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How Being Financially Organized can Lead to Wealth

Updated: Nov 9, 2023

Being financially organized is overlooked as a key factor for someone becoming successful in building wealth. But if you know anyone who’s disorganized with their income and spending, well, you understand the importance of being organized.


A budget is one form of being financially organized. There are also ‘first principles’ that can be applied to sharpening organizational skills that lead to better money management. Now, this is a habit that can take months to build if you’re disorganized currently. Yet, I can think of no better way to invest your time than creating habits conducive to saving more money and maximizing your quality of life.

Need proof?

Evidence That Being Disorganized Hurts Your Finances

A recent survey showed 64% of couples admit to being “financially incompatible” with their partners. These are disorganized financial relationships that could have been properly handled before long-term plans were made. A simple conversation with a financial counselor to get on the same page.

friends talking

There’s more proof where that came from. One in three Americans with $100k+ incomes are living paycheck to paycheck. If not for disorganization, this scary number could be reduced. How can I be sure? Because there are people making half that income who are not living hand to mouth, likely due to being financially organized with a budget.

One more piece of evidence— 45% of couples admitted to financial infidelity. If both partners are reviewing spending together regularly, then this percentage would fall. Disorganization and having no system for tracking where the money’s going leads to awful financial surprises.

*The likelihood of having a mental health problem is three times higher among people who have debt than among those who do not.” ~Children's Bureau

Now for proof that being organized leads to having more money.

The Case for Being Financially Organized

A 2019 study of Millennials found that budgeting, saving money, and shopping less lead to more happiness (University of Arizona). Having more money set aside for emergencies goes well with life satisfaction too. By the way, a budget should have a “whatever” category - an organized way to schedule “fun spending.”

Another survey (2022) found about half of Gen Z (48%), Millennials (52%), and Gen X (41%) create or revise their budgets in response to stress. In other words, they are paying attention to their money and can adjust their actions. Were they not tracking their spending, the stress would remain and they would feel helpless.


Last slice of proof is from a study finding that a full 65% of people with a written financial plan felt financially confident. Written plan, not just a vague outline in our mind. Solid organization is the key.

And now that I’ve laid out the evidence for the pitfalls of financial disorganization and the benefits of being financially organized, let’s look at insights on becoming organized.

Can anyone do it though?

7 Quotes on Planning and Getting Organized

“Budgeting is not just for people who do not have enough money. It is for everyone who wants to ensure that their money is enough.”

― Rosette Mugidde Wamambe

“It does not do to leave a live dragon out of your calculations, if you live near one.”

– J.R.R. Tolkien

“Budgeting has only one rule: Do not go over budget.”

― Leslie Tayne,

“If you don’t know where you are going, you’ll end up someplace else.”

– Yogi Berra

“When it comes to money and so many other things in life, understanding your weaknesses and strengths can help you with your future plans.”

― Tagene Brown-McBean

“The time to repair the roof is when the sun is shining.”

– John F. Kennedy

“Have a bias towards action – let’s see something happen now. You can break that big plan into small steps and take the first step right away.”

– Indira Gandhi

Being organized in all aspects of life does what? Ensures you’re more financially organized.

It is simple habit building made more effective by making it a lifestyle choice.

Same as healthy eating daily is better than trendy crash diets.

More insights in a moment but first a note on clutter.

Messy Finances

Clutter causes confusion and shows up mentally and physically.

For one, physical clutter keeps you from easily finding receipts, bills, financial documents, even tax forms!

messy work space

So it’s vital to keep records organized, both digitally and printed.

As for the mental aspect? Clutter has been proven to cause anxiety and can snowball into real mental health issues. The old TV series Hoarders is an extreme example. Being financially organized is nearly impossible when your home is in disarray. Some problems exacerbate others, then turn into a vicious cycle.

That’s why I gathered three insights from an unexpected source that can lead to better control over your finances.

  1. “Keep only things that speak to your heart. Then take the plunge and discard all the rest.”

  2. ″Visualize the ideal lifestyle you dream of . . . Think in concrete terms so you can vividly picture what it would be like to live in a clutter-free space.”

  3. “Discarding hones one’s decision-making skills.”

―Marie Kondo

By reducing clutter, you can naturally become more organized with your money.

This gives you the power to lean in, right?

4 First Principles of Being Financially Organized

No one builds the habit of better organization overnight. But by making “planning" part of your lifestyle, you can see positive financial results in a few months.

That’s when you can focus more on the main aspects of your financial plans (or ‘first principles’).

First Principles: the fundamental concepts or assumptions on which a theory, system, or method is based.

Here are four simple focus points that will help you become organized with your personal finances:

  1. Spend less than you make

  2. Invest in education / training to earn more perpetually

  3. Save for emergencies

  4. Be intentional by setting financial goals

Those basic premises will get you further than working three jobs forever, trying to game the system for credit card points, or listening to get-rich-quick schemes. By keeping it simple, better financial organization will come easier.

There’s nothing more powerful than a plan, and don’t only take my word for it.

Great Minds Think Alike on Planning (8 Quotes)

“Planning is bringing the future into the present so that you can do something about it now.”

―Alan Lakein

“You have to set goals that are almost out of reach. If you set a goal that is attainable without much work or thought, you are stuck with something below your true talent and potential.”

—Steve Garvey

“Always plan ahead. It wasn’t raining when Noah built the ark.”

–Richard Cushing

“Our goals can only be reached through a vehicle of a plan, in which we must fervently believe, and upon which we must vigorously act. There is no other route to success.”

–Pablo Picasso

“Setting goals is the first step in turning the invisible into the visible.”

―Tony Robbins

“If your plan is for one year, plant rice. If your plan is for ten years, plant trees. If your plan is for one hundred years, educate children.”


“Someone’s sitting in the shade today because someone planted a tree a long time ago.”

–Warren Buffett

To succeed, planning alone is insufficient. One must improvise as well.

—Isaac Asimov

I’ll wrap up this post on being financially organized with thoughts on those last two insights.

Long-range Plans and Short-term Financial Pivots

Building wealth doesn’t only benefit you and your partner. It can impact some special people known as grandkids. Cool little humans! And perhaps, your long-term plans can even make a difference in the lives of great-great-grandchildren you may never meet.

grandparents family picture

Pretty good way for anybody to leave a lasting legacy. Just like those shade trees Mr. Buffett mentioned.

But we must not let setbacks cause us to shred our financial plans and give up. Pivots and improvisations, as Mr. Asimov notes, are part of life. Including money management. All financial plans benefit from regular reviews, yearly at minimum. This way you can stay ahead of problems coming down the pike you would miss without doing a review.

Bookmark this article and come back to it when you need a little motivation to be more financially organized and prepared to build wealth for the future. Also, please share this article since many people could use financial motivation right now.

Investment advice offered through Private Advisor Group, LLC, a registered investment advisor.

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