Celebrate Financial Wellness Month

January 6, 2025 | Posted in Bank Blogs

It's the start of a fresh and promising new year; the time to take a breath, think about your goals, and focus on your health and well-being, especially after the stress, bustle, and expense of the holiday season. That's the reason the month of January is home to an important event – Financial Wellness Month.    

The annual awareness initiative serves as a helpful reminder about the vital role finances play in our lives and the "healthy" financial habits we can build to manage money today and achieve our goals for the future.   

Here are some ways you can celebrate Financial Wellness Month in 2025 and beyond:   

• Track/Manage your expenses. Did you create a budget during the year? And if so, did you stay within it? If you didn’t create one, make budgeting part of your plans for the new year. It’s pretty easy. Simply review all your expenses and your income. Then, look for ways to cut costs and save more. Once you build your budget, track it each month and make adjustments as needed.
   
• Create a budget. After you review your expenses, look at your income and determine how much money you have left over for the things you want to do. If it’s not enough money, go back and cut your expenses or look for ways to increase your income like a part-time job or side hustle.
   
• Make saving part of your monthly budget.  You never know the importance of having savings until you get surprised by an unexpected bill or event (such as a job loss). Make saving money a habit every month, even if you can only save a little. To help you save, have the funds direct deposited or automatically transferred to your savings account.
   
• Assess your short- and long-term goals. What are your financial goals for the new year and over the next few years? For example, if you want to buy a home, you’ll need to create a savings plan to help with the down payment. Also, consider your long-term plans like retirement. Are you contributing to your company’s retirement plan? Are you taking advantage of matching contributions if your company offers them?
   
• Stay on top of your credit.  Credit is essential to helping you reach your financial goals. A good credit score will make it easier for you to qualify for a car loan or mortgage and can help you earn lower rates. To maintain a good credit score, always pay your bills on time, keep your balances to a minimum, and don’t open too many credit accounts.
   
• Get rid of high-interest credit card debt.  With soaring inflation, it’s very easy to use credit to pay for things you need. Remember that credit cards carry extraordinarily high interest rates on revolving balances. As part of your financial wellness, look closely at your debt and focus on paying it down. You could even consolidate your debt with a lower-interest credit card.
   
• Build your financial literacy.  The more you know about money, the easier it will be to save, borrow, and plan for the future. Take advantage of the wealth of blogs and financial tools available today to boost your financial literacy.

It’s never too late to improve your financial wellness. Get off to a great start in the new year by making your finances a priority.