It is impossible to be psychologically, physically, and emotionally well if your finances are in the red. Research indicates that there is a direct link between money problems and bad health. The better your financial health, the happier and healthier you’ll be. Therefore financial wellbeing should be of paramount concern if you want to enjoy holistic wellbeing. One program that has all the necessary tools to help you on your journey to financial wellbeing is the GuardianWealth Financial Wellness Program. Our GuardianWealth personal finance app is also free for download on Google Playstore or Appstore.
Financial wellbeing is having enough money to solve your current financial problems and enough to help you enjoy life. There are two key aspects in the definition of financial wellbeing. First, having enough money to cushion you through financial storms, and secondly, saving enough to help you enjoy life.
To know whether you are financially well, just ask yourself these questions:
If your answers to any or all of these questions are “no”, then it is time to take a critical look at your finances because your financial wellbeing is at stake.
Financial wellbeing means you don’t have any money-related stress or headaches. It means you are or have achieved your financial goals and you’re living a fulfilled life. Financial wellbeing is the dream of many people but is that the reality? Certainly not. Many people are neck-deep in debts or have money-related problems that cause them stress and sleepless nights. Studies have shown that more than half of Americans have sleepless nights and are stressed due to money-related problems, thus, financial wellbeing is a myth to them. Interestingly, this cuts across all ages. However, our GuardianWealth Financial Wellness and Personal Finance App will help you break free from financial stress and set you on the way to financial wellbeing.
So how do we overcome financial problems and achieve financial wellbeing?
Well, there is a solution. It is called the four pillars of Financial Wellbeing. These pillars, when followed to the letter, can help you get over your financial struggles and attain financial success.
The first pillar of financial wellbeing is financial awareness. Before you solve any problem, you must know the root cause of the problem. Before you solve your money-related issues, you must be aware of the problem and its cause, and that is the first step in becoming financially well.
There are two steps to financial awareness which contributes to financial wellbeing
Financial Awareness involves being emotionally aware of your current financial situation. Everyone attaches strong emotions to money that is why it is important to be emotionally aware of the state of your finances. Emotions play a major role in your total financial wellbeing. For example, if you look at your finances today, how do you feel? Are you happy and proud, or are you sad and dejected? Being emotionally aware of your financial situation is the first step to attaining financial wellbeing.
The next step is financial practical awareness which involves being practically aware of your true financial status. This involves knowing your bank balances, credit-card debts, loans, health insurance, budget, etc. It means you take into account all your income and expenditure to help you diagnose the main cause of your financial problems. Being financially aware is the first pillar in helping you on your way to financial wellbeing.
After you have become aware of your current financial status and the cause of your problem, the next step is to educate yourself on how to overcome it. That is what is referred to as financial literacy, another major pillar of financial wellbeing. Financial literacy is acquiring enough information on financial matters to help you make sound financial decisions that leads to financial wellbeing. There are a host of books and online resources that you can use to acquire knowledge about finance. You don’t have to be super-intelligent nor do you have to be a finance expert, but knowing the basics such as budgeting, saving, and investing will help you to make sound financial decisions to ensure your financial wellbeing.
Budgeting, for example, helps you to track how you spend your money. An effective budget will identify areas where you need to either limit or cut-off spending so you can save money. It also helps you to develop financial discipline – a key component needed for financial wellbeing. A good budget serves as a guide, policing your expenditure and directing your finances to help you become financially free.
Budgeting helps you to learn how to save money regardless of your income. There is no way you can attain financial wellbeing if you don’t learn how to save. Saving sounds easy but practically it isn’t. That is why you need a good education on how to save and develop a savings culture. Saving is difficult and painstaking but very helpful in tough times. However, nothing worthwhile comes easy. Developing the discipline to stop reckless expenditure and to save is a step in the right direction to financial wellbeing.
Investment is one of the instruments that can make you rich or lose all your money. Without proper education and research on investing, you will be groping in the dark. Investing wisely leads to financial wellbeing. Many people have lost huge sums of money within a twinkle of an eye, due to wrong investment choices. Knowing what to invest in, where to invest, and when to invest doesn’t come naturally, you need to be financially literate. There are lots of investment scams out there. So, find sources on the internet or financial advisors to learn, at least, the basics of investing, so you don’t fall prey to these scams. Do you want to attain financial wellbeing? Then you need to invest and do it wisely. Our GuardianWealth Financial Wellness program and app can help you to make a right investment choice. You can check it out today by downloading the app on Google Playstore or Appstore.
Now that you have acquired financial literacy, it is time for the third pillar of financial wellbeing: Financial Behavior. How you apply what you have learned from the financial literacy phase is what is termed as financial behavior.
Financial behavior is how you make good money and how good you are at managing. You can check if you have good financial behavior by asking yourself these questions:
Answering all these questions and more sincerely will determine your financial behavior. It is one thing drawing a great budget or having a perfect financial plan and another thing sticking to it. It involves the creation and building of wealth, managing your resources, and effectively using your resources to attain financial wellbeing. The aim here is to develop good financial behaviors that will help you build a solid financial future.
The last pillar of Financial Wellbeing is financial satisfaction. So, after implementing the three steps above, you are more likely to be satisfied with the choices you make. Financial satisfaction is when you are inwardly happy and feel fulfilled after you have made good financial decisions that will help you in the present and the future. It also describes your satisfaction with your financial wellbeing. As mentioned earlier, you can only feel satisfied if you have religiously implemented all the pillars highlighted under financial wellbeing. These pillars need to be approached holistically to achieve maximum results. Feeling financially satisfied means less stress, headaches, and worries. Studies reveal that financial satisfaction can lead to physical, psychological, and emotional wellbeing.
So you see, Financial wellbeing can keep you healthy and productive. It can help you to solve your immediate and long-term financial problems and help you to build sustainable wealth for yourself and your next generation.
If you want to enjoy life and not have the need to worry about money again, then financial wellbeing should be your utmost priority. GuardianWealth app is the right choice for you. It is the leading financial planning app that securely monitors your financial accounts and tracks your finances. You can download it free on Google Play and Appstore.