Summer is around the corner and your physical health isn’t the only thing to be mindful of. Whether you’re gearing up for a spring home renovation or preparing for a summer vacation, it’s important to assess your finances throughout the year to keep your accounts in check. Make a plan, set your goals and take those necessary strides to become your most financially fit self.
Discover your current level of health.
To improve your financial stability, you must first establish your starting point. Check your credit score, if you haven’t done so lately. Make sure any debt you have on your plate, from student loans to credit card debt, has a payment plan in place. You’ll sleep better at night knowing the money you owe down the road is within reach.
Compare your spending to saving ratio.
In addition to ensuring that you do not spend
more than you make each month, it’s ideal to save any remaining income. Don’t let your spending tip the scale. Future expenses are not always expected, so having some money put to the side is a great safety net, whether it goes toward an investment or a savings account.
Plan for big spending accordingly.
Are you saving up for an expensive trip or looking to buy a new car or home? Whether your big purchase is hundreds or thousands of dollars, you should consider devising a plan. Your plan will lay out how much money you need to save each month to reach your goal, which can also help you realistically decide what is feasible and what is not.
Trim up your expenses.
You don’t need to stop making dinner reservations at fancy restaurants or quit eyeing that new phone upgrade, but look back at your spending from the last 6 months to determine in which areas you overspend. Perhaps you buy new clothes more than you should or shop at a grocery store whose prices are beyond your means. Not all luxuries must be given up, but maintaining balance is important. Refinancing your assets or finding different ways to lower your utility bills can help slim your expenses.
Put your trust in a good coach.
The gym isn’t the only place with trainers eager to help you. Visit a financial institution near you to find a financial advisor that can get you on the right track. Having a support system that is constantly learning about the industry is an asset that can only improve your stability.
Staying financially fit can not only boost your wallet, but also benefit your mental and physical states. Stability is essential to living a healthy life, so don’t let your finances lose steam. Feel like you’re running off track or dipping into old habits? Set up an appointment with one of our financial advisors or check back here to see how we maintain our financial fitness.