What is Financial Health and how can we define it? JUST ONE LAP has defined it as: “…having a conscious and purposeful relationship with money that is satisfying and isn’t overly stressful… Financial Health or wellness includes: spending money based on your values; having low or reasonable debt; saving money to meet your goals; and having a safety net, such as an emergency fund or insurance.”
NEDGROUP INVESTMENTS has given it more thought to provide a definition for financial wellness, saying: “Traditional definitions of financial wellness focus on the economic aspects of a person’s life. This is essential, of course, but it neglects how a person feels about their financial circumstances. A finance-only definition of well-being assumes that emotional well-being will automatically follow economic stability- our research at Morningstar shows otherwise.”
Why is Financial Health important?
Explaining why your financial wellness is one of the most important aspects of your life, is Andrew Bradley, chief executive officer of Old Mutual Wealth: “The importance of reviewing your financial affairs cannot be overemphasised, and the rewards for doing so are enormous”.
Turning your financial situation around…
“Spring is here! That means it’s time to go out and see the flowers, clean out all the clutter and overhaul your financial health! Wait… what?” MONEY SMART takes a deeper look into revamping your financial status.
Here are a few more articles on improving your financial health…
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