Financial problems sometimes seem like they appear out of nowhere. However, there are warning signs which may indicate that you need assistance with organizing and managing your finances better. Here are some of the warning signs you should look out for before it’s too late.
1. Low or no savings
Perhaps one of the biggest signs that you need to look into your finances is if you have little to no savings towards the end of each month. Just because you’re able to pay for all your bills and necessities every month does not mean you’re in the clear. Being able to put some money aside to build an emergency fund is just as important for your personal financial planning. Before you start spending each month, put some money aside into a savings account first. This way, you’ll have something to fall back on if you are hit with unexpected expenses.
2. Difficulty paying bills
If you are only paying the minimum payment on your credit card bill because you’re unable to pay it off in full, you will end up accumulating more debt in the end. Running on credit is dangerous because your interest charges will add up over time, and if you continue overspending, you’ll end up falling behind on your payments even more. Using your credit card to pay off any outstanding bills is only a short-term solution. Be wary before swiping your credit card and start to organize your finances before it’s too late.
3. Impulse spending
It’s normal to give in and make an impulse purchase once in a while. However, making a habit of impulse spending is a slippery slope that can be difficult to climb out of. As with credit card bills, impulse purchases add up over time and before you know it, you’re spending way beyond your means. Instead of impulse buying, work on your personal budgeting and allocate a fixed amount for miscellaneous purchases. Stick to the budget you’ve made and avoid going over it.
4. Increased financial anxiety
Does thinking about your finances cause you anxiety? Everyone occasionally worries about money, but if you’re losing sleep over it and money is a big source of stress for you, then you may be experiencing financial anxiety. This stress and anxiety can often seep into your daily life, so it’s important to address it before it gets worse. The first step to fixing the problem is acknowledging it, then learning how to properly manage it.
If any of these warning signs seem familiar to you, it’s time to start organizing your finances. When it comes to being confident in managing your finances, you can count on Singlife to aid you through our mobile-first tools and solutions.
We aim to help Filipinos be confident and in control of their finances. Take control of your finances and get money planning tools with the Singlife Plan & Protect App coming to you soon. Sign up on our website now to be the first to know when we launch the app.