June 26, 2017
3 Tips for Relieving Financial Stress
There are some things in life that are bound to cause a person stress. One of the biggest culprits of this is finances. Whether you don’t have enough money, aren’t making the money you’d like to be, spending too much money, or can’t seem to save your money, financial stress can come about for a wide variety of reasons. But because stress in excess isn’t good for your health, you should take steps to try to minimize the amount of stress you’re feeling with regards to your money. To help with this, here are three tips for relieving financial stress.
Set Small Financial Goals
Only you know exactly what it is about your finances that’s stressing you out. With this in mind, you’re going to be the best person to set your financial goals and realistic ways for you to accomplish those goals. While you might want to make goals that are lofty yet would allow you to reach your end goal at a quicker pace, Steve Siebold, a contributor to the Huffington Post, recommends setting small goals that it will be easy for you to accomplish and build up in order to make accomplishing your larger goals much easier. This strategy will also help you build your confidence regarding your relationship with your own finances.
Build Up Your Emergency Fund
Many people feel stress about money because they fear for the future. Even if you have enough money to cover your immediate expenses, you may wonder how you will afford future expenses, especially ones that you can’t plan for. For this reason, Miriam Caldwell, a contributor to TheBalance.com, suggests creating an emergency fund that you schedule periodic payments toward. As a goal, try to get at least $1,000 in your emergency fund to begin with. Once you can afford to contribute more, try to work toward saving equal to the amount of your expenses for three months and then six months. Having this extra cash in reserve can help to ease a lot of financial stress.
Knowledge Is Power
When someone is worried about money, they can be extra fearful to get the real and true picture of what their finances actually look like. Some people would rather not know how bleak their position is. However, this mindset can cause you unnecessary stress. To combat this, Jeanne Dorin of Next Avenue, a contributor to Forbes, advises learning as much as you can about your current financial situation and what you need to do in order to reach your future financial goals. Simply knowing where you are in comparison to where you want to be can help you eliminate some of the fear based on the unknown.
If you feel stress about your finances, use the tips mentioned above to relieve some of that fear today.