Financial Self-Care: Nurturing Your Relationship with Money

July 6, 2024 Leah Driver

Financial Self-Care: Nurturing Your Relationship with Money

We often focus on physical and mental well-being, but financial health is equally crucial for overall wellness. At Citizens State Bank, we believe that practicing financial self-care is essential for achieving long-term financial stability and peace of mind.

What is Financial Self-Care?

Financial self-care involves taking intentional steps to manage your money effectively and create a healthy relationship with your finances. Creating and implementing healthy money habits can help you:

  • Reduce financial stress and anxiety
  • Improve your overall well-being and mental health
  • Gain greater confidence when it comes to managing your money
  • Increase your odds of achieving your financial goals
  • Ensure you’re better prepared for unexpected financial challenges

Financial self-care is really just an important area of overall self-care. If you’re prepared to handle a financial emergency, then you’re less likely to be stressed, which is good for your overall mental and physical health.

Key Practices for Financial Self-Care

  • Create a budget. Track your income and expenses to understand your spending patterns and identify areas for improvement.
    • Practice mindful spending. Before making purchases, consider whether they align with your financial goals and bring genuine value to your life. This can help you differentiate between impulsive and intentional spending. Along these lines:
    • Set boundaries. Learn to say no to expenses that don't support your long-term goals. Setting boundaries is a great skill to practice for financial and overall self-care.
    • Automate your finances. Set up direct deposit, and don’t forget to include an automatic deposit into a savings account – even if it’s for a minimal amount. Set up automatic bill payments to reduce stress and ensure bills are paid on time. Use planners, apps, or spreadsheets, whichever works best for you, to help alleviate money-related anxiety and make managing your finances less stressful.
  • Establish financial routines. Create routines for taking care of your finances, such as dedicating a specific day to bill paying or updating your savings tracker. Routines help you stay accountable and stick to your financial plan. (Rewards for sticking to your routine are encouraged!)
    • Regularly review your finances. Set aside time periodically to review your financial progress, (re)prioritize your goals, and adjust your financial plan as needed. This practice helps ensure you're on track and making informed decisions about your money.
  • Build an emergency fund. Set aside money for unexpected expenses to avoid financial stress during challenging times.
  • Invest in education and self-improvement and try to keep it entertaining. Find a way to make learning about personal finance topics enjoyable, like listening to podcasts, reading books, or having open conversations about money. (Be sure to use reputable sources.) This knowledge empowers you to make better financial decisions and feel more confident about your money.
  • Set realistic financial goals. Establish short-term and long-term objectives that align with your values and aspirations. While it’s fine to set “stretch goals,” if you aim too high, you’re likely to get discouraged and give up altogether.
  • Reset your mindset. Be kind to yourself and maintain a positive attitude about your money. Accept where you are and visualize where you want to be without dwelling on past mistakes.
  • Ask for help when you need it. Don't hesitate to reach out for help when managing your finances. Consider working with a financial advisor or seeking support from trusted friends or family members.

How Citizens State Bank Can Help

We’re committed to supporting your financial wellness journey, whether you’re opening your first checking account, buying a new home, or looking to sell your established business. We offer tools and services to help you practice financial self-care like:

  • Personal checking and savings account to help you manage your daily finances and build your emergency fund
  • Digital tools so it’s easy and convenient for you to track and manage your funds
  • Loans and mortgages to help you achieve your financial goals
  • Educational resources (like this Financial Wellness Blog) you can trust
  • Personal Bankers to help you review your finances, set realistic goals, and discuss your questions

Financial self-care is an ongoing process that requires consistency and patience, but it pays off by helping you take control of your financial health and working toward a more secure financial future. Don’t forget we’re here to help!

The views, information, or opinions expressed in this article are solely those of the author and do not necessarily represent the views of Citizens State Bank and its affiliates, and Citizens State Bank is not responsible for and does not verify the accuracy of any information contained in this article or items hyperlinked within. This is for informational purposes and is no way intended to provide legal advice.

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