Money worries affect people at all incomes. 4 in 10 people have less than £100 to spend at the end of the month, which of course can lead to financial stress. People who find themselves in this boat tend to worry about: the general cost of living, lack of savings, rent, credit cards, and retirement.
Approximately the same amount of people (4 in 10) on middle and higher incomes also worry about money - this is due to having bigger mortgages to pay and higher lifestyle expenses that can put the financial pressure on.
In fact, studies have shown that when our household income reaches a certain level, we actually begin to drop down the ‘happiness scale’. Long hours spent in the office may mean that you earn more and can afford more luxuries, but you may be too tired to enjoy a drive in your fancy car, or a Michelin star dinner with friends.
Financial Wellbeing isn’t about earning the most you possibly can - it’s about being able to spend time, money and effort on what makes you happy, both now and in the future.
So how can you do this? Firstly, it’s important to understand your relationship with money and what needs we use it to satisfy. Let’s take a look at some examples of purchases, the need we’re satisfying, and a cheaper alternative to satisfy that same need.
If you purchase a lot of books because you love reading, perhaps you could join your local library or do a book swap with friends. Or if you spend a lot of money at restaurants because you enjoy spending quality time with your loved ones, why not try cooking a new recipe together at home?
When we can understand WHY we do something, it becomes a lot simpler to find alternative ways to fulfil our needs, if we want to. The same goes for preparing your Wills and ensuring that you are adequately insured should anything go wrong. If you understand why we should make a Will or take advice about insurance, you are more likely to understand the consequences of not having a plan in place.
Please feel free to contact us for a no obligation chat if you are worried about your Wills, Powers of Attorney and/or insurance position.