A Quick Guide to Help Reduce Financial Stress
05/05/2017 2:49 am EST
Stephen McKee, editor of Selections and Timing, explains a strategy for investors, traders and savers to relieve financial anxiety in five simple tips.
When it comes to saving, investing, trading, stocks and funds, there are many stresses that present themselves. We have briefly discussed 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 enough savings for emergencies, overspending, or lacking confidence in how to invest your funds, there are ways to reduce the stress caused by these struggles.
If you experience financial anxiety, these five tips may help in relieving that feeling:
1. Planning: This is one of the most important things anyone can do in any financial situation! In the planning phase is where you can set financial goals. If you know where you want to be financially, you can strategize how to get there.
2. 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 be successful. But the market can seem to change instantly if you are not constantly watching the trends. Using investment services such as Selections & Timing (or 401k Selections) will provide the knowledge needed to minimize your risks. This in turn unloads a huge amount of stress because you learn how to make the decisions.
3. 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, it 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.
4. Set Limits: Impulse purchases, lending money, going out for lunch every day, etc. We all do it. That is fine, but trying to limit the amount of these things will not hinder your lifestyle. You can’t be an ATM. Lending money can make you feel great, but the stress of when you will get it back, and will you need that before you get it back is not necessary. And did you really need that “as seen on TV” table hook for your purse while standing in the checkout line? No. Put that money in your ever so handy rainy-day fund in tip number 3!
5. 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. Or if they are remembered near the deadline, there is the stress of rushing to pay them. 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.