We all have habits, that powerfully influence our life. Effective habits are great since they guarantee our survival and make our life easy. Bad habits, however, can make our life quite miserable and difficult for us to lead a happy, healthy and wealthy life. Discover how you can get rid of them easily with a simple step-by-step strategy.

We all have habits, that powerfully influence our life. Effective habits are great since they guarantee our survival and make our life easy. Bad habits, however, can make our life quite miserable and difficult for us to lead a happy, healthy and wealthy life. Discover how you can get rid of them easily with a simple step-by-step strategy.

"I can't believe I've done it again," my friend Phillipa cries. "I simply can't walk past that shop without looking at those gorgeous shoes in the window. The next minute I find myself at the register, sliding my credit card through the machine and walking away with yet another pair of shoes. How will I ever be able to pay off my credit card?"

My friend Phillipa possesses the most exquisite and largest collection of shoes I have ever seen. Unfortunately, her surname is not Rockefeller and the more shoes she buys the further away she drifts from achieving her financial goal: Saving up for a deposit on a stylish two level apartment in the City Centre.

Although being aware of the dilemma, every Saturday Phillipa would leave the office and before having reached the tram stop down the road she would have spent a large amount of her hard earned weekly income.

"It's like second nature," she sighs and without knowing hits the nail on the head: Phillipa's weekly shoe purchase has become a habit.

Unconscious, often repeated pattern of behaviour becomes a habit

The American Heritage Dictionary of the English language tells us a habit is "a recurrent, often unconscious pattern of behaviour that is acquired through frequent repetition". Phillipa's regular shoe shop visits happen as a result of a behaviour so ingrained in her system that she doesn't think about it anymore, she simply does it.

Does this sound familiar to you? We all have habits. Habits powerfully influence our life. According to American psychologist George Miller our conscious mind is only able to keep track of seven pieces of information, plus or minus two, at any point in time. Given that we are bombarded with thousands of information units every day habits are extraordinary useful.

They guarantee our survival. Think about it: How time consuming would it be to make a conscious decision to breathe or not to touch a hot stove? Effective habits make our life easy and free up our minds and energy for other experiences.

Good news: Ineffective habits can be unlearned

By the same token ineffective habits can limit us dramatically. However, there is good news. Habits are learned and therefore habits can be unlearned. You can easily replace them by newly learned habits.

How do you do that? Let's look at what a habit is! In general, a habit consists of three components:

• a stimulus (in Phillipa's case shoes in the window)
• a response, in other words a certain behaviour (Philippa buying shoes)
• a consequence (Phillipa's feeling of excitement - even if it lasts for a short time only)

Repeated often enough this behavioural pattern becomes a habit, a routine.

So how can you develop a new habit replacing an old habit that is not healthy for you? Simply follow this easy six step strategy.

Let's assume you'd like to establish the habit of saving money on a daily basis:

Step 1: Make a conscious decision

Consciously decide to start putting a certain amount of money away at a particular time of the day, e.g. in the morning before you leave the house. Make an official contract with yourself and sign it. Remember it must be your own decision - not someone else's.

Step 2: Do not make any exceptions

Let there be no excuses or procrastination especially for the first couple of days. Take money out of your wallet or purse every day and put it in your designated piggy bank. Stick to your rule, be persistent until you do it automatically. Experts estimate that it takes a minimum of 21 days to form a simple habit like going to the gym every day.

Step 3: See yourself in action

Imagine, see and even feel yourself acting in the way you will once you've incorporated your new habit into your life. The more often and the more vividly you see yourself transferring money into your savings account and finally buying or even driving your new car the faster you 'own' your new money habit.

Step 4: Talk about it

The more people you tell about your new habit the better you will adopt the new behaviour. Knowing that friends and colleagues are watching you will make you very determined.

Step 5: Talk positively to yourself

"I save $ 10 every day" repeated at least three times a day - preferably before you fall asleep - works wonders.

Step 6: Be good to yourself

Last but not least allow yourself a little treat once in a while when you manage to stick to your new routine. This will not only reaffirm but also reinforce your new behaviour. Soon you will associate it with the excitement of being rewarded.

By the way, Phillipa has recently moved into her new apartment and as a reward bought herself the most stylish Italian made slippers you have ever seen! What works for her, will work for you! Give it a go now!