Financial stress has become a real problem in modern life, something that keeps singles up at night and causes even otherwise compatible marriages to break up. Disagreements over money and spending are common causes of divorce, and the stress these issues cause could be the source of future health problems as well.
With over 20 years of experience in financial analysis, most recently at Moss Point Financial in Baton Rouge, J.D. Perry has built a career around improving monetary gain for businesses as well as personal investments. Naturally, Mr. Perry believes that if you want to get a handle on your life, you might want to start with your finances.
Below, J.D. Perry of Baton Rouge reveals ten effective ways to reduce financial stress and live a more prosperous and comfortable life.
1. Adopt a pay yourself first strategy. Adopting a pay yourself first strategy can sharply reduce your financial stress, easing the anxiety that comes with saving and investment. By prioritizing your savings, you learn to live on less than you earn, and that is a sure way to build long-term wealth.
2. Build an emergency fund. Nothing is as financially stressful as living without an emergency fund. If you want to relieve the pressure, make the building of such a fund one of your top financial priorities.
3. Reduce unnecessary spending. Spending less is an effective way to reduce financial stress, so scour your budget for ways to cut back. It could be eating out less often, skipping that daily cup of coffee, entertaining at home or anything else you can stick with long term.
4. Diversify your income stream. Relying solely on your full-time job can ramp up the stress, especially if the company you work for has its own financial issues. Taking on a side hustle or working a part-time job is a great way to reduce your financial stress by building in a sort of safety net.
5. Earn more interest. The cash you keep in the bank is just sitting there, so why not put it to work. Seeking out higher interest is a painless way to earn extra money, and there is no reason not to do it.
6. Pursue additional education and training. If you want to reduce financial stress, earning more money is an excellent place to start. Talk to your boss about further training and educational pursuits, especially ones that could lead to a lucrative promotion down the line.
7. Talk to your partner. If you are married or in a committed relationship, talk about money with your partner. Merely being on the same page can ease your financial stress and reduce issues with financial incompatibility.
8. Use small steps to think big. Saving for the future can seem like an overwhelming goal, but you do not have to do it all at once. Identify small steps you can take that will get you toward that goal, and then just keep working at it.
9. Be bold but realistic. A little realism goes a long way, so focus on what you can do instead of what you should be doing. You might want to save $5,000 a year, but even saving $1,000 will put you ahead of where you are now.
10. Conduct an annual review. The day-to-day responsibilities of your life make it easy to lose track of your long-term goals, so set a date and conduct a yearly review. This simple exercise can reduce your financial stress and keep you on track.
Financial stress has become epidemic, and millions of your friends and neighbors are struggling with the same insecurities you are feeling. But knowing others are suffering financial stress as well is small comfort, especially if you are worried about making ends meet. If you want to reduce your financial strain, you need a proactive solution, and the ten tips listed above are all excellent places to start.
About: J.D. Perry of Baton Rouge, LA has the reputation of a tenacious and enthusiastic executive in the financial services industry. He is the former Chief Executive Officer of JP Global Capital Management and founder of ViaCap Partners, the parent company of Moss Point Financial. Mr. Perry brings over 20 years of experience in top management positions, with a proven track record of administering billions of dollars in investable assets.