Overview
There exists a well-studied link between healthy habits and positive financial outcomes. While it may seem like something of a chicken-and-the-egg phenomenon – whether healthy habits lead to better finances or vice versa – taking control of your habits in one domain will likely jumpstart a virtuous cycle of improvement in other domains. In this article, we will review five healthy habits you can adopt right now to start transforming your finances.
Habit #1: Get Regular Exercise
Consistent exercise may improve wellbeing, lower stress levels, and strengthen focus and stamina. These improvements, in turn, may allow you to make better financial decisions. How does this work? Well, adhering to a strict budget, saving and investing, and/or avoiding unnecessary purchases boil down to self-control and discipline. Having sufficient reserves of energy and stamina to exercise such self-control and discipline, often correlates positively with your health status. Therefore, by improving your health status via regular exercise, you may indirectly improve your financial capabilities.
Habit #2: Prioritize Unprocessed Foods
Unprocessed, whole foods and proper hydration offer numerous health benefits, whereas processed foods and soft drinks are detrimental to one’s weight management, metabolic health, and mood. Therefore, sticking to healthy dietary choices may positively impact your health. However, how does that translate into better finances? Well, it may not directly lead to better finances. Yet the effects may still be significant. First, a healthy diet corresponds to a better health status and better mental clarity and sharpness, which facilitate impulse control and more intelligent decision-making. Budgeting, saving, investing, and avoiding impulsive spending all become easier. Second, by not purchasing expensive unhealthy food such as fast food or processed foods, you may save considerable amounts of money.
Habit #3: Intermittent Fasting
Intermittent fasting has countless benefits. Throughout most of our evolutionary history, we tended to be hunters-gatherers, which meant that we went for significant periods of the day without eating. Accordingly, our bodies evolved to thrive the most without constant eating. The benefits of intermittent fasting may include lower blood glucose levels, improved insulin sensitivity, greater mental acuity, and improved weight management. These may indirectly lead to improved financial choices, as budgeting, paying yourself first, cutting down unnecessary expenses, and setting financial goals all require abundant reserves of energy and self-control, which correlate with the health benefits of intermittent fasting.
Habit #4: Avoid Smoking and Excessive Alcohol
Smoking and drinking are expensive habits. A pack of cigarettes per day would equal between $3,650 and $5,475 of additional spending per year (based on $10 per pack and $15 per pack, respectively). A 12-pack of beer per week would result in over $1,000 of additional spending per year. Conversely, cutting out both of these habits would result in thousands of dollars saved per year. In addition to these direct savings, the improved health status you may obtain by avoiding these habits may result in significantly lower healthcare expenses and higher productivity at work through reduced absences and improved focus. These benefits may also translate into better financial outcomes.
Habit #5: Quality Sleep
Quality sleep is one of the most important indicators of good health. Making sure you go to bed early and get restful sleep is critical to ensuring long-term health. Good sleep may translate to lower stress, higher emotional wellbeing, and higher productivity and focus at work. These may indirectly result in improved financial behaviours such as higher earnings, stricter adherence to budgeting, and fewer frivolous purchases.
Final Thoughts
While healthy habits may indirectly lead to better finances, they are not a quick fix. If you need fast funds, apply for a personal loan online via OntarioCASH. We don’t check credit during the online application process.
