Take Time to Plan for Financial Success Despite Bipolar Disorder

Anytime of the year is a good time to start organizing, planning and budgeting for the next 365 days. Bipolar disorder tells you not to bother - there's only bad news, there's no way to sort through the mess, and other thoughts that set you up for failure. Press past those thoughts, and gather you bills and invoices. Step by step is the way to do this.

Time for Planning Is Not the Time to Berate Yourself

I know your brain will be pummeled with thoughts of how much you spent money, why you did this, why you didn't do this, but let's stick to the numbers (Bipolar Symptoms: What are the Symptoms of Bipolar Disorder? ). Don't overwhelm yourself by trying to do the whole year at one time. Take a break after each month you complete.

Time to Plan for Expenses

Ready? Get a calendar and spreadsheet of your choosing, and off we go. Ask yourself:

Which bills recur? If so, will the amount be the same, greater or gradually increasing? Enter this into your budget. Use a calendar, and enter the bill on its due date. This works for rent, phone bills, utilities and fixed advertising.

Do you have any money invested in the business? Do you have personal capital invested? If you do you should have a payback schedule or interest only payback. A return on capital whether a bank or your personal funding requires a return on capital.

How can you plan to pay down credits cards? Do you have loans to pay down? Those with bipolar disorder seem to have a tendency to pay only the minimum on credit cards - at least I do. Change that by paying the amount of the minimum payment plus 20% (for example, instead of the $10 minimum, pay $12).

If you have a credit card that you never pay the same amount and really can't project how much you will pay, here's a solution. Make two vertical columns; one column is the minimum due and a second column is how much of the principle we will pay. This amount can change and probably will charge on a monthly basis depending on your incoming monies. We work out the amount of incoming money and pay down our fixed costs.

When there is remaining or left over cash we can use this to pay down our principles. Sometimes you may not pay any or just a little on your principles if your budget for next month shows a short fall between your expenses and incoming monies.

Time to Plan for Income

There are some financial problems that cause many bipolar sufferers trouble. For example, completing invoicing in an appropriate time frame, working from a business plan, and refusing to buy into the idea that this planning does no good. Don't get caught up in what you coulda, shoulda done. This isn't a judgment, it's a look at what happened before so you can find realistic answers. Avoid those pitfalls, first and foremost.

Now, ask yourself:

When do you receive the money owed to you? Project or forecast on a monthly basis your earnings. How promptly did you invoice? How promptly did you receive payment?

Do your earnings maintain an average amount in dollars per month? Or does your income arrive in the nick of time? If you deal with the same people or companies, you will see their response to your invoicing. Do they pay on the due date? Do they stretch payment as long as possible? Do they pay only when you call? You need to consider these payment situations when doing your income forecasting.

Income projections need to be constantly adjusted; monthly if not more often depending on the amount of invoicing. At least once a month, by analyzing your incoming monies to your expenses and monthly costs, you will know what bills can be paid, what additional fees can be paid and what amount of cash can be held in reserve to pay future bills.

More considerations that your income projections should include:

Cash flow. If you manufacture products, material shortages could result from poor cash flow. If you hire people to do some work for you, they must be paid at the end of the week, sometimes at the end of the day.

Remember to include pay for yourself! Get use to it, pay yourself and if you have to loan the money back, that is fine. The thought is keep your salary in the accounting loop and to keep record of how much money you kick back into your company.

Make Time for Planning So You Can Manage Your Business

As a manager, it is your ongoing function and duty to monitor and adjust your financial plan. As someone with bipolar, you can set outlandish financial objectives and say this planning does no good. The key is to set realistic goals and objectives. You could have the greatest product or service on the market, when combined with experience, may still not be enough for business success. Proper business planning, personal experiences and the greatest product is the method for achieving your goals.

We all plan, whether it is a vacation, household project or a Friday night out. Sometimes we plan without thinking. “You can plan to forget, but don't forget to plan.” Focus on making time for planning for your financial future, realistically, so you can run your business and live your life.