Steps to Financial Wellness

People who are serious about improving their physical health know that it requires effort and a series of small steps taken over time. It's much the same with improving your financial health. Here are some steps that can help improve your financial wellness.

Spend Less Than You Earn

You'll never get ahead financially if you spend every dollar you earn. A budget will help you track where your money is going and where you might be able to cut back on spending. Dining out multiple times a week or paying for apps you rarely use are examples of discretionary spending that could be cut. By reducing day-to-day spending, you'll free up money to put toward your financial goals.

Look for Savings

Think outside the box and look for some not-so-obvious places where you can pay less for products and services. Switching to a low-rate credit card or a different cell phone or cable provider could result in big savings.

Manage Debt

Make it a financial priority to pay down high-interest consumer debt as quickly as possible. You'll make faster financial progress if you no longer must direct a large part of your income to pay off credit cards, loans and the interest on your debts.

Make Sure You're Covered

Having enough life and disability insurance coverage in place is a key element in achieving financial wellness. A disability income insurance policy can help you pay household bills and meet other financial obligations if you become disabled and can't work. Life insurance can help protect your loved ones from financial hardship if you die unexpectedly. Achieving a state of financial wellness means that you have a degree of control over your financial life. Knowing that you have the right insurance protection and are making the most of your resources can grant you greater peace of mind.  

© 2018 DST Systems, Inc.

Reproduction in whole or in part prohibited, except by permission. All rights reserved. Not responsible for any errors or omissions. The information and general descriptions contained in this article are designed to help you understand about the factors that you should generally consider when evaluating the appropriateness of any strategy or investment in your retirement plan. Any descriptions herein are solely for informational and educational purposes and for your independent consideration; is not intended to be viewed or construed as an advice or as a suggestion for you to take (or refrain from taking) a particular course of action. In providing this information, we assume that you are capable of evaluating the information and general descriptions contained herein and exercising your independent judgment.

This document was prepared for informational purposes only and should not be considered as an advice of any kind.  Banco Popular de Puerto Rico, its subsidiaries and/or affiliates are not engaged in rendering legal, accounting or tax advice. Should legal, accounting or tax advice be required, the services of a competent professional should be sought. Investment products are not insured by the FDIC, are not deposits or obligations of, are not guaranteed by Banco Popular de Puerto Rico, or its subsidiaries or affiliates, and may lose value. Insurance products are not insured by the FDIC, or other government agencies, are not deposits or obligations and are not guaranteed by the Bank, or its subsidiaries or affiliates. Some insurance products may lose value.