Money is a main stressor for many people, so improving your finances can be a great form of self-care and enhance your personal wellness.
“For me and with [what] I see with clients, financial self-care really means developing habits that work for you and reflect what you’re trying to do with your money,” said attorney Darcel Lobo. “And to make it even simpler, it is really being in control of your money, and your money not being in control of you.”
Lobo provides five tips to follow to improve your finances and be in control of your money:
- Understand your current spending habits. You may have poor habits without even realizing it, including shopping when bored and making impulse purchases. Problems usually arise when there is a lack of planning for and budgeting expenses.
- Find a budget method that works for you. Whether you prefer a pen and paper or one of the many budgeting apps available, find a method you’ll stick with long-term. Know what your goals are and what your spending should be.
- Review your bank statements. Look at your overall spending weekly or monthly. You might use your debit card without realizing where the money has been spent, so this can help you identify habits and cut unnecessary expenses.
- Set up automatic payments and automatic contributions to an HSA. Set up automatic payments for necessities, like rent, mortgage, car loan, etc. Also, review your paychecks and deductions to maximize savings, especially for what your employer matches like 401k. Use an HSA to take advantage of tax savings and save for future health expenses for you and your family.
- Set financial goals. This can get you motivated and ensure you stay on track. Make them small and doable. This helps you build momentum for financial self-care. Goals could be paying off one credit card by the end of the year, creating an emergency fund or developing a small savings.
The journey to financial wellness can seem daunting, but these simple tips can help you stay on track and meet your goals.
“It’s not scary,” said Lobo. “It doesn’t have to be.”
To learn more about practicing financial self-care, visit the Premera website.
Sponsored by Premera as part of KING 5's "Self-Care Essentials" special presentation. Segment Producer Rebecca Perry. Watch New Day Northwest 11 AM weekdays on KING 5 and streaming live on KING5.com. Contact New Day.