Improving your wellbeing through financial planning

The current cost of living crisis has led to a significant cause for concern for millions of people. Research by PWC estimated household incomes could drop by 4.3% in 2023, and people are being forced to reduce their spending. Financial issues are a top cause of stress for 58% of people, and 86% of people say that their mental health issues are made worse by thinking about money.

Increasing living expenses may cause many people to dip into their hard-earned pensions, savings, and investments at a time when it is least favourable to do so. This can be an incredibly stressful experience, as it can feel like all of the hard work and effort put into building a comfortable financial future is being undone. Having to rely on these funds to cover everyday expenses can also create a sense of insecurity and uncertainty about the future. This stress can spill over into other areas of life, affecting our relationships, work, and overall wellbeing.

Effective financial planning can help alleviate some of this stress by providing a roadmap for managing expenses and preserving savings for the long term. It not only helps us achieve our financial goals but can also improve our mental and emotional wellbeing. Financial planning helps us feel more in control of our finances, make progress towards our goals, and reduce stress and anxiety around money. It can also have a positive impact on our physical health, as financial stress can cause physical symptoms such as headaches, stomach problems, and high blood pressure.

Research from Royal London found that those who had received financial advice felt more in control of their finances, financially secure and stable, and better prepared to cope with shocks. Financial advice can help everyone, and it's well worth remembering the benefits ongoing financial planning can bring.

Ignoring financial issues might be easier, but it can leave you feeling vulnerable to economic shocks. In contrast, being proactive and having a financial plan in place will mean that no matter what comes your way, you will feel safe in the knowledge that you have a gameplan for dealing with it.

If you're feeling concerned about your situation consider speaking to a financial adviser or planner who can help you create a personalised financial plan that suits your needs and goals. Take control of your finances and improve your overall wellbeing. Remember, financial planning is not just about managing your money; it's about taking care of yourself.

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RISK WARNINGS

The value of stock market investments will fluctuate in value both up and down and investors may not get back the original amount invested. Past performance is not a reliable guide to future performance. Reference to a particular investment does not constitute a recommendation to buy or sell the investment. Forecasts are meant as a guide and should not be relied upon as an accurate indicator of future performance. If you have any concerns or questions about how anything mentioned in this blog post may affect your own personal circumstances please speak to Coldrey Wealth Management or another suitably qualified professional / independent financial adviser.

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