Control What You Can About Your Finances

Some of the post stressful times in life are when people feel out of control. Some examples include not being told when a delayed airline flight will take off or sitting in stalled traffic and not knowing why.

There are also many times when aspects of personal finance seem out of control. Examples include stock market volatility, housing values, data hacks, unemployment, reductions to employee benefit plans, and economic cycles.

What to do? Control what you can about your finances. Below are five decisions or actions that are totally within your control and can enhance your financial security:

¨      Personal Health Habits- Follow expert recommendations for diet, physical activity, sleep, dental flossing, and more. Spending less on health care means more money available to build wealth.

 

¨      Spending and Saving Habits- Choose to spend less and save more. Savings provides access (e.g., to housing and health care), options, and financial independence (i.e., the ability to support yourself without a paycheck).

 

¨      Prudent Practices- Decide to prepare a budget, purchase adequate insurance, shred outdated documents, prepare a will, and review your credit report regularly for errors and evidence of identity theft.

 

¨      Human Capital Investments- Make plans to take courses or other training to increase your knowledge and skills. Doing so will enhance your employability and could result in a better-paying new job or a promotion.

 

¨      Time Management- Decide how you want to spend your time, which can often affect your finances. While employers and family members are definitely a big influence, people ultimately set their own time priorities.