All Things Financial Planning Blog

3 ways to ease money stress

Do money worries rob you of a good night’s sleep and set off aches and pains in your health — and relationships? Are your shoulders — and your life — sagging under the crushing weight of financial responsibilities?

If you’re nodding your mind-boggled head, then it’s time to rethink who’s driving your financial bus. Before the wheels come off, slide into the driver’s seat and steer towards a new direction. Try these three easy ways to lighten the load of managing your personal finances to enjoy a more relaxed ride.

1. See:
   • Knowing where you are and what you’ve got is less stressful than uncertainty and imagining the worst. Go ahead, open your eyes to your finances. It’s a good time get a snapshot of your financial picture with year-end financial statements landing in your mailbox. 
   • Clear off a workspace (the kitchen table will do!) and sort your financial stuff into piles of: 
     • Bank statements
     • Investment statements
     • Bills
     • Insurance statements
     • Tax information (*bonus: this will help you get organized to file your taxes, too)
   • Identify your most to least favorite places to do business, and why.
2. Simplify:
   • Think HGTV’s “Clean House” and de-clutter your financial house. Most of us have multiple IRAs, 401(k)s and investment accounts since we tend to change jobs often. Explore how you can cut down on the number of accounts without giving up services. Consider transfer of most or all accounts to your “favorite” companies. Consolidating your financial accounts and relationships will save time and hassle, and maybe costs. Bigger accounts and loyalty are often rewarded with lower fees.
   • Opt for online versus paper statements and go “green”. You will save trees, free up space in your file cabinet, and reduce time shredding outdated information.
   • Set up recurring bills on auto-pay. If you’re concerned about control, set up a repetitive automatic online bill payment at your bank (not your payee) that you control and can change at any time.
3. Share:
   • There are so many jobs involved in managing household finances, that it’s no wonder finances can be overwhelming. Check it out:
     • Paying bills – monthly
     • Renewing insurance – annually
     • Overseeing investments – at least, quarterly
     • Filing taxes – annually
     • Recordkeeping – monthly
     • Legal – periodically
   • Most of us take a divide-and-conquer approach to running our lives. See if you and your significant other can split jobs or take turns being in charge. Not only does sharing reduce the burden, but it also empowers everyone with information and knowledge that is essential, especially if we find ourselves on our own someday.
   • We make decisions every day to either do it ourselves or to hire and outsource it. Some of us mow our own lawn and shovel our own driveways, while others hire a service. To decide whether DIY vs. outsource is right for your money life, let your time, talent and interest in managing your finances be your guide. 

Hey readers, speaking of sharing… What helps you to manage money stress?  

Karin Maloney Stifler, CFP®
President
True Wealth Advisors
Hudson, OH