If there’s one thing most people in the world worry about, it’s money. This is especially true when you’re living paycheck-to-paycheck,  anxiously awaiting your next salary installment in order to pay your rent, fill up your gas tank and pay your bills. No matter how often we’re told how unhealthy it is to go through life being anxious about finances, it can be a very difficult habit to break. But how do you stop worrying about money? Is it really possible to overcome obsessive thoughts about our finances when we are constantly trying to ensure that there’s always food on the table, the bills are getting paid, and our family’s needs are provided for? 

Excessive worrying of any kind can be detrimental to one’s health and can impede our ability to focus. When we fixate on this type of distress, it can rob us of the chance to enjoy life and it may take away time that can be spent on more important things. If you find yourself caught in this cycle of financial torment, you’ve come to the right place! Read on and learn how you can finally kick the habit of worrying about money.

Stay focused on the facts

One of the things that may cause us stress about our finances is fixating on the “what ifs”. Life is uncertain, and it’s normal to worry a little about the unknowns, such as losing one’s job or the status of the economy. However, obsessing about the “what ifs” in life will not get us anywhere. Instead of wasting time and energy on things that are out of our control or haven’t even happened yet, try to focus on the facts and on reality. Oftentimes, the things we worry about most don’t even play out in reality. 

Create a plan

People often worry about money because they don’t feel a sense of control over their finances.  Carefully creating and sticking to a financial plan can help give you a better sense of control over your finances. For example, formulating a monthly budget or building an emergency fund are some of the ways you can better manage your funds, giving you a sense of command of your financial future. 

The first step to list all of the details related to your finances, such as- monthly expenses, debt, and income. How much money do you need to allot for your monthly expenses? How much money is needed to pay off your debts each month? Will your income be sufficient to cover your monthly living expenses? If so, will there be any funds left over that you can set aside for savings or an emergency fund?

Confront your weaknesses

You have now come up with a financial plan. Great!  Your next challenge will be sticking to the plan you created. As the saying goes, old habits die hard and temptations will always be there, lurking in the background, One of these days, your friends may invite you to join them on a vacation. You may see a pair of shoes you’ve been dying to have and you consider using your credit card for the purchase. 

This is where honest awareness of your “trouble spots” is crucial. Reflect on your financial weaknesses and ask yourself honestly which temptations you may find the most difficult to resist. Once you figure these out, try to avoid these temptations whenever possible. 

Make it a priority to pay yourself

If you want to alleviate some of the anxiety you feel about your finances, take a moment to remember that you do have some money saved. Pay yourself first and put your goals, retirement, and future at the top of your priority list. Work to settle your debts as quickly as possible so they can be eliminated in the long run. The less debt you have hanging over your head, the less financial stress you’ll experience.

Avoid debt

One of the biggest financial mistakes people often make is getting themselves into debt as a way of funding their lifestyle. If you can’t afford it, don’t buy it, don’t push it. If you really want something badly, save up for it. Don’t go maxing out your credit cards because of something you want to purchase even though your cash flow is too tight. It’s better to live within your means and have less keeping you up at night than trying to maintain an unattainable lifestyle while cultivating your increasing anxiety by digging yourself deeper into a financial hole. 

It’s common for people to worry about money and finances. If you’ve been consumed by financial stress day and night, it’s time for you to put these worries to bed. If you follow these tips, you can gain control over your money and build better financial health for you and your loved ones.

Let us help you build your savings. Contact Calcite Credit Union for more information.