Financial Wellness: Health and Tactics

November 29, 2023:

Christine Byrne recently released an article for Everyday Health about financial wellness, and just in time for the season where financial stress tends to peak. “Financial Wellness: How it Affects Your Health, and Tactics to Achieve It” presents an extensive view of financial wellness, going beyond the mere possession of sufficient funds. Drawing on insights from leading professionals in the financial wellness field including Saundra Davis, Ed Coambs, Derek Hagan, and Centerpoint’s Ashley Agnew, the piece delves into the tangible and emotional facets of money management. Financial wellness, as Byrne describes, involves establishing clear financial objectives and priorities, comprehending one’s financial status (income, expenses, net worth, etc.), and adeptly managing behaviors and emotions in line with these financial realities. Similarly, financial stress, a component of financial wellness, requires careful balance. While some financial stressors can deter excessive spending, persistent and overwhelming financial stress may significantly contribute to depression. The article points out that financial security and stress are distinct aspects of financial wellness, but financial stress is not solely tied to financial insecurity. Wealthy individuals might experience constant stress, while those with fewer resources could be content with their financial situation. Likewise, harmful money relationships, for example extreme materialism or living beyond one’s means, can adversely affect mental health.

Though we are still waiting to see how the COVID-19 pandemic’s continued aftermath will affect consumer mindsets in the long term, the pandemic severely impacted the economy, marked by widespread income losses and changes in employment. These economic shifts affected the ability to manage their finances and maintain their physical and mental health for many. Interestingly, the global shock also led many to reevaluate their values and relationship with money, shifting focus from material accumulation to the importance of meeting basic needs. Dr. Alex Melkumian covers how many Americans are navigating a new normal in a post-COVID economy, and the rising class of workers facing intermittent income in his book Financial Psychology: Restoring Financial wellness in a Post Covid Economy.

Given the complexities underlying most financial decisions, a one-size-fits-all solution to addressing financial stress is unfeasible. Tailored solutions become especially nuanced if you share, or are in the process of combining or separating, finances. If you are experiencing an impediment to your own financial wellness, consulting a financial adviser or financial therapist to help align finances with goals such as home ownership, education, and retirement can be a great way to get started toward your own healing. These professionals can also improve your financial wellbeing by helping to normalize money discussions with family, friends, and partners. If you are a Centerpoint client and have heavy emotions around financial stress, please reach out. We are here.

You can view the full original article featuring Ashley Agnew CFT-I™ posted on on November 16, 2023 by clicking the link below:

All About Financial Wellness: How It Affects Your Health, and Tactics to Achieve It



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