Sure you can hit the gym or cut out bad foods to help your body feel healthier, but when it comes to financial health, a lot of people don't really know how to take that first step. But figuring out where your finances are at month to month is the best place to start.
“Breaking your life down to a 30 day period of time is very important, some people try and plan for the whole year, that can set yourself up for a little bit of failure,” says Matt Metzger of Metzger Financial Services. “Being able to break that down, go from January first to the end of the month and do it all over again in February and keep precisely going through each month through the calendar year that direction will set you up for good success.”
Metzger says if you are looking at getting rid of some of your debt in 2019, he suggested starting with those expenses that have the highest interest rates.
“If it’s credit card debt, maybe some of those students loans that are creeping up a little bit higher in interest rates, those are the ones that can be a big red flag to your overall financial picture,” adds Metzger. “You want to pay on those high-interest loans first and foremost. Because when you look at the dollar amount associated with what you are losing each year in interest that can be a big deterrent in your overall financial picture.”
And if you are dealing with finances with estates, investments or other financial interests, getting some outside help, could give you some piece of mind.
“If you can spend three hours out of your entire year, with a lawyer, with an accountant, and with a financial person to be able to sit down and start a plan off, you will be amazed how much better you will feel after that meeting. It will take away some of the anxiety,” Metzger also adds. “You know they talk about anxiety in so many other areas in life. Financial anxiety is one that can cause a lot of problems for a lot of people. By alleviating that stress, you can feel much better about your overall financial picture.”
Metzger says having a savings equal to 5 to 7 month’s worth of income is important to provide that security when dealing with your finances.
