7 Signs You’re Financially Healthy

Even If You Don't Feel Like It — How Many Do You Have?

Lou Carlozo   Wed, February 21, 2024

January was Financial Wellness Month, but it's possible many people still began February believing that in some way — perhaps many ways — they must be mishandling their income, investments and spending.

Though we may feel literally poor about our financial standing, taking a courageous closer look may show us a much different reality.

In one of his videos, YouTuber and former financial advisor Humphrey Yang’s identifies seven signs that you’re actually doing well with your money, emotions or beliefs to the contrary.

With over 275,000 views to date, the clip isn’t set up as a pass-fail test or a prelude to a guilt trip. “... if they don’t apply to you, we can talk about how you can quickly achieve financial wellbeing,” he says.

Aiming for Less

Richard Quinn  |  Jan 5, 2024 Humble Dollar

WHAT DOES IT MEAN to “live within your means”? To answer the question, we first need to define “means.”

If your gross income is $60,000, that income isn’t your means. For starters, you need to subtract income and payroll taxes. To live within your means, you need to spend no more than your net income—income after taxes and other withholdings.

I’ll go further and suggest that your true means are your income net of monthly savings for retirement and financial emergencies. Some people do even better. They live below their means, meaning they save extra—denying themselves spending that many others happily embrace.

Living below your means isn’t about deprivation or sacrificing all enjoyment. Rather, it’s about making a conscious decision to prioritize financial security. If you’re already saving enough to meet long-term and short-term goals, living far below your means strikes me as unnecessary, even punitive. I’m not a fan of super-frugality.

The 5 Levels of Wealth and How To Get There

January 27, 2024 By Sheiresa McRae Ngo, AI Editor

If building wealth is one of your goals this year, you’re not alone. Roughly 48% of Americans are making financial resolutions for 2024 according to a study by Allianz Life Insurance Company. This is up from 43% last year.

Certified financial planners Brian Preston and Bo Hanson, hosts of The Money Guy Show, discussed how to reach the five levels of wealth. Here’s what they revealed about each wealth level and how to get there. 

Level 1: Stability

of their show, Hanson and Preston explain that financial stability signifies the ability to pay your bills without living paycheck to paycheck. This level is not solely about income, as even high earners can struggle to achieve stability. It’s about adopting a mindset of deferred gratification and discipline in spending.

8 Ways You Can Go From Broke to Rich in 2024

Cindy Lamothe   Thu, February 15, 2024

Trying to get to a place of financial stability when you’re broke can feel like an uphill battle. But according to experts, you shouldn’t give up hope. With the right mindset and strategies, you can dig yourself out of financial struggle and significantly grow your wealth this year.

Here are some ways you can get ahead in 2024.

Identify Your Limitations

“In my experience as a finance expert, I have gathered that there are two major reasons individuals are broke and living paycheck to paycheck,” said Mafe Aclado, general manager of Coupon Snake.

“It is either they are not earning enough, or are like so many others who bring home a pretty decent income, but neglect to budget their expenses,” she explained.

“Without first identifying why you are broke and why you always blow through your earnings before the next paycheck arrives, it would be next to impossible to make any significant strides in your finances, much less go from broke to rich in 2024.”

She said finding out what aspect of your finances, or spending habits is limiting and hindering your financial growth, is the first step toward going from broke to rich this year.

That said, she noted that one way to tremendously improve your finances this year is to become dedicated and ready to put in the hard work that is required.

Who Are You After Financial Independence? Thursday 2-15-24

Financial Independence, FIRE, Money and Life   By   Vicki Robin 

Your Identity Closet: What shall you wear now that you are free? 

In high school all three sororities asked me to join – three different flavors of girls to giggle and gossip with. I must have joined one because my actual memory isn’t of joining. It’s of dropping out in protest to some clique cruelty. When offered options A, B or C – I chose D. Life went on. I didn’t make a habit of rebellion. 

 In fact, I developed quite a High School resume of clubs, groups and honors. Yet I’d learned that you can step outside any box you want to – and survive. 

By my mid-20’s I’d built a serious smoking habit. Serious because I’d picked up a disaffected Galoise smoker identity when I lived in Europe, translated that to Pall Malls in the United States and was burning through a pack a day. It made me feel intellectual and complex. 

One day, at a beach house I’d rented, I smoked a cigarette, quashed it in the sand and headed off for a run along the water. I was soon wheezing and gasping for breath, came back and dropped down on the blanket where I’d left my pack of cigarettes. I looked at it squarely. 

In a short few minutes I saw the cost of smoking, decided I needed to stop and then spontaneously a voice said, I can’t quit smoking but I can become a non-smoker. And that was that. In the 50 years since I’ve visited a few cigarettes for old time sake but have not become a smoker again. 

7 Smart Steps For Managing Sudden Wealth

SmartAsset Team   Tue, February 13, 2024

A substantial boost in your personal wealth can happen overnight. You can win the lottery, inherit an estate or profit from a business sale. Many people aren’t prepared for a sudden windfall, making it difficult to know which steps can protect that money and grow it long-term to last a lifetime. If this sounds like you, you may want to talk to a financial advisor. But here are seven steps to manage sudden wealth.

1. Create Long-Term Goals

Long-term financial goals provide a clear roadmap for managing sudden wealth by offering guidance and focus. When individuals come into a significant amount of money, there may be a temptation to make impulsive decisions or engage in extravagant spending. Establishing long-term financial goals helps to channel this windfall into a structured plan, ensuring that the wealth is used strategically and in alignment with broader financial objectives.

Sudden wealth can also bring increased financial risks, including investment pitfalls, tax implications and potential scams. In this sense, long-term financial goals can act as a risk mitigation strategy by promoting a diversified and balanced approach to wealth management. And in doing so, you could adopt a cautious and well-researched approach, safeguarding your newfound wealth from unnecessary risks.