Are Your Finances a Mess? Make Life Easier Series - Loveselfcare (2024)

FAQs

What is financial self-care? ›

Financial self-care is a concept that focuses on mindfully managing your finances and nurturing your relationship with money. It's not just about responsible decision-making, however; it's about making intentional financial choices that reflect your personal values and life goals.

Self-care is often the things we avoid doing — like getting honest with yourself about your spending and saving habits. Just as exercise can become part of a health routine, you can train yourself to also practice financial self-care. Here's how.

Check your bank balance at a regular, set time so you know what you're spending your money on and how much you have left. Build money tasks into your daily or weekly routine. You could allocate a set amount of regular time to think about any tasks you need to do around money, for example paying bills.

Financial wellness is a state of financial well-being in which you can comfortably manage your bills and expenses, pay your debts, weather unexpected financial emergencies and plan for long-term financial goals such as building college funds and saving for retirement.

The average monthly cost for personal care products and services ranges by individual, but haircuts, soap, toothpaste and other essential items all add up and should be included in your monthly expense budget. The average person spends $72 per month on personal grooming expenditures.

Zishan Khan, a psychiatrist with Mindpath Health, self-care can lead to a person becoming overwhelmed or burnout when met with a sea of advice, doled out everywhere from podcasts to self-help books. Another danger can come when self-care actions reach the level of obsession or even addiction, cautions Dr.

Engaging in a self-care routine has been clinically proven to reduce or eliminate anxiety and depression, reduce stress, improve concentration, minimize frustration and anger, increase happiness, improve energy and more.

At its healthiest, self-care bolsters our physical, emotional, and mental well-being, enabling us to function at our best and live fulfilling lives. However, if misunderstood or improperly applied, self-care can devolve into a form of narcissism, an unhealthy focus on oneself at the expense of others.

The 50-30-20 rule recommends putting 50% of your money toward needs, 30% toward wants, and 20% toward savings.

How do I go from broke to financially stable? ›

Alternatively, you may put the funds in a cash savings account. "Paying yourself first" simply involves building up a retirement account, creating an emergency fund, or saving for other long-term goals, such as buying a house.

Some of the most common include paying off debt, saving for retirement, establishing an emergency fund, saving money for a down payment on a home, saving money for a child's college education, feeling financially secure and comfortable, and being able to financially help a friend or family member.

5. Health And Wellness — 5%-10% Health and wellness, personal care and family care can include other expenses like health insurance, yearly physicals and dental appointments. This can also include supplements and vitamins, exercise equipment, gym membership and more.

Americans are spending an average of $83 per month on self-care. While self-care is essential for maintaining physical, mental, and emotional health, the cost can be a barrier for some. In fact, 44% of Americans are taking care of themselves less in 2023 due to the cost.

Fifty percent is for your essential needs, 30% for your wants and 20% for savings and investments. “The allocation can change depending on your financial situation and goals, but generally, your self-care budget should fall under the 5% to 10% range,” Meiggs said.

Self-care involves:

Making healthy lifestyle choices - being physically active and eating healthily. Avoiding unhealthy lifestyle habits – avoiding smoking and excessive alcohol consumption. Making responsible use of prescription and non-prescription medicines.