Managing your money can be challenging and stressful, but it's necessary to improve your financial future. Even minor adjustments can have a big influence on savings. Create a budget plan if you haven’t already, to help reduce excess spending, pay down debt and/or accumulate savings throughout the year. Here are some simple guidelines to get you started.
Always have emergency savings on hand.
You never know when you might lose your job, fall ill, or come across a situation where you're unable to work. If you don’t have a savings and you come across an unexpected event that causes you not to work, you’re running the risk of major financial trouble. It’s recommended that you have an emergency fund with three to six months’ worth of living expenses.
Have a budget and track your spending.
In order to stay on top of your living expenses, a budget will help manage your finances. To keep tabs on your finances, you will need to total your fixed bills such as rent or mortgage, credit card and car payments, and insurance. Also record all your variable expenses like food, clothing, phone, utilities, gas, and entertainment. Leave room for savings whether it means cutting back on going out. Check your overall budget regularly to keep track of how much closer you are to reaching your financial goals.
Aim to live below your means.
Living below your means can take some financial pressure away from what you could be feeling. For example, you may want to consider eliminating unnecessary subscriptions or memberships you don’t use. Once you have the financial flexibility, you’ll be happier with less. Living below your means will also give you room to save more money.
“Financial freedom is available to those who learn about it and work for it.”
Accessible 24/7, your FAA WorkLife Solutions Program offers many resources and services to help you and your family. Options available through the program include concierge services to help with everyday events needing your time and attention, child and elder care options, legal and financial services, telephonic and in-person counseling, and much more. Call your program at 1-800-234-1327 or log on to www.MagellanHealth.com/Member to begin accessing these services today.