Unlocking Financial Wellbeing: 6 Actionable Steps for Improvement

Written by Hamish Ferguson

September 4, 2023

Financial wellbeing is something that should be important for everyone, regardless of age or financial standing. The problem is, not everyone works on their financial wellness. This subject wasn’t taught in school so handling finances properly becomes an afterthought. In this article, we learn more about financial wellbeing, what it really is, why it’s important, and what practical steps we can take to improve our financial wellbeing.

What is Financial Wellbeing?

Alright, so what’s the fuss about financial wellbeing? It’s not just about having a fat bank account or a generous salary. It’s about feeling in control, meeting your needs, and planning for the future without losing sleep. Think of it as that warm and fuzzy feeling when you know your money’s doing what it should, and you’re not scrambling to pay the bills.

To understand finance habits, as well as your own financial wellness, better, here are questions that you can ask yourself: 

  • Are you feeling secure about your finances?
  • Do you call the shots with your money?
  • Can you manage your debts without sweating?
  • Are you stashing some cash away for later?
  • Do you have a budget you actually stick to?
  • Are you planning for the chill days of retirement?
  • Can you get your hands on the good stuff without breaking the bank?
  • Do you know your financial ABCs?
  • Is your financial stress level low?

Each question will allow you to take a closer look at your finances and your money habits. If any of these questions got you thinking, it might be time to give your financial wellbeing a little checkup.

Why is it important to check on your financial wellbeing?

If you haven’t thought about how you’re doing financially, reading this article will hopefully prompt you to take a deeper look into how you handle your money. Don’t think about this as just a casual exercise. Treat it as a pivotal step toward securing our financial present and future. Here’s why examining our financial wellbeing is so important:

Peace of Mind

Imagine that you’re cruising through life knowing your financial situation is solid. No unexpected surprises, no last-minute panic. When you examine your financial wellness, you’re essentially equipping yourself with the tools to achieve this state of calm and tranquillity.

Empowerment

Knowledge is power, and the same goes for knowing the ins and outs of your financial situation. Understanding your financial health puts you in the driver’s seat, allowing you to make informed decisions and navigate financial challenges with confidence.

Setting Priorities

Life’s a whirlwind of goals and aspirations – from buying a home to exploring the world. By examining how you’re doing financially, you’re better equipped to prioritise your financial goals, allocate resources wisely, and make meaningful progress toward your dreams.

Future Readiness

We’re all heading toward retirement, and the journey is smoother when you’re prepared. By assessing your financial wellbeing, you’re essentially setting the stage for a more comfortable and enjoyable retirement, ensuring that you have the resources to savour life’s golden years.

Reducing Stress

Financial stress can be a real downer, affecting our health and overall well-being. When you examine your financial status, you’re taking proactive steps to reduce stress by identifying potential issues, implementing solutions, and building a financial cushion to weather unexpected storms.

Lifelong Learning

Financial wellbeing isn’t a one-and-done deal. It’s a dynamic process that evolves as your life changes. By consistently taking a look at your habits with money, you’re committing to lifelong learning and continuous improvement, setting yourself up for financial success in every phase of life.

In a nutshell, examining how you’re doing financially is a roadmap to financial freedom, stability, and peace of mind. It’s about stepping into the driver’s seat of our financial journey and steering toward a brighter and more secure financial future. So, embrace the process – your financial wellbeing is worth the effort!

6 Steps to Amp Up Your Financial Wellbeing

So now how can you improve your financial well-being? Whether you’re just starting out on your financial journey or you’re looking to level up your money management skills, these six steps can help you improve your financial health:

1. Budget Like a Boss

Budgeting is like putting on your financial superhero cape. A budget helps you see where your cash is flowing and makes those tough money decisions easier. Plus, studies show that folks who budget tend to be happier with their money situation.

2. Build That Safety Net

Life throws curveballs, right? So, stash away some cash for those surprise expenses. Aim for around 3-6 months’ worth of living expenses, and you’ll be ready to handle whatever comes your way.

3. Kick Debt to the Curb

High-interest debt is like a pesky fly – it won’t leave you alone! Make it a priority to pay debts off, especially the ones with hefty interest rates. 

4. Get Smart About Money

You don’t need a PhD in finance, but a little knowledge goes a long way. Follow some reliable financial blogs, catch a workshop, or get a coach. The more you know, the better choices you can make.

5. Dream Big, Save Big

Goals make life exciting, and that includes your money life too. Set clear goals – like buying a home, starting a side hustle, or taking that epic vacation. Having something to aim for gives your savings a purpose.

6. Keep It Real and Review

Life isn’t a static thing, and neither should your finances be. Regularly check in on your money moves. If something’s not working, tweak it. Life changes and your money plan should keep up.

So there you have it, your roadmap to financial wellbeing. Just remember that it’s not about becoming someone who will instantly know how to manage their finances overnight. It’s more about taking small, steady steps that add up over time. Your journey is your own, and it’s totally doable. Be patient with yourself. 

Are you ready to take charge of your financial wellbeing? Take the first step to a brighter financial future by joining Help My Wealth today. We are a community of experienced professionals offering people the ability to join and be assisted in taking the next step in improving their financial and life journey in a balanced way. Let us work together to guide you toward greater financial security and success.

Want to know more about this topic or how to get started? Then contact us here

Phone

0240141949

Email

info@helpmywealth.com.au

Address

Suites 1 & 2 Lake Macquarie Fair, 46 Wilsons Rd, Mount Hutton NSW 2290, Australia

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Contact

Phone

0240141949

Email

info@helpmywealth.com.au

Address

Suites 1 & 2 Lake Macquarie Fair, 46 Wilsons Rd, Mount Hutton NSW 2290, Australia

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