“Every financial worry you want to banish and financial dream you want to achieve comes from taking tiny steps today that put you on a path toward your goals.” – Suze Orman
Let’s take a look at what these tiny steps could look like for you to achieve financial peace of mind. People the world over have been impacted by the pandemic. Goals interrupted and dreams destroyed. All income levels and walks of life have been affected. And as we struggle to come to grips with the loss of life as we know it, how can we ease our financial worries, escape sleepless nights and get back on track?
It is more important than ever right now to be in tip-top health – and this includes financial health. The first step is to recognise the link between financial well being and both mental and physical health.
Coping With Financial Stress in Your Life is explored in an article by Elizabeth Scott, MS, a wellness coach, author, and Health Educator. She says, “In many instances, the link between mental and financial health is cyclical” and, “For years, studies have shown that people in debt have higher rates of mental health issues like depression and anxiety than those who are debt-free.”
Additionally, “Poor physical health: Ongoing stress about money has been linked to migraines, heart disease, diabetes, sleep problems, and more. Left untreated, these conditions can lead to life-threatening illnesses, which can plunge you even further into debt.”
Delayed health care and unhealthy coping behaviours like substance abuse also both increase in likelihood as a result of financial stress.
Another article entitled, 10 things that can rob you of your financial peace of mind, by Craig Torr – Crue Invest (Pty) Ltd, (as the title suggests) explores 10 causes of financial stress. A worthwhile reference when considering potential areas to address. Namely: (1) Debt, (2) Being owed money, (3) An outdated will, (4) Not knowing how much you need for retirement, (5) Not knowing if your parents are underfunded for their retirement, (6) Not knowing where your money is going, (7) Not having access to cash, (8) Financial uncertainty, (9) Not being adequately insured, (10) Not having adequate healthcare cover.
It is said that, “Debt is probably the single greatest stressor when it comes to financial planning and, unfortunately, very few South Africans are immune to torments of debt.” Also, “Sadly, debt is an easy place to slip into but a difficult place to escape from and navigating the world of debt consolidation can be stressful. If you’re feeling overwhelmed by debt, be intentional about putting a debt reduction plan in place and seek professional advice if necessary.”
Scott also advises to, “Understand the debt cycle: Understanding debt is the first step to getting yourself out of it. Once you know how to break out, you can start building toward your future in a more positive way with simple habits that are easy to maintain.” She advocates to declutter your budget, create extra sources of income and, “Don’t forget general stress management. As you work on improving your financial situation, you can reduce stress by practising stress-reducing techniques and making other changes to create a low-stress lifestyle.”
At WellsFaber we will be by your side to explore and address all relevant individual issues with you. Step by step, let us walk the path together, banish your financial worries, set new goals and achieve your dreams for overall well being in all areas of life – financial, mental and physical.