When it comes to saving, investing, and trading funds, there are many stresses that present themselves. We have briefly discussed in a recent blog of the large percentage of individuals who have little to no savings account; this suggests evidence that many people face personal financial stress. Whether it be stressing over not having enough saved for emergencies, spending too much, or lacking confidence in how to invest your savings, there are ways to reduce the stress caused by these struggles.
If you experience a small financial anxiety, these five tips may help in relieving that feeling:
- Planning: This is one of the most important steps anyone can take in any financial situation! The planning phase is where an individual can set their financial goals. If you know where you want to be financially, you can strategize how to get there.
- Seek Professional Help: This tip can often be understated in its importance to financial success. Yes, it is very possible to make investment decisions alone and have success. But the market can seem to change instantly if you are not constantly watching the trends and values. Using investment services such as Selections & Timing will provide the knowledge needed to help. This in turn unloads a huge amount of stress because you learn how to make the decisions.
- Build a “Rainy Day Fund”: Have you ever heard of the saying “every little bit helps”? Well it is true! Even if it is just $5 to $10 a couple times a week at first, these savings will begin to grow. Maybe you are in college or in between careers at the moment, so saving a little is not on the top of your financial to do list. It is better to begin saving for emergencies before an actual emergency arrives.
- Set Limits: Impulse purchases, lending money, or going out for lunch every day, we all do it! It is fine occasionally, but doing it daily or weekly will hurt your savings goals. You can’t be an ATM. Lending money can make you feel great, but the stress of detailing when you will get it back, may hurt your relationship too. And did you really need that “As Seen on TV” hook for some gadget to lighten your purse while standing in the checkout line? Put that money in your ever so handy “rainy day fund” from tip number 3!
- Automate Bills: Nobody likes to pay bills. It is not uncommon to get the bill, and place it on the desk. Well this is a big no-no because bills here are easily forgotten! Late payments equal more fees and interest. Or if they are remembered near the deadline, there is the stress of rushing to pay them on time! So the answer is to simply use auto bill pay anywhere capable. No more late fees or rushing around results in less stress for you.
We hope that these five simple tips can provide you with tools you need to reduce the financial stresses individuals may face! All it takes is practicing good financial habits.