Alicia Nelson-Bell, Empowering Financial Wellness Program Coordinator

Do you want a simple financial action step that thousands of people have taken that has brought them success? Who doesn’t? We’ve got one for you. 

If you’re like many Americans, saving money and reaching your savings goals while managing debt can be hard. Research from the American Psychological Association shows that only about 40% of the American population can cover a $400 expense without going into debt. Even worse, about one third of the population has $0 in savings. What can be done to help individuals be more successful at reaching their savings goals? Open multiple, named savings accounts. Experts say this simple strategy has brought many people greater success in reaching their financial goals. Let’s break down the benefits that multiple savings accounts can have: 

Amanda H. Christensen, AFC, Extension Associate Professor

Alicia Nelson-Bell, personal finance intern

​When you think of budgeting, what thoughts, feelings or experiences come to your mind? Have you had positive, successful experiences with budgeting or have you had negative and restricting experiences with budgeting? Do you think of budgeting as something that can be fun or as something that takes a lot of time, effort and restricts you from being able to do the things you want in your life? Have you had any experiences in your life where you felt that better money management and planning would have helped you avoid that unfavorable situation? Do you believe that budgeting can be fun? 

​It’s story time! Who doesn’t love a good story? Last month I was on a Dr. Seuss kick and had some fun drawing parallels between Dr. Seuss stories and personal finance best practices. Don’t worry, I’m not finished with Dr. Seuss yet so keep an eye on the blog to catch more ways to use the creative doctor’s writings in your journey to financial wellness. In the meantime, since I mentioned journeys, have you read about Ulysses’ journey in Homer’s Odyssey?

​Needs vs wants.  Who hasn’t fought that budgeting battle?  Tough as the struggle may be, it is a fight that can be won.  The reasoning is pretty simple, right?  A need is something that is essential for you to be able to live and work.  Needs include housing, transportation and food.  Wants, on the other hand, are expenses that help you live life more comfortably. Wants include entertainment, travel, and toys.  It seems straightforward enough, but what about those gray areas where needs and wants overlap?  On occasion, our wants may seem so powerful that we can’t imagine living without them. Consider an item such as housing. Shelter is a need; however, it may become a want if you’re paying more for rent or a mortgage in order to live in a larger home or upscale area.  And clothing? That, too, is a need, but if you buy expensive brands or are buying clothing just because it’s on sale, it can quickly fall into the want category.  There are several strategies to help you win the needs vs wants battle.