Financial wellness is managing your economic life and money for today and the future. Financial wellness includes having financial security and financial freedom of choice, in the present and in the future. When people rate their financial wellness positively they are more likely to feel they can effectively manage their day-to-day finances, pay bills while saving for future goals. They also feel they have retirement savings on track.
High levels of financial stress can manifest through physical symptoms such as sleep loss, anxiety, migraines, heart issues, depression, and development of chronic conditions.
Signs of Financial Wellness
- Learning how to manage your money and establishing a personal budget.
- Not living beyond your means.
- Making a plan to pay back your student loans.
- Learning about debt and how to manage it.
- Building good credit.
- Thinking long term, i.e. set up a savings account.
- Learning not to let money be the driving force of your life.
- Donating some of your money, if possible, to a cause you believe in.
Check in with your financial wellness:
- How does money impact your emotional wellness?
- Do you know how to manage your money so you know what you have and don't have?
- Are you able to pay tuition and additional school expenses? If not, do you know where to go for help?
- Do you have spending money saved so that you can get off campus and explore the local area?
- Will you need to find a job on or off campus?
- Are you thinking about a plan to pay back your student loans?
Habits that build financial well-being
- Spend less than you earn.
- Bolster your savings and reduce your expenses.
- Get yourself into a habit of saving, and save for future spending
- Only borrow what you can afford to pay (money to cover debt in savings or guaranteed income to repay debt).
- Find safe methods to grow your money and have it work for your future.
- Find ways to boost your earning capacity (increase knowledge, skills, education and find additional streams of income).
- Make sure to protect the money you have.