4 min read

The Role of Financial Wellness in Overall Wellness

The Role of Financial Wellness in Overall Wellness

When asked what keeps them up at night, 23% of Americans cite financial worries. This shows that if your finances are not in order, it can have a direct impact on your overall well-being. Here are a few ways managing your financial wellness can benefit your health both physically and mentally, as well as a few steps you can take today to alleviate financial stressors.

Physical health benefits of financial wellness

Financial strain and uncertainty about the future can cause stress, which can in turn cause a whole host of physical health problems.

In addition to minimizing stress – and therefore having more restful nights – working on your financial wellness may help you afford more preventative healthcare measures, like visiting your physician regularly, engaging in smoking cessation or weight-loss programs, purchasing gym memberships and nutrition classes, preparing nutritious food and more. Creating budget for preventative healthcare measures may mean you spend less on large health costs down the road.

In addition to budgeting for preventative healthcare costs, working on your financial wellness also means keeping an emergency fund, which could be used if a larger health problem were to arise. Knowing you can cover an unexpected cost can go a long way in reducing stress and improving your overall health.

Mental health benefits of financial wellness

Just like being able to afford preventative healthcare is important to maintaining physical health, creating a financial plan to ease your worries about the future can go a long way in maintaining mental health.

When the 23% of Americans who reported losing sleep due to financial worries were asked which areas of their finances worried them most, they collectively cited these reasons:

  • Saving enough for retirement
  • Affording healthcare or insurance bills
  • Making mortgage or rent payments
  • Ability to pay for credit card debt
  • Ability to pay for future educational expenses
  • Managing stock market volatility

Luckily, many of these financial responsibilities can be expected and be planned for in advance. Especially for financial responsibilities you can foresee, it’s important you create a plan early on to include how and how much you will save in order to meet your goals.

For example, if you’re one of the 19% of Americans that cite saving for retirement as your top financial stressor, you may benefit from creating a plan to increase your monthly contribution rate gradually each month until you meet your goal. While you may not be instantly saving enough for retirement, some of your anxiety may be eased knowing you’re taking steps to improve your situation.

Similarly, if you’re one of the 6% of Americans citing stock market volatility as the biggest contributor to your financial anxiety, you may benefit from taking a look at your asset allocation strategy to diversify your holdings. While you can’t foresee stock market downturns, you can proactively prepare for them. Having safeguards in place can help put your mind at ease for whenever they occur.

Steps to take to improve your financial wellness

Ready to make changes today to improve your financial wellness, and in turn, your physical and mental health? Here are some steps you can take right away.

Next steps:

  1. If you have additional tips for maintaining financial wellness, leave us a comment below!
  2. Check out our other Personal Finances articles and videos.
  3. Subscribe to receive our e-newsletter.
Merso Jusic

Merso Jusic

VP, Assistant Manager (515) 248-1322 Email Merso

As AVP, Assistant Manager at Bankers Trust’s West Des Moines branch, Merso Jusic assists customers with a variety of banking needs. He also oversees a sales team and helps them constantly improve their skills by observing and coaching them. Merso has eight years of experience in banking. Prior to joining Bankers Trust in 2011, he held assistant manager positions at Bank of the West and Wells Fargo. Merso’s favorite part of his role is that he is able to help customers reach their financial goals while also helping his team improve their skills. He enjoys the team atmosphere and that everyone is willing to do their part to provide excellent service. Outside of work, Merso volunteers at the Islamic and Cultural Center Bosniak in Des Moines. He also visits his daughter’s school to read to her peers and volunteers at Cowles Montessori School with the purpose of keeping children engaged through reading. In his free time, Merso enjoys spending time outdoors with his family. They enjoy Des Moines’ beautiful bike trails and riding on dirt bikes.

Have the Education Center delivered right to your inbox

Subscribe to the Education Center to stay up-to-date with the latest Education Center posts on the topics that matter to you.

Form Illustration

    Select which topics you are interested in, and we’ll send new posts directly to your email inbox: *