What constitutes financial success and how do my finances relate to wellness? Success means different things to different people. It can mean having the ability to save for some, being able to spend comfortably, having an abundant amount of wealth or having no debt for others. Whatever you definition is, it is important to have balance in your finances. Out of control finances can negatively impact your overall wellness. Poor finances can contribute to relationships problems, poor self esteem, alcohol and drug use, increased stress, poor mood management, depression, poor appetite and feeling of anxiety. This weeks wellness tip is to evaluate your financial health. Take a look at several areas; net worth, debt levels, retirement planning, and educational planning. evaluating your net worth involves focusing on identifying if you make more than you spend. Determine what you own vs what you owe. Your net worth can be viewed as a financial report card that allows you to evaluate your current financial health and can help you figure out what you need to do in order to reach your financial goals. Evaluating your debt levels involves identifying if your total debt went up or down over the past year? Check your credit report to identify what open accounts you have. Use your score as a metric for measuring your progress over time. Is your score going up, down or staying the same. Reviewing your retirement planning will help you stay on track to meet your retirement goals. Are you contributing the maximum amount allowed to your retirement accounts. Try using a free retirement planner if you need help to figure out your progress. Set up a safety net of savings. Focus on three to six months of expenses is a common rule of thumb. Start or review education savings. Look into 529 plans and other college savings accounts for children. Evaluate options for consolidating or refinancing school loans. If you are feeling ambitious, identify a financial goal to focus on this month. You could start by creating a monthly budget, create a debt pay off spending plan, identify all your bills and their due dates, start a fully funded emergency account, review retirement savings, develop a list of possible multiple streams of income, evaluate you insurance I.e. (Life, health, disability, home, etc.) or start a saving challenge. The attached picture is an example of an easy money saving challenge to get you started on your savings goals.
Discovering Balance
Phone:716-810-2644
Email: Tazzinarobalance@gmail.com
Website: www.discoveringcounseling.com
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