Skip to content
Fresh Life Advice
  • About
  • Income Reports
  • Blog Archives
  • Contact
  • Support

Target-Date Funds

When Managing Your Health, Don’t Forget About Your Financial Wellness

July 21, 2022July 21, 2022 by Fresh Life Advice
When Managing Your Health Don't Forget About Your Financial Wellness

When managing your health, people often forget about their financial wellness as well. It’s important to have balance, as with everything in life.

Welcome to the 3rd FLA Guest Blog Post! Today, we explore how to not only manage your health but also your financial wellness. Thank you to Amos from Do Money Well for sharing this helpful comprehensive guide.

From teaching your children how to manage their money to saving for your golden years, Do Money Well covers it all.

We all need money. However, when you don’t have enough to maintain your preferred standard of living, you can get stressed out quickly. This is especially true for middle-class Americans facing the uncertainty of soaring housing prices, skyrocketing childcare, and salaries that have not kept up with inflation. Fresh Life Advice explains that you can take hope knowing that there are things you can do to improve your financial standing, reduce stress, and relax.

To make the most of your money, here are a few approaches to try.

Money and Mental Health

According to UK-based Mind.org, there is a very real connection between your finances and your mental health. Not having enough money can leave you lying awake in bed each night, worrying about how to pay for everything – from your children’s braces to your electric bill.

Further, feeling as though you can’t keep up with others in your social circle can leave you with feelings of shame and guilt when you do splurge on the occasional night out. It doesn’t have to be that way. We often hear this idiom referred to as “Keeping Up With The Joneses.” A few changed habits coupled with self-care and a different perspective can help you reduce stress.

Many financial experts are of the opinion that before you send off your money to do the heavy lifting, you need to have an emergency savings account that will cover at least six months of living expenses.

One of the best places to store your cash is an FDIC-insured, high-yielding savings or checking account as it can generate maximum value.

A typical savings account provides an interest of about 0.01%. To put this into perspective, putting money in a checking account is equivalent to stashing money under the mattress. However, high-yield savings and checking provide interest rates that are more than 1%, which is about 1% more than what you usually get.

Save Money Without Sacrificing Your Health

It’s easy to think that saving money means giving up on everything you love and need to be well. This simply isn’t true. There are many ways that you can continue to put your health first. These include:

  • Meal plan. Meal planning is one of the easiest ways to keep your diet and nutrition goals. It’s also an excellent way to save money since you only have to shop once each week, and you won’t have the temptation to run to the drive-through since your food is already ready. There are many apps, such as Paprika and Mealime, that can make meal-planning easy. The Spruce Eats has a great list of different apps that can make mealtime healthier, efficient, and budget-friendly.
  • Exercise outdoors. Strong Home Gym estimates that the average gym membership costs more than $50. That’s $600 per year that you don’t have to spend, and tossing your fitness center card in the trash means one less bill to pay each month. Instead, plan to spend more time outdoors, which can help you with everything from weight loss to stress while giving you plenty of open spaces to walk, swim, and hike. Look for parks in your area that allow people to freely exercise. If you have a dog you want to include in your workouts, find a pet-friendly park and bring them along.
  • Look for free workouts online. If you can’t get outdoors to exercise, no problem. Thanks to the internet, finding workout routines and tutorials is as easy as logging into your YouTube account. Many personal trainers and exercise aficionados offer a wide range of exercise videos that can help you refine your current workout routine to learn something completely new. You can also download exercise videos to your tablet and take things outside.
  • Prioritize self-care. Self-care is something as simple as a warm bath or a good book at the end of a stressful day. Or, you may simply want to crash on the couch with your favorite video game or the television program you’re currently watching. Do what makes you feel your very best; you are doing yourself a disservice if you feel like anything less, and your goal is to feel better, not worse.
  • Shop for affordable products. Look for highly-rated kitchen gadgets, workout equipment, and other health-focused products to help you live healthier. You can check out Safe Smart Family for unbiased reviews and information on the latest products to help get you started.

Inflation is when the costs of products or services rise but paychecks don’t keep up. An increasing inflation rate can paralyze a nation’s currency value and buying potential.

In fact, inflation can reduce the wealth that you create. For instance, the present inflation rate in the United States is 2.26%. So, if you invest in a fixed deposit (FD) that offers a 3-4% return, that is not going to work.

This investment will erode your wealth. It will work against you. This is the reason investors invest in market-linked assets, such as mutual funds and stocks. These assets can outpace inflation. Top-quality stocks generate average returns between 9% and 12%. With mutual funds, you can get a return of 6% to 15%.

Buying assets is an effective way to make money and beat inflation. There are apps that provide access to top-quality mutual funds and stocks.

Earn Without Giving Up All of Your Spare Time

When you simply need to make more money, your first inclination may be to take on more hours at work or to get a part-time job. These can absolutely help, but then you continue to be defined by someone else’s time clock. Instead, consider starting your own business on the side such as purchasing a condo and renting it. This gives you flexibility and, depending on what you do, may segue into a passive income down the road.

When Managing Your Health, Don’t Forget About Your Financial Wellness
Image Source: Mikhail Nilov on Pexels

Keep in mind here that there are a few steps you should take to get your side-gig off to a good start. One is to invest the time into researching how to file an LLC.

This will make it much easier to keep your business finances and personal finances from commingling, which can protect you from financial losses. However, each state has different LLC guidelines and regulations, so it’s important to do some research to ensure you’re following all of the required steps. If you’re feeling overwhelmed, work with an attorney to make sure all of your paperwork is correctly filed with the proper offices. Formation services can also help you with this part of the business formation and are often less expensive than a lawyer.

You also want to consider scouting ahead to hire an assistant, which can handle some essential tasks on your behalf while you work your “day job.” Entrepreneurs’ Organization suggests interviewing wisely and making sure that your assistant is someone you can trust. While you will have to put some time into growing your business, you only have to work when you want, which means you can take time off for self-care. Additionally, you could also hire a virtual assistant to help with things online, such as answering phone calls, responding to emails, and helping you with aspects of your business. Virtual assistants are particularly helpful if you don’t have a physical office and are running things from your home.

Your overall wellness and health is more than the sum of what you eat and the number of hours you exercise each week. To be truly at your best, you have to take care of yourself in all areas. This includes tweaking your finances so that you have one less worry on your plate.

Why Guest Post With Us?

Guest posting allows you to gain access to our readers and serves as a way to promote your content. We do not charge for guest posting like many other blogs. We believe in the power of unique, valuable content and will not charge to promote it!

Disclosure: Fresh Life Advice is an opinion-based website. I am not a financial advisor, and the opinions on this site should not be considered financial advice.

Personal Capital: The Ultimate Tool to track your Net Worth, Budget and more.

How do you focus on your health and financial wellness? Let me know in the comments below.

Categories Budget, Debt, Early Retirement, Fresh Life Advice, Investing, Life Hacks, Millennials, Money, Saving Money, Side Income, Working Tags Assets, Do Money Well, Early Retirement, Eliminate Debt, Exercise, Fixed Desposit, Fresh Life Advice, Frugal, Habits, Health, High-Yielding Savings Account, Index Funds, Inflation, Internet, Investing, LLC, Meal Plan, Millennials, Passive Income, Plan, Real Estate, Save Money, Self-Care, Spending, Statistics, Strategy, Target-Date Funds, Virtual Assistants Leave a comment

How to Make Your Money Work for You: A Comprehensive Guide

December 13, 2021 by Fresh Life Advice
How to Make Your Money Work for You A Comprehensive Guide

When you ask for financial advice, people will often say “make your money work for you.” But how do you do it? Well, the answer isn’t simple, and there is no one-size-fits-all solution.

Welcome to the 2nd FLA Guest Blog Post! Today, we explore how to make money work for you. Thank you to Michael from Finance-Able for sharing this helpful comprehensive guide.

Finance|able was created to fill the void in the market for approachable, intuitive finance career training.

Once you make money, it is tempting to let it sit in a savings account as you try to earn more. But by investing your money, you can make it work for you and grow over time. Investing is central to a comprehensive money management strategy.

To make the most of your money, here are a few approaches to try.

1. Open a High-Yielding Savings Account

Many financial experts are of the opinion that before you send off your money to do the heavy lifting, you need to have an emergency savings account that will cover at least six months of living expenses.

One of the best places to store your cash is an FDIC-insured, high-yielding savings or checking account as it can generate maximum value. 

A typical savings account provides an interest of about 0.01%, while putting money in a checking account is equivalent to placing money under the mattress. However, high-yield savings and checking provide interest rates that are more than 1%, which is about 1% more than what you usually get. 

2. Purchase Assets that Aren’t Affected by Inflation

Inflation is when the cost of products or services rises but paychecks don’t keep up. An increasing inflation rate can paralyze a nation’s currency value and buying potential.

In fact, inflation can reduce the wealth that you create. For instance, the present inflation rate in the United States is 2.26%. So, if you invest in a fixed deposit (FD) that offers a 3-4% return, that is not going to work.

This investment will erode your wealth. It will work against you. This is the reason investors invest in market-linked assets, such as mutual funds and stocks. These assets can outpace inflation. Top-quality stocks generate average returns between 9% and 12%. With mutual funds, you can get a return of 6% to 15%. 

Buying assets is an effective way to make money and beat inflation. There are apps that provide access to top-quality mutual funds and stocks.

3. Create a Stream of Passive Income

Passive income means the money earned with little or no effort. When you have set it up, passive income will earn you money while you sleep. This can lead to financial independence, but having passive income streams is not a get-rich-quick method.

To create a stream of passive income, you must invest upfront — whether that investment is money or time. But it will lead to large payoffs later on.

A few forms of passive income include silent business partnerships and real estate investment. However, you can also generate money through other methods, such as making YouTube videos, or starting a blog and earning via affiliate marketing.

4. Create a Retirement Fund

Many people don’t enjoy the luxury of a pension. So, you should store your money in a retirement account. Individual retirement accounts (IRAs) and 401ks are investment accounts. This means your retirement savings are an investment in the market and can grow exponentially.

Create a Retirement Fund
Image Source: Stevepb on Pixabay

The primary idea is to leverage the money you have to make more money. As you save as much as you can, your money will work for you tax-efficiently to grow more money.

In addition to IRAs, another great option is health savings accounts (HSAs). These are savings accounts with high-deductible health insurance coverage.

When you sock money away in an HSA, you won’t lose it. If you need the money for healthcare, you can withdraw your money without paying any taxes. As you turn 65, the money in the account will transform into an IRA.

So, you don’t get penalized for using the fund for other purposes. Using the fund, you can pay long-term care premiums and Medicare costs.

5. Use Target-Date Funds

Lifecycle funds, or target-date funds, are structured to grow in assets and rebalance continuously over time to optimize your savings.

It’s safer to invest in target-date funds as it helps in managing investment risk. With target-date funds, it is also possible to structure your retirement fund when you don’t want to delve deep into setting up your portfolio.

A target-date fund is based on the fund you set up for return and your age. The funds are more diversified when you are younger. This increases your risk and increases the fund’s value. So, as you age, target-funds will readjust to become more conservative.

With a target-date fund, you can set the approximate age or year you plan to retire. Presently, many target-funds have been set up for a return in 2050. It is offered through many money lenders and banks. 

The process comes with some drawbacks, but one of its primary benefits is simplicity. If you want, you can make your initial investment and forget all about it until you retire. This can be preferable to bonds, stocks, and other retirement portfolios, as it is a painless method to invest in your retirement. However, you should know which stocks to buy and when it’s the right time to invest in the stock market.

6. Choose Credit Cards with Rewards

When you use a credit card, it might feel like you aren’t putting your money to work. However, choosing a card that comes with a reward can be good for your lifestyle. For instance, airline miles can be good for people who are interested in traveling.

If you have steady cash flow and pay your bills on time, you can find great credit cards. However, if you are in credit card debt, this strategy might not be useful for you.

7. Invest in Gold and Bonds

When it comes to a conventional investment strategy, many tend to look toward gold. Like real estate, it is an asset that might appreciate steadily with time. You can buy gold and hold it in your hand. This can be an appealing option for people who prefer tangible assets.

As you consider investing, be sure to take your overall portfolio into account instead of just one investment. However, in such cases, gold can serve as a stunning piece of your financial plan. But don’t invest all your money in gold. It should only be a part of your investment strategy. 

Another option is to invest in bonds, where you provide a loan to an organization that consents to pay back the debt on a certain schedule. Bonds are sold by businesses and government agencies. Usually, bonds pay off twice a year. Hence, you have a predictable income source if you invest in a bond until it matures.

Bonds are predictable and this makes them attractive in an investment portfolio. If you decide to spend on volatile investments that come with some degree of risk, bonds are a good way to offset such risk.

Your gains from the bond will not increase to the level of the riskier ventures. But they are a good foundation for your investment strategy. However, before you invest in bonds, make sure you thoroughly understand the difference between stocks and bonds.

8. Become a Silent Partner in a New Business

It can be a risky move to start your own business. However, if things progress well, it is likely to pay off.

A good way to reap the benefits of a startup without the stress of getting the business off the ground is to be a silent partner who invests capital but doesn’t take care of day-to-day operations. This method allows you to earn a cut of the profits without investing long hours.

However, if you use this strategy remember that you won’t be involved in the daily decision-making process. So you may not have as much control over your investment as you would like. And if the business tanks, you will have to bear the financial loss.

9. Eliminate Debt

The idea of making money work for you is that every dollar, penny, and dime you invest or save multiplies exponentially. However, if you have debt, the exact opposite is going to happen.

Basically, each dollar you owe will cost you more in the long run. Like many, you may think that spending large sums of money now will benefit you over time, even if it means going deeper in debt. But this can cause you to stay in debt longer, and the longer you are in debt, the more money it is going to cost you to get out.

Sadly, banks and credit card companies don’t exist to help you. The money you lose every month funds their organizations. Rather than working for you, your money is working for them. 

Today, people are in different kinds of debt. With time, many have accepted debt as part of their life. But this is a mindset you should get rid of. You should not accept debt as part of your life.

Here are some ways to streamline your path to a debt-free life. 

  • Find out exactly how much you owe. It is crucial that you own your debt. Only when you know the amount you owe and to whom, along with the interest rates, will you be able to pay them off effectively.
  • Develop a strategy. This takes into account the amount you owe to every company along with their interest rate. The higher the interest rate, the faster you should pay it off. Use loan tracking software to learn how much you have to pay monthly to clear your debt, including student loans. Make sure you are honest with yourself. It is difficult to eliminate your debt, but it isn’t impossible.

10. Invest in Real Estate

Real estate is not a guaranteed investment. But if you have the cash and risk tolerance, consider investing in commercial or residential properties.

There are two types of real estate investment. 

  • Buying a single home.
  • Investing in land to sell or in homes or stores to rent.

Your decision to branch out will depend on the market and your desire to own rental properties. In most cases, if you can take on the added responsibility of upkeep and management, investing in real estate is a great option.

Many homeowners take real estate to be the biggest asset in their investment portfolio. However, make sure that you don’t weigh your portfolio too heavily toward a single asset.

11. Invest in Cryptocurrencies

Cryptocurrencies can also be part of your investment portfolio. However, it is a speculative holding. The value of cryptocurrency is increasing exponentially, but investing in crypto comes with high risk. If the market crashes, you lose your investment.

Cryptocurrencies like Bitcoin trade with swings of at least 2% routinely throughout the day. But people think that as cryptocurrencies are adopted by more and more people, they will continue to increase in value. Take that into consideration before you decide to invest in it. 

What Is the Best Way to Make Your Money Work for You?

The power of investing money is incredible. However, you are not going to get anywhere until you get started. With every passing day, you are missing out on opportunities to grow your money.

No matter the type of investment you make, seeing results will take time. Hence, we recommend getting started as soon as you can to make your money work for you.

We have provided a list of investment strategies, but you should only go for the ones that work for you. Identify your risk profile and long-term goals. Decide on a plan where you will not have to take more risk than you’re comfortable with. 

Remember, investing is about carefully following strategies to a robust financial future.

Why Guest Post With Us?

Guest posting allows you to gain access to our readers and serves as a way to promote your content. We do not charge for guest posting like many other blogs. We believe in the power of unique, valuable content and will not charge to promote it!

Disclosure: Fresh Life Advice is an opinion-based website. I am not a financial advisor, and the opinions on this site should not be considered financial advice.

Personal Capital: The Ultimate Tool to track your Net Worth, Budget and more.

How do you make your money work for you? Let me know in the comments below.

Categories Budget, Debt, Early Retirement, Fresh Life Advice, Investing, Life Hacks, Millennials, Money, Saving Money, Side Income, Working Tags Assets, Bonds, Credit Card Rewards, Cryptocurrencies, Early Retirement, Eliminate Debt, Finance-Able, Fresh Life Advice, Frugal, Gold, Habits, High-Yielding Savings Account, Index Funds, Internet, Investing, Millennials, Passive Income, Plan, Real Estate, Retirement Fund, Save Money, Spending, Statistics, Strategy, Target-Date Funds, Wall Street Leave a comment
Personal Finance Blog Feature
Camp FIRE Fresh Life Advice

FREE UPDATES

Recent Posts

  • February Side Income Report | 2023
  • January Side Income Report | 2023
  • December Side Income Report | 2022
  • November Side Income Report | 2022
  • How To Grow Your Side Hustle Into A Full-Time Business
Personal Capital Sign Up

Archives

  • March 2023
  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • July 2020
Jooble Financial Analyst

Categories

  • Budget
  • Debt
  • Early Retirement
  • Fresh Life Advice
  • Investing
  • Life Hacks
  • Millennials
  • Money
  • Real Estate
  • Saving Money
  • Side Income
  • Travel
  • Working
Close
© 2021 Fresh Life Advice

Categories

  • Make Money
  • Saving Money
  • Book Reviews
  • Budget
  • Debt
  • Early Retirement
  • Investing
  • Millennials
  • Life Hacks
  • Side Income
  • Real Estate
  • Random Thoughts
  • Fresh Life Advice
  • Travel
  • Work

Get To Know Us

  • About FLA
  • Blog Archives
  • Contact Us
  • Support Us
  • Privacy Policy
  • Disclosure
  • Terms and Conditions

Get Help

  • Email Us
  • Sitemap

Fresh Life Advice is a website devoted to helping everyday people make, save, and grow money. While our team is comprised of personal finance pros with various areas of expertise, nothing can replace professional financial, tax, or legal advice.

Fresh Life Advice is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com.

Fresh Life Advice has partnered with Bluehost for our coverage of website hosting products. Fresh Life Advice and Bluehost may receive a commission from customers. Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed or approved by any of these entities.

© 2023 Fresh Life Advice • Built with GeneratePress
 

Loading Comments...