Chat

Chat

Money for Life work in partnership with the Money Advice Service, an independent organisation set up by government. Money AdviceService provides free, unbiased money guidance across the UK to help people make the most of their money.  If you have a question or need help, you can chat to them here.

Launch Chat

Chat to the Money Advice Service
Monday to Friday, 8am to 6pm
Saturday, 9am to 1pm.

 

What Does A Healthy Relationship with Money Look Like?

By Lauren Turner

When many of us think of health and well-being, we usually think of our physical health such as exercising or eating healthy. However, it can stretch to far more than that. With May being Mental Health Awareness month, it is important to reflect on your mental well-being, for example by looking at the relationship you have with money. This article is all about what a healthy relationship with money looks like.

 

Having Little Or Minimal Debt

Having a positive relationship with money means that as often as you can, you live within your means. This means having little or no debt. It can be very easy for debt to build up on a credit card or by having an overdraft with your bank. It may seem a lot simpler to use a credit card when purchasing something (especially when payday seems like it is ages away!) however this can result in a lot of stress later. This is because interest is charged on the amount that you spend on your credit card so when you go to pay it back you could be paying more than the original amount! It is important to live within your means, therefore if you can’t afford something, it’s better to save up until you can.

 

Setting Money Saving Goals

Another aspect of having a healthy relationship with money is to set saving goals for yourself. This could be to save for a new pair of shoes, a car or even to set your sights on saving for a mortgage deposit. You may also want to start saving for an emergency fund, which is savings that you put aside for unexpected expenses such as if your mobile phone breaks and needs to be fixed or your pet becomes ill and you have to pay for unexpected medical expenses.

 

Learning How to Budget

Another step you should take to develop a healthy financial relationship is to learn how to budget. Taking the time to create a budget can help you save thousands of pounds a year. By working out a budget, it can mean you are less likely to end up in debt or caught out by unexpected costs or money emergencies. The first step to creating a budget is to work out your essential outgoings such as bills, living costs and leisure. Then, you should work out your income. If you are spending more than you have coming in, cut down on unnecessary spending such as buying lunches out or canceling the gym membership you don’t use.

 

Don’t Be Too Hard on Yourself!

It is normal to have the occasional slip up when saving money, but it is important you don’t feel guilty or beat yourself up about it if you fancy buying a coffee out! If you feel concerned about your financial wellness, you should seek professional help as there are plenty of people out there who are willing to help.

 

Chat

Money for Life work in partnership with the Money Advice Service, an independent organisation set up by government. Money AdviceService provides free, unbiased money guidance across the UK to help people make the most of their money.  If you have a question or need help, you can chat to them here.

Launch Chat

Chat to the Money Advice Service
Monday to Friday, 8am to 6pm
Saturday, 9am to 1pm.