4 simple steps to better financial health

Welcome to Spring! This month not only marks the beginning of a new season, but also the 10th birthday of Women’s Health Week – a national campaign focused on reminding women to set aside time to care for their health and wellbeing.

Considering the strong link between women’s financial health and their physical health, we thought we would take this opportunity to discuss the topic of financial wellbeing and how you can improve your financial health.

If managing your money has been on the backburner for some time, don’t feel guilty - you are not alone. A recent study by BT found that only 12% of women surveyed have a clear financial goal and actively manage their finances, and only one in five women feel confident in their ability to make good financial decisions.

That means that the vast majority of women lack the time and confidence to manage their money! And what does this have to do with your overall health, I hear you ask? A lot!

According to the Australian Psychological Society , personal finances are the leading cause of stress in Australia. In the short term, stress disrupts our sleep, causes us to eat more junk food and drink more alcohol – and in the long term, it can have a range of negative effects including affecting our immune system, heart health and mental health.

The good news is that unlike your physical fitness, building up your financial fitness is relatively easy and not nearly as time consuming. Here are a few steps you can take to turn things around:

Challenge your thinking

As with forming any new habit, the starting point is to challenge your thinking. You know that little voice inside your head that says it will be too hard, too time consuming or that you simply don’t have what it takes? Squash it.?Rather than focusing on the reasons why you can’t do it (or being tempted to put it off until later), brainstorm and write down ways that you can create space for your money, resources that are available to support you and all the benefits you will gain from taking proactive action. (Spoiler alert: one resource is listed further below).

Automate

Managing your money has never been easier! When it comes to money, tech is your friend. All you have to do is put your bills on a direct debit payment aligned with your payday and set up an automated transfer to your saving or investment account. Doing this means that you will never be late paying your bills (in fact in some cases you can get discounts for paying regularly), and it does away with needing to track your budget. Your bills are paid, your future fund is taken care of, so what is left in the bank is for all the daily essentials (food, petrol, parking) and simple pleasures (shopping, movies, takeout). How much you choose to spend on groceries or takeout is completely up to you and will depend on how much shopping you plan to do that week. Easy!

Schedule a regular check in

Just as your personal relationships need some TLC, so too does your money. Scheduling a regular check in can help you to develop a new habit and grow more confident managing your money. It doesn’t have to be time consuming. Half an hour each month to make sure your savings and cashflow are on track, and an hour or two every 6 or 12 months to review your long-term goals and shop around on your bills, can be all it takes. Much like a regular dental clean can prevent hours spent in the dentist’s chair, so too can a regular financial tune up protect you from financial pain down the track – so pull out your diary and schedule it in.

Set boundaries

Last but not least, get used to giving yourself some breathing room. As the saying goes, you can’t give from an empty cup. Whether it is about being overly generous with your time or your money, it is important to learn not to prioritise other people’s needs over your own. Saying no is especially hard for women as we have been taught the Cinderella story from a young age (we must take care of everyone else first), but nothing could be further from the truth. The better your health (physical and financial) the better able you will be to support the people and the causes that matter the most to you!

If you are feeling inspired and ready to make your financial wellbeing a priority, we would love for you to join us for a very special webinar we are hosting on Wednesday 21st of September, all about simple ways to grow your wealth and your financial confidence. Click here for more information and to register . If you can’t make it live, a recording will be made available, or if you prefer to dive right in, click here to book a complimentary consultation.?

What you need to know

This information is provided and produced by Serendipity Wealth Advisors. The advice provided is general advice only as, in preparing it we did not take into account your investment objectives, financial situation, or particular needs. Before making an investment decision on the basis of this advice, you should consider how appropriate the advice is to your particular investment needs and objectives. You should also consider the relevant Product Disclosure Statement before making any decision relating to a financial product. Information in this document is based on current regulatory requirements and laws, as of 1 Sept 2022, which may be subject to change.