Ever wish you had more financial success? Laura reviews six key habits of financially healthy people that you can use to transform your life and create a more secure, happy future.
Habit #5: Financially healthy people have regular money checkups.
Just like you should have annual medical and dental checkups, you should do the same with your finances. If you don’t review your financial plan and goals, it’s easy to lose track of your progress.
Financially healthy people know that they need to accomplish tasks like adjusting spending plans, tracking net worth, reviewing retirement investments, and reevaluating insurance needs.
You need to know exactly how much you make, how much you spend, and how much you save. You simply won’t succeed if you don’t have a clue about your monthly income and outgo. Another key money checkup is to monitor your Personal Financial Statement (PFS), which tracks your net worth.In chapter two of my award-winning book, Money Girl’s Smart Moves to Grow Rich, I tell you exactly how to create both a spending plan and a PFS. The chapter is jam-packed with information including:
- how to set short-, medium-, and long-term goals
- the right amount of emergency money to accumulate
- what types of insurance you should have
- how to create a retirement plan and estimate how much money you’ll need
- 15 clever ways to save more money
Habit #6: Financially healthy people protect their ability to earn.
Our current and future financial security hinges on our ability to earn an income. Successful people know that without good health, you won’t have the mental or physical energy to create a healthy financial life.
While it’s important to reduce expenses, you simply can’t grow wealthy clipping coupons. There’s a limit to the amount of costs you can cut—but there’s no limit to the amount you can earn! So stay focused on big wins that could dramatically improve your finances.
Always have the mindset that your job or business income could end right away. While that might seem depressing, it’s a great prompt to improve your personal network, look out for new opportunities or responsibilities, learn new skills, and improve or add new revenue streams.
Financially healthy people don’t wait for opportunities to fall into their laps or rely on luck. They help themselves by staying sharp, seizing opportunities that others might miss, starting a side-hustle, trying a new career, or negotiating for a raise.
When you take the initiative to improve your health, your mindset, and the value you can provide to the world, you also take charge of your financial success.