What do we mean by financial well-being?
You hear this phrase all the time, but do you know what financial well being means and how you can achieve it?
Generally, the path to financial well-being is to having these four things:
- Control of your daily finances
- Ability to cope with financial shock
- Knowledge your financial options
- On track to meet financial goals
How do we achieve a feeling of financial well-being?
Achieving a state of financial well-being requires that you examine what you want your life to be like; how you want to live, and what choices you need to make now and in the future. Using the SAM action steps helps you to think through your options and make informed decisions that fit your lifestyle and values.
- Size up your situation – make an appraisal of level of financial well-being now
- Analyse your circumstances – what are your options to begin the journey
- Make a plan – develop a game plan for the long-term
Finally – what do you value?
Examining your values lets you clearly understand what matters most to you and why you set the goals that you do. The judgments you make begin to reveal patterns in your behaviour that are specific to you and your values; so when you begin to make the hard choices, remaining true to your values and goals makes the process much easier
Examining your current situation, knowing your values and setting realistic goals will help secure your financial future.
