Good mental health is all about having positive thoughts and emotions that are aligned with your actions. But if you’re constantly stressing out, you won’t be able to make the best decisions- not only with your life in general, but especially with regards to money management.Mentally healthy people tend to have fewer severe money issues, and a much better relationship overall with their finances. If you take care of your mental health, you’re more likely to make better financial decisions that can lead towards living a stress-free life. If you’re facing 4 hacks can help you to achieve this.
6 Easy Steps to Skyrocket your Financial FreedomArun Sharma August 14, 2019
1. Keep a check on your money
Spending money can become a compulsive habit for some people. Most of the people become anxious after analyzing their real financial health i.e. the ratio of their monthly income to expenses. Maintaining a budget to track your daily expenses may sound burdensome; but this habit will make you much more mindful about where every rupee is spent, and will make you think twice before you make a purchase (especially on frivolous expenses).
2. Pay yourself first
Savings is something that most of us think about once there is any leftover money from our monthly expenses. Unfortunately, this amount tends to be far too little (or worse, non-existent!) to contribute towards substantial savings. Whether you’re salaried or self-employed, a non-negotiable rule of thumb you must inculcate is to set aside at least 20% or more of your monthly income towards savings.A good way to do this is by setting automatic deductions from your salary account to a savings account. This method of “set it and forget it” will compel you to live within your means, while growing a healthy savings balance. This money can further be utilized towards liquid savings and investment purposes.
3. Make your payments on time
Take care of your bills in a timely manner, because it will also help you avoid late fee penalties. This is crucial especially when it comes to credit cards. If you have any outstanding debt on your cards, ensure they’re paid off in full every month to maintain a healthy CIBIL score and avoid additional late fees. Additionally, paying all your bills on time gives you a better sense of the funds available for your monthly needs and for your monthly investments.
4. Re-invest your money in the market
Most people only consume the resources from the market without investing back into it. If you want to build wealth, investing is a must. While the stock market is full of great investment strategies, having a Systematic Investment Plan (SIP) to invest in financial market is a tremendously helpful step towards planning your finances. It helps you to put aside any amount of money every month (as little as a few thousand rupees), which can grow into a source of wealth for the future.
5. Keep improving your career
Most of the qualifications won’t land you a high-paying job. Keep a rational attitude towards options like becoming a part of start-ups which are ready to give you a chance to grow and develop your skills in more than one department. Use the internet to learn and add on to your career, thus improving your potential to increase your income. There are thousands of online resources available to help you learn and add a new skill to CV, and many of them are free of cost.
6. Reward yourself occasionally
One of the main traps one can fall into is creating such a restrictive monthly budget that leaves zero room for enjoyment. This makes the temptation to binge and splurge even more probable, similar to what happens when you follow an unhealthy and restrictive dieting plan. Instead, create a plan by allocating a small portion of what’s leftover from your income post your auto-savings for an enjoyable (yet modest!) treat.This will is less likely to make yourself feel deprived and cause impulsive spending in the future. If you manage to stick to your savings and budget plan, you can plan to reward yourself with a slightly bigger yet very affordable indulgence after 6 months of disciplined saving.
The above tips may not help you immediately, but they will incrementally and steadily help you build both a healthy life and bank balance. In case you are short of funds, we’re always here to back you up with your cash needs instantly.Financial companies like Upwards – Quick Personal Loans provide short-term loans between Rs.15000 – Rs.50000. They provide hassle-free personal loans to all job profiles like teachers, software engineers, accountants, retail store employees, nurses and more who draw a minimum salary of Rs.15000.