Let’s face it — money can be extremely stressful. Especially now more than ever during a global pandemic and with the recent United States election.
A recent survey by Capital One found that finances are the #1 cause of stress (73%) — more than politics (59%), work (49%), and family (46%).
If you thought 73% is bad — you should take a look at the percentage by generation: The majority of Gen Z (82%) and Millennials (81%) are saying finances are at least somewhat stressful.
Here are a few ways to cope with your financial stress:
Focus on Your Mental Health
Money management can easily take a toll on your mental health. Studies have shown that people who are in debt have higher rates of mental health issues. Here are some practical ways you can focus on your mental health:
Recognize what your needs are that causes your well-being
Manage those needs regularly and strategically like a business
Disconnect from your phone and spend some time with yourself
Embrace your curiosity and try to learn something new
Find or create a support group where you can express your emotions
Make a conscious effort to return to the present moment throughout the day
Take care of your body by doing regular exercise
Treat yourself every week but also do something for your future
Find anything positive and savor in anything that brings you joy
Motivate yourself daily with positive affirmations
Taking care of your mental health is crucially important for your long-term prosperity.
“Your relationship with yourself sets the tone for every other relationship you have.” — Robert Holden
Try to Reduce Monthly Expenses
Understanding how much you’re spending every month is crucial — but there are two sides to this coin.
You have to understand not only how much you’re spending monthly (groceries, entertainment, transportation, etc.) but you also have to understand how much you’re spending on expenses (rent, utilities, subscriptions, credit cards, loans).
By using Tracker on Chromabill you can easily see how many expenses you have to pay each and every month.
Our team is working hard to enable bank connectivity and budgeting so you can also easily view how much you’re spending per month on other areas in your life besides bills.
Once you know how much you’re spending monthly, you can easily create a game plan to cut certain spending areas to save some extra money or cut expenses that you’re not really using. You can then save this extra money or put it toward any debt you may have.
Create Extra Sources of Income
Cutting down on your expenses can help in the short term but for the long-term, you need to build an extra source of income independent from your paycheck. This could range from anything such as:
Selling eBooks on GumRoad
Starting a dropshipping businesses
Investing in stocks that pay out dividends
Flipping sneakers on GOAT
Selling things you don't use
You can find more ways to build digital assets here.
Set some time for your money
This tip is pretty simple but often overlooked. At the start of each month or at the end of each month, take some time to go over your finances.
Look at your bank statements and go over how much you spent this month and set a goal for yourself for the upcoming month. The only way you can stay on top of your money is if you have a good understanding of where your money is going.
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For more tips, Visit Money Matters.