Does money stress feel like you are constantly swimming against the current? You’ve been budgeting, punching numbers, and doing your best to manage your finances, but at the end of the day, you still worry about money.
One thing is missing from your spreadsheet. What you need to be at peace with money is a financial wellness routine.
The great thing about having a financial wellness routine is that it’s easy to create and implement. Marissa Cazem Potts, an Intuit Financial Advocate, wrote to BGN to share the importance of having a financial routine. Potts has paid off nearly $40K in student loan debt, and in 2022 she turned her passion project into a successful side hustle.
Let’s break down why financial wellness is important and how you can create your own financial wellness routine.
What is financial wellness?
“Financial wellness isn’t just about budgeting; it’s about taking charge of your money so it works for you, not against you,” explained Potts. She also says that building a solid money routine can be a game changer for those of us who didn’t grow up with financial education.
Financial wellness is about becoming more conscious of how you think about, view, and use money. It’s more than checking your bank account once a week or swiping your card and hoping it doesn’t get declined. It’s about becoming more confident and intentional with your finances.
How to create a financial wellness routine
It’s important to note that you don’t have to start with everything at once when building your routine. Incorporate the suggestions below one at a time. Adjust as needed. Your routine will evolve and grow over time.
Reframe your beliefs about money
If money were a person, how would you describe them? You may not consider money as your best friend. Yet having a hateful relationship with money can lead to poor financial decisions. Overspending, relying on credit cards, and avoiding your bills can be a result of having negative beliefs about money.
To reset your mindset, try these strategies.
Journal about your beliefs
Writing down your beliefs can help you recognize and change beliefs that don’t serve you. Here are some prompts to get started:
- What are some smart financial choices you’ve made?
- Make a list of your financial mistakes and decide to forgive yourself.
- How does money contribute to your overall happiness and well-being?
- What have you been taught about money, and do you still believe those things?
Schedule money dates
Am I telling you to date your money? In a way, yes! A “money date” is a dedicated time to review your finances, set goals, and assess your financial situation.
Potts sets money dates on Mondays and Fridays and names these days as Money Mondays and Finance Fridays.
Reviewing your bank statements isn’t as exciting as meeting your Tinder date at a wine bar. Yet you can make it enjoyable:
- Pick a day and time, maybe 30 minutes or an hour.
- Set the mood: Pour a glass of wine, play your favorite music, or light some candles.
- Choose a focus: Don’t try to tackle everything at once. Instead, focus on one area, such as setting financial goals, creating a debt repayment plan, or reading a financial book.
Start by tracking your income and expenses
Tracking your income helps you understand how much money is coming in. If you don’t track it, you might miss subtle increases or decreases in your earnings. Tracking your expenses shows where your money is going. You might think small purchases (like snacks at the gas station) don’t matter, but they add up. Tracking also helps you identify unnecessary spending, such as unused subscriptions.
Improve your financial literacy
The more you understand money, the easier it is to manage and grow it. Financial literacy means knowing the basics — such as how credit cards work beyond swiping now and paying later. Understanding the difference between a high-yield savings account and a regular account, and what type of retirement plan you have.
Consider taking an online course, or reading a financial book or finance articles. You can even follow financial education women.
Make budgeting a habit
A budget helps ensure your money goes where it should. Think of budgeting like shopping for shoes — maybe not as fun, but finding the right fit is essential! There are different budgeting methods, such as:
- The 80/20 budget: 80% of your income goes to needs and wants, while 20% goes to savings.
- The zero-based budget: Every dollar is assigned a purpose.
Like shoe shopping, you may need to try different budgets before finding one that fits. Once you do, review your budget weekly or monthly to stay on track.
Plan for the future and diversify your income
Many experts say the key to emotional and mental well-being is focusing on the present. While that’s true, when it comes to money, planning for the future is just as important. Your future self will need money for emergencies and retirement.
To set yourself up for success:
- Automate savings for unexpected expenses (like car repairs or a broken water heater). Most banks allow you to transfer a set amount into savings automatically.
- Start a retirement plan. If your employer offers one, sign up. If not, open an Individual Retirement Account (IRA) at your bank.
- Celebrate your progress. Once you start getting your financial ducks in a row, take time to acknowledge your progress! Small celebrations help you stay motivated. Finished a financial education course? Print the certificate and hang it up! Stuck with your budget? Treat yourself (within reason) to something nice! Reached a savings goal? Throw yourself a dance party!
If you having trouble saving money, consider diversifying your income. “According to Intuit data, 41% of people say having extra income streams has a major impact on their financial wellness,” Potts reveals. Black women are catching on, with 39% planning to launch a side hustle in 2025 to take control of their financial future.
Money is a part of life. How you view money, how you manage it, and what you do with it can determine the trajectory of your life. By educating yourself about money, saving for the future, and diversifying your income you can reach financial and peace.
