Key Pointers For Financial Health

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So much time and effort is focussed on our physical health and well being with things like visits to the doctor, fitness training, over the counter medication and general worry, dedicated to matter of health. But while physical health gets a load of attention things like mental health and financial health are seldom spoken about. It is almost like they are taboo subjects or areas that are considered to personal to talk about – which of course is absolute rubbish. So having highlighted this as an area for concern, here is a list of basic things that you can do to improve your financial health. 

Beware of debt 

Debt is the biggest problem for anyone trying to be financially healthy. It creeps up on you and before you know it you can be in a giant hole. The best way to stay out of debt is to not spend money that you don’t have. Sadly however this is often not possible and so the cycle of debt begins. The good news is that there are now people who specialise in credit repairs who can help you escape the cycle of debt and its devastating impact. 

The reality however is to remember to try your best not to get into debt in the first place. Before committing to a debt, ask how essential it is that you spend the money. If it is for food or school fees or absolute essentials then go for it, if it is for furniture or luxury items then wait until you have the cash. It can be done but to fix credit rating Australia is a process that is best avoided.    

Save hard 

Saving is probably the most important part of proper financial health. If you are not putting money away regularly then you are opening the door for a disaster. Ultimately your goal should be to pay cash for everything you buy, which means that if you are not saving that you will never be able to purchase anything that costs more than the money you earn in a month. So know what you want and save for it. Create multiple savings pots if necessary so that the funds stay separate but save. And don’t forget to save for unforeseen contingencies, it is pointless just saving for holidays and possessions if you are not saving for rainy day type emergencies as well.  

Set your own goals       

Know what it is that you want from your financial life and set about trying to achieve it. Be very careful of falling into the trap of copying other people or coveting what they have. If your goal is to live in a nice house and send your children to a good school, then don’t try to keep up with another family who have decided not to have children and who want to travel to exotic locations every year. If you try to bolt their holidays onto your life then you will come short. So set goals and aim for them and don’t be distracted by what other people are doing or what they are spending on.  

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