YOUR MONEY
SEVEN EFFECTIVE WAYS TO REDUCE FINANCIAL STRESS
By Keemonica Johnson Guest Columnist
Money is one of the leading causes of stress and anxiety for adults . Whether you ’ re spending too much or not earning enough , money issues can impact your mental health if you don ’ t address them .
Sometimes reducing your financial stress is about learning smarter saving habits so you always have a little extra money . Sometimes it ’ s a matter of learning how to earn more without overworking yourself , and sometimes it ’ s as simple as changing the way you think about money . Here are several great tips to help reduce financial stress in your daily life .
1 . Start saving now
Creating a savings account and transferring money into it regularly is a habit that you will never regret . It can stop you from spending frivolously and also gives you the peace of mind knowing you always have emergency savings if you need it .
2 . Stick to a weekly budget
Budgeting is another good way to ensure you don ’ t end up spending more than you need to . It can help maximize your savings and even help you learn better spending habits so you don ’ t feel stressed about how much money you waste . You might even want to use budgeting apps like Mint or Goodbudget to make the budgeting process easier .
3 . Tackle your debt strategically
Debt is one of the biggest contributors to financial stress - especially if you find yourself in a situation where you have a lot of debt that will take years to pay back . Instead of paying the bare minimum or ignoring the situation , create a game plan . One strategy is to put extra money towards paying your smallest debt off first . Even getting rid of one of your debts can feel like a huge weight off your shoulders . Then , you can start focusing on clearing the next smallest . Another strategy is to pay off the debt with the highest interest rate .
4 . Second-guess every purchase
Sometimes overspending simply comes down to being too spontaneous with your purchases . Seeing something you like and buying it on a whim can feel good at the time , but doing this regularly can lead to an unhealthy bank balance and an influx of financial stress .
Johnson
Instead , think twice about everything you buy . If you ’ re about to spend $ 5 at a coffee shop , consider whether it would be smarter to make it at home instead . If you ’ re about to spend $ 50 on a new shirt , put it back and consider whether it ’ s worth it . If you ’ re planning to blow $ 100 on a night out , consider whether it would be better to have a less expensive indoor gathering with friends . Soon enough , you ’ ll find yourself making wiser spending decisions and saving a lot more money .
5 . Reduce your utility bills
Even if you reduce how much you spend each month , you still have essential expenses such as your monthly utility bills . Make sure your home is energy-efficient and avoid overusing water or electricity . It ’ s also important to compare cell phone providers to make sure you are getting the best deal on your cell phone and Wifi service .
6 . Consider a way to make
money on the side
Naturally , one of the best ways to eliminate financial stress is to make more money . But while you might not have time to take on a second job , you can easily make extra money in your spare time . For instance , you might want to deliver food , or make and sell certain items if you ’ re good at arts and crafts . Not only can these ideas be profitable , but they ’ ll also help keep you occupied and take your mind off any financial burdens .
7 . Avoid unnecessary subscriptions
One type of expense that ’ s easy to ignore is monthly subscription fees for things like streaming services or websites . For example , if you already have Netflix , paying for Hulu and Disney Plus might not be worth it . If you forgot to unsubscribe to any services you aren ’ t using , do it as soon as possible . That way , you ’ ll have fewer costs to worry about and more money to put in your savings account .
Conclusion
Stressing about money can drastically reduce your quality of life , so it ’ s important to take steps to put yourself in a healthy financial situation . These tips can help you spend less , save more , reduce your debt , and achieve more financial success in the long run .
• Keemonica Johnson , Bank Manager , CNB ’ s Bonita Lakes Banking Centre . www . meridianstar . com
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