7 Stages of Financial Well-Being^® – Where do you stand?

By Karin Mizgala, BA Psyc, MBA, CFP^®

January is almost over. One month down, and eleven to go. How are your financial New Year’s resolutions holding up in 2019?

I hope you are doing better financially, and that you are feeling confident and in-control of your financial future. That’s a lot to ask of just 31 days, but maybe you ‘took the bull by the horns’ and made the necessary steps to change your relationship with money.

If not, and money is a source of worry for you, please read on.

We’ve found that one of the biggest reasons why individuals do not follow through on their financial resolutions is that they don’t have a clear sense of what financial success means. The other reason is that it’s just not easy to do what it takes to be good with money in the complex and fast-paced culture in which we live.

For many clients, we’ve seen that success comes from a deeper understanding of where they stand with money, emotionally and financially, developing concise and attainable goals, getting organized and implementing a manageable plan to move forward.

Of course, it takes less effort to hope that a windfall will suddenly appear. But wouldn’t it be nice to finally feel in control of your money once and for all – on your own terms?

Financial well-being isn’t a function of having more money, being ultra-rich or keeping up with the Joneses. It’s defined as knowing that you are financially secure, that you have ‘enough’ now and in the future for the life that you envision for yourself and your family. ‘Enough’ is a function of:

• Having sufficient money to meet your current and future lifestyle needs; and
• Feeling good about money

Clarity on your current financial situation is vital to developing concise, attainable goals. With that in mind, we created the 7 Stages of Financial Well-Being®, a framework Canadians use to identify their current feelings and behaviors around money, and provide them with a clear and measurable way forward.

By using our 7 Stages of Financial Well-Being® quiz, you will get a sense of where you stand, right now, on your journey to financial well-being and fulfillment. (Click here to take the quiz). It will help you focus on the right things at the right time, and provide guidance on the best tools and resources for you to use to move step-by-step up the stages of Financial Well-Being.

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Improving your financial well-being comes with measuring progress and staying committed to your goals. Nope – not a quick fix. It requires patience, discipline and commitment – but it’s the only path to achieving true and lasting financial fulfillment.

Book a conversation with a Money Coach to create your customized planning, money management system and accountability program.

This post first appeared in 2018. It has been updated with current data and/or information and republished.