Your personal finances can be one of the most stressful areas of your life, especially if you are currently struggling financially. However, there is hope with some ways you can work to improve your financial wellbeing and take some of the stress off your shoulders. Here are four things that can help you both ease your mind and support your bank account.
Consult a Financial Advisor
When you have big plans for yourself, but don’t necessarily know how to start financially toward those plans, a financial planner can help you gain some much needed focus. It can be hard to prioritize what you should be putting your hard earned money toward when there are so many options. Should you put money into a college fund for your kids, your retirement fund or both?
This is where consulting with a financial planner can come in handy and help you create a tailored solution based on your savings and income. The key is to ask the right questions when choosing a financial planner to ensure you have someone who is right for you and your goals. After that, you can begin implementing their recommendations right away to start seeing progress as soon as possible.
Know your Credit Score
Your credit score is an indicator of how much loaned money you can take on and realistically pay off. Having too low or too high of a score can negatively impact your finances and keep you from reaching your financial goals. You can check your credit score for free annually, which is something you should do to know where you fall and if you need to undertake some credit repair work.
Knowing what your credit score is can help you in situations where you need to apply for a large loan, like when buying a house. Different home loans require different credit scores, so knowing what you qualify for can help you narrow down your options and choose something that will work for you instead of applying and being rejected, which can negatively impact your credit record.
Track Your Expenses
To help cut down some financial stress, a great place to start is to understand where your money is going. If you don’t first understand what you’re spending your money on, then it becomes difficult to develop a plan to save more toward your larger goals. Of course, there will be the unavoidable expenses for things like housing, utilities and groceries. However, there are places where you are able to cut back such as dining out and unnecessary clothing purchases, among others.
Tracking your spending doesn’t have to be difficult either. Although you might have mental images of spreadsheets and itemized receipts, there are actually some great expense tracker apps available right on your phone to make the process easy. This way, you can’t make any excuses about not knowing where to start and can easily track while on an Instagram scrolling break.
Improve Your Portfolio
Investing is one of the most common ways people seek to improve their financial wellbeing. Although this can sometimes be a quick win, and other times takes some time to see returns, developing a portfolio can be lucrative. The truth is, every person invests in something during their lifetime. Whether you have a 401K, buy stocks and bonds or even have purchased a home, you are introducing an investment into your personal portfolio.
To capitalize on your portfolio, you should consider the importance of diversifying your investments. This means you are essentially trying to mitigate your amount of risk and giving yourself options to fall back on should one investment turn sour. Thus, by improving your portfolio you can also improve your financial wellbeing.
Improving your financial wellbeing doesn’t have to be time-consuming or complicated. With a little diligence and careful planning, you can set yourself up for long-term financial success.
Authored by Anonymous Insight Wealth Strategies
Insight Wealth Strategies, LLC is a Registered Investment Adviser. Advisory services are only offered to clients or prospective clients where Insight Wealth Strategies, LLC and its representatives are properly licensed or exempt from licensure. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. No advice may be rendered by Insight Wealth Strategies, LLC unless a client service agreement is in place.
Insight Wealth Strategies, LLC (IWS) and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.
Insight Wealth Strategies’ may include links to third-party websites. These links allow you to exit Insight Wealth Strategies’ website and enter third-party websites; they are provided only as a convenience. Linked websites are not reviewed, controlled, examined, sponsored, or endorsed by Insight Wealth Strategies. Insight Wealth Strategies assumes no liability for any inaccuracies, errors, or omissions in or from any data or other information provided on such pages. Insight Wealth Strategies does not review content, advertisements, activities, or any other information posted on sites linked by third parties. Any opinions or statements posted by third parties are their own and may not be representative of the experience of others or indicative of future performance or success. Neither Insight Wealth Strategies nor any of its Investment Advisor Representatives are responsible for the information, advertising, products, resources, links provided or other material, of any linked site. The inclusion of any link does not imply Insight Wealth Strategies’ sponsorship or endorsement of the linked site. In no event shall Insight Wealth Strategies be liable, directly, or indirectly, to anyone for any damage or loss arising from or occasioned by the creation, use or reliance, on third-party websites or the information, advertising, products, resources, or material accessed through such websites. Insight Wealth Strategies reserves the exclusive right and sole discretion to add, decline or remove, without warning, any icon or link to a list or website, from the service and its website.
Insight Wealth Strategies, LLC is not affiliated with RocketMortgage by Quicken Loans.