Tips on improving your financial health

If you’d like to improve your relationship with money and create a sense of financial wellbeing, there are some practical steps you can take. We'll run through them here.

Financial wellbeing is about a lot more than how much money you have. For many of us, it comes from having the confidence to organise our finances, feel content about decisions around money, plan for the future and have open conversations with our family or anyone else affected.

What is financial wellbeing?

Financial wellbeing is about your relationship with money, and being financially resilient, confident and empowered.

• Feel secure about your financial decisions and in control of them
• Make the most of your money from day to day whether you’re saving or spending
• Be able to deal with the unexpected
• Think about your financial future

Having a monthly budget and an emergency fund are important places to start in achieving financial wellbeing. Living from pay cheque to pay cheque is a reality for many, but if there’s room for putting money aside, a budget will help you spot where to do so.

Why is financial wellbeing important?

Evidence shows that money and mental health are connected. Feeling comfortable about your finances and any decisions you're making around them can naturally translate to feeling less stressed. You can focus on other things and enjoy better relationships with the people in your life, for example.

However, if you’re worried about money, then the stress could have physical and mental implications. For example, money worries can trigger feelings of panic and anxiety, cause sleep problems or even feelings of helplessness and depression.

Taking control of your money – whether you’ve paid off your credit card balance or managed to hit a savings target – can create a feeling of wellbeing that could, in turn, help you enjoy life more and better cope with unexpected financial events.

How can you measure your financial wellbeing?

You can find surveys online that measure financial wellbeing. Generally, someone who is financially healthy may have one or more of these attributes:

• They can put any money worries into perspective or take steps to do something about them
• They’re responsible with money and don’t waste it on things they don’t need
• They don't buy things on credit and would rather save up for them
• They measure their lives in other ways than just material wealth
• They’re able to talk to others openly about money

Measuring your financial wellbeing can inspire you to improve your financial behaviours or set new goals, giving you a sense of achievement.

What can you do to improve your financial wellbeing?

Here are some ideas:

• Find articles or books on financial literacy. They could empower you to make decisions or decide when it’s time to get some advice
• Try to save regularly
• Create and stick to a budget
• Build an emergency fund
• Make a plan to tackle any debts
• Seek professional financial advice if you’re unsure about something
• Think ahead to retirement; the sooner you start saving into a pension, the more you’ll have later
• Talk about money with family, especially big financial decisions like wills or inheritance

Everyone’s financial situation and journey differs, but healthy financial wellbeing is a mindset that can help you address your money issues.

Whatever you decide to do, look after your money. Chase's easy-access saver account lets you start saving with as little as you like.

18+, UK residents. A Chase current account is required to open a saver account.

Recommended reading

• Why some behaviours could make you less wealthy
• How delayed gratification could save you money
• Hack to make saving money fun

Disclaimer: The Hub is intended as a knowledge portal to provide information on a range of topics, including financial products. Articles may reference products and services that Chase UK does not currently offer. This article is for information only and does not constitute financial advice.