Achieving financial well-being can feel like a tall order for some, and even unattainable for others. The good news? There are more resources, financial guidance opportunities and tools to help individuals and businesses feel more confident and empowered about financial wellness than ever before.

What is financial well-being?

Lisa Coram, a financial wellness and senior educator for Desert Financial Credit Union, offers a few common perspectives on the meaning of financial well-being.

“Most people say financial wellness is based on financial education,” she says. “Some people say financial wellness is based on how you feel about your finances, and others say it’s really about the money.”

Coram favors a more full-circle approach. “The National Endowment for Financial Education, describes financial well-being as being in a place where individuals have a mix of knowledge and access to tools,” she says. “They have confidence and an opportunity to live their best financial life.”

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The roadmap of financial balance starts with a budget

One of the first steps in working toward achieving financial well-being is establishing a budget. Equally important is regularly conducting a “budget check-in.”

“I think sometimes people develop a budget and then they’re like, ‘Okay, I’ve done it.’”

Coram stresses how helpful it can be to view budgeting and financial well-being as a journey — one that can evolve and be modified depending on circumstances.

Tracking and understanding expenses helps individuals and businesses identify high-expense areas and make adjustments as needed.

“For some people, that might be groceries or gas,” Coram says. “For others, it might be dining out or expenses they didn’t initially include in their budget.”

In this time of high inflation, making even small adjustments — like eating more meals at home — can help work toward a place of improved financial stability.

Account for emergencies

In February, Pew Research reported that 63% of Americans say “inflation is a very big problem for the country.” In times of economic challenges, having an emergency savings account is a significant aid in achieving a sense of financial security.

“Whether a vehicle breaks down or there’s an unexpected health emergency, a savings fund is a source of income that can be pulled from without putting it on a credit card.”

The credit card caveat

There can be a tendency to view credit cards as potential disruptors of financial well-being, but Coram explains that as long as individuals have the discipline to pay off balances at the end of the month, credit cards can have advantages.

“Everybody uses credit cards differently. I even use a credit card to pay for everything because I want points.  I like to travel,” she says. “If I can lower that cost using points, then I’m going to put everything on the credit card, but at the end of the month, I’m paying that off 100%.”

Coram’s caveat is to make sure a credit card is used to live within your means, not above.

Financial resources

As a senior financial educator, Coram is well-versed in financial well-being tools and resources.

“At Desert Financial, we’ve been providing financial education for more than 25 years,” she notes, “and our vision is really about creating those exceptional experiences through solutions that empower financial well-being.”

Among the arsenal of financial resources, Desert Financial offers:

  • Desert Financial app, where members can check account balances and tap into helpful financial tools
  • Free monthly webinars
  • Access to financial wellness content through the credit union’s blog and YouTube channel
  • In 2024 Desert Financial offered Community resources which led to conducting 300 workshops, webinars and events, while equipping almost 4,500 adults and almost 7,000 youth with essential financial wellbeing skills.

Coram’s parting financial well-being advice

“Pay yourself first and take advantage of compounding interest,” she says. “If you are working with an employer and they have a match, don’t leave any money on the table. Contribute to your 401(k), even if you’re 18 years old — contribute something. Get started with saving for retirement early so that you can take advantage of that compounding interest.”