{"id":21441,"date":"2022-08-12T01:01:35","date_gmt":"2022-08-12T08:01:35","guid":{"rendered":"https:\/\/www.privateinternetaccess.com\/blog\/?p=21441"},"modified":"2024-07-30T02:44:35","modified_gmt":"2024-07-30T09:44:35","slug":"financial-awareness-day-2022","status":"publish","type":"post","link":"https:\/\/www.privateinternetaccess.com\/blog\/financial-awareness-day-2022\/","title":{"rendered":"Understanding and Celebrating Financial Awareness Day"},"content":{"rendered":"\n

August 14th is fast approaching, which means it\u2019s almost time to celebrate Financial Awareness Day. Check your 401k, watch that budget, and read on to learn why we celebrate being financially aware<\/strong> and how being financially literate helps you secure your future.<\/p>\n\n\n\n

What Is Financial Awareness Day?<\/strong><\/h2>\n\n\n\n

Financial Awareness Day draws attention to the importance of financial health<\/strong>, encouraging you to create a plan that helps you stay out of debt and enjoy retirement one day \u2014 instead of worrying about bills.<\/p>\n\n\n\n

Another important aspect of Financial Awareness Day is to teach people at any level of financial literacy that managing your finances doesn\u2019t have to be headache-inducing<\/strong>. Anyone can increase their financial standing and learn how to make sound investments for their future.<\/p>\n\n\n

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Financial stability doesn\u2019t just happen, it\u2019s a process.<\/figcaption><\/figure>\n<\/div>\n\n\n

Celebrating National Financial Awareness Day<\/strong><\/h2>\n\n\n\n

Now that you know what Financial Awareness Day is, let\u2019s take a look at some of the best ways to celebrate.\u00a0<\/p>\n\n\n\n

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  1. Create An Overview of Your Current Financial Health<\/li>\n<\/ol>\n\n\n\n

    Evaluate your current financial situation and make a list of all your current assets. This includes market value for savings and checking accounts, stocks, bonds, real estate, 401k, and other retirement savings. To get a good view of your overall financial health, you also need to list your debts, including any type of personal, mortgage, and student loans as well as credit card balances. Next, list all the sources of income you have, then evaluate your expenses. Your list of expenses might include the following.<\/p>\n\n\n\n

    \u2705 Debt payments\u00a0<\/p>\n\n\n\n

    \u2705 Utilities\u00a0<\/p>\n\n\n\n

    \u2705 Rent\u00a0<\/p>\n\n\n\n

    \u2705 Cable\/phone bills\u00a0<\/p>\n\n\n\n

    \u2705 Food<\/p>\n\n\n\n

    \u2705 Dining out and other entertainment<\/p>\n\n\n\n

    \u2705 Travel expenses<\/p>\n\n\n\n

    \u2705 Fixed maintenance expenses<\/p>\n\n\n\n

    You\u2019ll get a good overall view of where the majority of your money goes each month<\/strong> and find places you can cut back.<\/strong> You can add the \u2018found\u2019 money to your savings account or invest it in other assets. On the other hand, you may find you need an additional source of income to meet your future financial goals.\u00a0<\/p>\n\n\n\n

    Either way, you\u2019ll have a foundation to refer to and build on, just remember to update these lists as you pay off or add to your debts<\/strong>. That way, you\u2019ll always have an accurate assessment of your financial health.<\/p>\n\n\n\n

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    1. Make Small Changes in Your Spending Habits<\/li>\n<\/ol>\n\n\n\n

      The smallest changes can have a huge impact on your financial outlook, and it\u2019s better to get into the habit of keeping track of your spending early in life<\/strong>. Here are a few options to get you started.<\/p>\n\n\n\n

      Cancel Subscriptions You Don\u2019t Need<\/strong><\/p>\n\n\n\n

      Quit reading that magazine but still paying for it? Haven\u2019t watched Netflix in over a month? Cancel the subscription and put that \u2018found\u2019 money in savings. Chances are you\u2019d rather watch those monthly fees pile up in your savings account<\/strong> instead of wasting money on services you don\u2019t really use.<\/p>\n\n\n\n

      Plan A Night Out<\/strong><\/p>\n\n\n\n

      We all need a night out once in a while, but try to avoid stopping in at fast food (or restaurants in general) after work several times a week<\/strong>. Yes, it\u2019s convenient and on the surface, it seems cheaper. After a while, it can put a dent in your pocketbook. The same goes for the local bar, movie theater, and other entertainment venues.\u00a0<\/p>\n\n\n\n

      Instead of going out or buying takeout on a whim, plan your outings ahead of time<\/strong> so you know they fit into your budget. That also makes it easier to avoid overspending.<\/p>\n\n\n\n

      You can also look for alternatives to spending big on entertainment,<\/strong> like movie night in the park, going to see a band at a bar without a cover charge, two for one meal\/drink deals, and more. All it takes is a quick internet search for free and cheap entertainment in your area or local restaurant deals.\u00a0<\/p>\n\n\n\n

      Evaluate Your Needs Versus Wants<\/strong><\/p>\n\n\n\n

      Do I need this or do I just want it? There\u2019s a big difference and in the fast-paced competitive world we live in, it\u2019s easy to want to keep up with the Joneses. Personal finance goals are different for everyone \u2014 there is no one size fits all solution. Before making any large purchase ask yourself if it\u2019s a necessity or an impulse buy<\/strong>.<\/p>\n\n\n\n

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      1. Listen to an Investment\/Finance Podcast<\/li>\n<\/ol>\n\n\n\n

        Podcasts are a dime a dozen but if you look, you can find excellent options for increasing your financial knowledge<\/strong> and discovering interesting investment opportunities. If you don\u2019t know where to start, try one of the podcasts below:<\/p>\n\n\n\n