5 Tips Proven to Help You Stop Worrying About Money and Plan for Your Future

Positive smiling aged couple sitting at the table and browsing the web while having a pleasant talk about financial planning

It’s normal to stress about money — even if you’ve managed to earn a lot of it. Making a good living doesn’t take away all of your money worries. In fact, it seems like it just makes the stakes higher and the decisions more complicated. Now you have more investments and more expenses to track. Each choice feels even weightier. And like a lot of successful people, you find it hard to turn the anxiety off. It feels like no matter what you do, you can’t stop worrying about money.

But this is the opposite of what your financial situation should do for you.

Your finances should bring you comfort and peace of mind. They should minimize your stress, not increase it. Savings accounts and investment portfolios ensure you’re prepared for the future and provide cushion when unforeseen costs arise. A good financial plan gives you the means to go out and live your life with confidence and joy.

At Metanoia Financial, we love helping people worry less. So we put together this blog to help coach you to confidence. In it, we provide 5 tips to help you stop worrying about money. Then we share 3 things to remember and 3 things to avoid. And because we want to help you get your confidence down on paper, we lead you through the steps you need to establish a good financial plan.

By the end of this article, you won’t just shrink your fears, you’ll have a clear path towards long-term peace of mind. Let’s get started.

5 Tips to Help You Stop Worrying About Money

Ignore Financial Media

Woman worrying about finances while looking at computer

If you want to preserve your peace of mind, be careful how often you read, listen to, or watch financial media. We know it can be tempting to track every market trend and economic development, but most financial media isn’t geared towards helping you — it’s about inciting fear to increase clicks and view counts. Catastrophe sells, but it doesn’t help you make smart decisions with your money.

Establish Your Goals

Instead of worrying about the worst-case scenario, spend some time thinking about what you want. What accomplishments would make you feel secure? Create a list of financial goals you’d like to achieve and discuss them with your spouse. Then together, you can begin crafting a plan to reach those goals. This exercise will help you stay focused on reaching a specific destination.

Hire a Financial Advisor

The simplest way to stop worrying is to take the stress off your plate. A financial advisor has the time to care for your finances and the experience to make good decisions with your money. You can delegate day-to-day investment decisions and long-term planning to them. Their job is to act in your best interest, so you can feel confident they’ll keep your savings safe.

Cover Your Bases

I often tell clients that we invest for what’s probable and protect for what’s possible. This means that your investments should address your future needs, such as retirement. That money won’t be used until later in life, so you can sit back and let it grow (what’s probable).

Even the most careful planning can’t account for everything, though. That’s why we advise clients to purchase insurance policies when necessary to mitigate certain risks (what’s possible). For example, life insurance and short-term disability insurance can both provide income protection during worst-case scenarios.

Trust in God

Remember Philippians 4:6: “Don’t worry about anything; instead, pray about everything. Tell God what you need, and thank him for all he has done.” The true key to eliminating financial worry is to trust in God’s grace. His sovereignty is above all else and in Him you will always have enough. 

Things to Remember

Two people looking at monitors displaying financial stock graph report information.

The Stock Market is Volatile

The stock market is volatile by nature. That’s why everyone who invests, first identifies their risk tolerance. It’s also how you get premium returns in the long run. 

The market typically drops 10-15% from it’s high to it’s low at some point each year. It drops at least 20% and stays down every handful of years. These are considered normal occurrences and the rates always come back up eventually. This unpredictability shouldn’t make you worry or prompt sudden action. This volatility is not only completely normal, it’s actually the reason we experience higher returns from our stock investments..

History is Your Measuring Stick

Because stocks are a long game, you want to use historical rates as your measuring stick. Many financial pundits will compare rates to recent data, which paints a scarier picture than what’s actually happening. If you look at historic returns, you can relax knowing that stock market declines have always been temporary, but the advances have been permanent. .

Keep a Broad Perspective

Sometimes we can’t see the forest for the trees. It’s easy to get bogged down in the details of every investment or constantly worry about fluctuating interest rates. But this doesn’t serve you in the long run. 

It helps to keep a broad perspective when dealing with your finances by looking to the future instead of the present. Every decision you make regarding investments or your portfolio should benefit you at least 10 years from now. Ideally, you want to plan even further ahead, such as 25 or 30 years from now. Remembering that finances exist to support you (and future generations) later can help you to look at the big picture instead of each detail.

Things to Avoid

Financial media image

Making Decisions Out of Fear

One reason people opt to make changes to their portfolio or pull out investments is because they’re scared. They’re scared to lose their life savings in the stock market or have an investment go bust when the economy slides into a recession. 

This is an understandable concern, but an unnecessary action. Even in the roughest times, the stock market will recover. The best decision is often no decision. Weather the storm and wait for the next advance..

Making Too Many Decisions

Investments take time to generate returns. Constantly making changes to your portfolio can disrupt the growth of your investments and impede how much interest you accrue over time. No decision is often better than too many. 

If you want to make a change in your portfolio, there are some questions you can ask yourself to determine if it’s a good idea. You should also consult your financial advisor and consider his opinion before making any changes.

Financial Media

It warrants repeating that avoiding financial media can only help your peace of mind. Those reports are short-sighted reports of the here and now with very little historical context. They’re designed to make people feel scared for their financial health, even when it’s unwarranted. Stay away from these outlets and instead trust your financial advisor to steer you in the right direction. 

How to Begin Planning

A well-made plan is a great defense against worry. There are four main steps to take to establish a financial plan:

  1. Make a list of your most important financial goals and priorities.
  2. Discuss them with your spouse (or trusted friend if you aren’t married) to ensure you’re both on the same page.
  3. Decide if your goals are realistic and try to quantify what you need to do to reach them. For example, you might need to save more each month to accrue a set amount by retirement.
  4. Find a financial advisor who can be your teacher. Your advisor should not only guide your investments and savings, but also teach you how to manage things in your day-to-day life. They should offer explanations of their proposed plans and listen to and consider all of your concerns.

When you follow these steps, you’ll be able to create a comprehensive plan that addresses attainable financial goals. 

Stop Worrying and Start Planning

It’s time to stop worrying about money and start planning for the future. Remember to ignore the financial media, set financial goals and speak with a financial advisor to ensure you’re receiving informed advice. We have years of experience helping people find financial peace of mind. Book a free consultation with us to see how we can help you.