emergency fund?
  • Yes (Proactive)
  • Working on it (Neutral)
  • No (Reactive)
• Do you review your bank statements regularly?
  • Yes (Proactive)
  • Occasionally (Neutral)
  • Rarely or never (Reactive)
• Do you have clear financial goals?
  • Yes (Proactive)
  • Some vague ideas (Neutral)
  • No (Reactive)
• Do you plan for big purchases?
  • Yes (Proactive)
  • Sometimes (Neutral)
  • No (Reactive)
• Do you compare prices before buying?
  • Yes (Proactive)
  • Sometimes (Neutral)
  • No (Reactive)
• Do you check your credit score?
  • Yes (Proactive)
  • I have at least once (Neutral)
  • No (Reactive)

Scoring:

• Mostly “Yes” (Proactive): You’re on top of your finances! You plan ahead, set goals, and regularly review your situation. Keep up the good work! You’re building a solid foundation for your financial future.
• Mostly “Sometimes” (Neutral): You’re taking some steps in the right direction, but there’s room for improvement. Try to be more consistent with your financial habits. Even small, regular actions can make a big difference.
• Mostly “No” (Reactive): You tend to react to financial situations as they arise. This can lead to stress and missed opportunities. Consider taking small steps towards a more proactive approach. Start with one or two small changes, like setting up a simple budget or checking your bank statement once a week.

What to do next:

No matter where you scored, remember that financial habits can change.

If you found you were leaning towards reactive, don’t worry. Start small.

Pick one area to focus on, like creating a simple budget or setting up an emergency fund.

Even small steps can make a big difference.

The goal is to move towards a place where you feel more in control and less stressed about money.

Taking charge of your finances isn’t about being perfect.

It’s about making progress and building a more secure future.