Did you know that worrying about the state of your financial future is one of the leading causes of poor mental health? In the US, most full-time workers are only two paychecks from being homeless. Although working individuals are urged to keep at least three months of living expenses in their savings accounts, it isn’t usually possible to save up a healthy emergency fund if your paycheck is always stretched to pay current bills. Should you decide to go back to college for an online counseling degree, you will probably have more expenses and bigger bills to pay each month. If you pick up a second job you’ll get less sleep and commute for longer. There’s no simple way to alleviate financial stress, but you can keep it from causing you to have a mental breakdown.
Learning That Financial Stress Is a Universal Issue
You may see your neighbors going out to eat with their families all the time, buying new ride-on lawn mowers, or going into their homes with arms full of shopping bags, but that doesn’t mean that they aren’t troubled by their finances too.
Sometimes people believe that their financial troubles are a sign that they are failures at life. If you work in a professional field, went to school for an online masters in counseling, or have the ability to bring in big commission checks, you can feel like you’ve let yourself down. The fact of the matter is that very few people are earning enough money to pay their monthly expenses and save for retirement the way that they want to.
Can Living on a Budget Make You Happier?
If you have been attempting to live as if you don’t have a balloon mortgage payment coming due then you are in denial about the state of your finances. Your finances are probably not where you want them to be, but budgeting your paychecks can make you a lot less worried about your future. Knowing that you can’t really afford to go to the mall and make purchases on a whim may make you feel like you’re doing something wrong, but the truth is that spending responsibly will alleviate your mental stress. Save all of your extra money for a couple of months and you’ll have enough savings to deal with your next financial emergency.
Keep Financial Burdens from Getting You Down
When you would normally go get a gallon of gourmet ice cream to make you feel better about finding a new collection account on your credit report, you can make some homemade ice cream instead. A lot of people keep going back to the same behaviors that caused them to fall out of control of their finances. If you can’t afford to spend money on things that you don’t need, then avoid overspending. Becoming financially disciplined will prevent you from feeling like you are down and out forever.
Want to be able to go on a vacation to Hawaii next year like your other relatives? Practice financial frugality. Find out what types of goals are important to you and use your finances as a means of making you feel more personally fulfilled.