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Worried about your finances from time to time? You’re not alone. Money is the most common cause of stress in America. But you can take small actions to reduce that stress and feel better about your finances. You might even see improvements in your overall health too.
The impact of financial stress on health
It’s no secret. Managing your money can be challenging. And financial strain can take quite a toll on your physical and mental well-being.
In fact, 57% of Americans say that money is the number one cause of stress in their lives.1 And people with high levels of financial stress are twice as likely to have poor overall health.2
In fact, 57% of Americans say that money is the number one cause of stress in their lives.1 And people with high levels of financial stress are twice as likely to have poor overall health.2
In the past year, financial stress has had a negative impact on …
These numbers might look alarming, but there’s good news. People who feel better about their finances tend to live healthier lives.3 And making small improvements to your financial situation can have a positive impact on your health.
Give yourself more peace of mind
So how can you improve your financial health and have more peace of mind? Here are some actions you can take:
- Save more in your retirement plan. Make sure you save at least enough to get the full company match, if your employer offers one. Basically, it’s free money. And that’s too good a deal to pass up!
But don't stop there. We suggest saving at least 12% to 15% of your income for retirement. That includes any contributions your employer might make. If you can’t save that much right now, save what you can, and try to make small increases each year. Learn more about saving.
- Choose a balanced mix of investments. Your most important investing decision isn't choosing which funds to invest in. It's choosing the right investment mix. In fact, your mix of investments—not the investments themselves—account for 91% of your long-term returns.4 To get the right mix for you, update your profile.
- Trim your debt. Get a clear picture of your finances by tracking your money. Figure out how much is coming in and going out, and look for ways to spend less. Then you can use that extra money to tackle your debt. Learn more about paying off debt.
- Build your emergency savings. Start by putting aside whatever you can each week, whether that’s $1 or $100. It’s not just about the amount you’re saving. It’s also about making progress. And you’ll have less stress knowing that you won’t have to take on more debt or cash out your investments in an emergency. Learn more about preparing for a financial emergency.
- Have a plan for your other financial goals. We all have financial goals besides saving for retirement—like buying a home, saving for a dream vacation, or paying for college. The first step is to identify those goals. After all, you won’t achieve them if you don’t know you have them. Then direct your money to the ones that are most important to you. Saving just a little from each paycheck can help you get there. Learn how Vanguard Digital Advisor® can help you save for multiple goals.
A little help goes a long way
Recent research shows people who get expert financial advice are 5 to 10 times more likely to feel ready for retirement.5 And it’s more than just a feeling. In fact, 3 out of 4 people who completed their Digital Advisor profile and set a retirement goal are on track to reach it!6
Get started today and you’ll receive a customized saving and investing plan that can help you feel more confident about your financial future. That’s because Digital Advisor will focus on helping you reach your unique financial goals. Plus, you’ll unlock powerful financial planning tools that can help you pay off debt, save for a financial emergency, and achieve other financial goals—like buying a home or paying for that family vacation.
They say money can’t buy happiness, and that may be true. But completing your Digital Advisor profile can be your first step toward financial peace of mind and a healthier, happier life. And isn’t that what we all want?
Get started today and you’ll receive a customized saving and investing plan that can help you feel more confident about your financial future. That’s because Digital Advisor will focus on helping you reach your unique financial goals. Plus, you’ll unlock powerful financial planning tools that can help you pay off debt, save for a financial emergency, and achieve other financial goals—like buying a home or paying for that family vacation.
They say money can’t buy happiness, and that may be true. But completing your Digital Advisor profile can be your first step toward financial peace of mind and a healthier, happier life. And isn’t that what we all want?
Whenever you invest, there’s a chance you could lose the money.
1Source: 2023 Employee Financial Wellness Survey. PwC, 2023.
2Source: Mental Well-being Inherently Connected to Financial Wellness. Purdue University, 2021.
3Source: Stress in America: Paying With Our Health. American Psychological Association, 2015.
4Source: Vanguard calculations, using data from Morningstar.
5Source: From Saving to Spending: A Second Front Emerges in the U.S. Retirement Challenge. McKinsey & Company, 2022.
6Source: Vanguard, 2024.
There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income. Diversifying means having different types of investments. It doesn't guarantee you'll make a profit or that you won't lose money.
Vanguard Digital Advisor's services are provided solely by Vanguard Advisers, Inc. (VAI), a registered investment advisor. Please review the Vanguard Digital Advisor brochure for important details about this service. Vanguard Digital Advisor's financial planning tools provide projections and goal forecasts, which are hypothetical in nature, do not reflect actual investment results, and are not guarantees of future results.
2Source: Mental Well-being Inherently Connected to Financial Wellness. Purdue University, 2021.
3Source: Stress in America: Paying With Our Health. American Psychological Association, 2015.
4Source: Vanguard calculations, using data from Morningstar.
5Source: From Saving to Spending: A Second Front Emerges in the U.S. Retirement Challenge. McKinsey & Company, 2022.
6Source: Vanguard, 2024.
There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income. Diversifying means having different types of investments. It doesn't guarantee you'll make a profit or that you won't lose money.
Vanguard Digital Advisor's services are provided solely by Vanguard Advisers, Inc. (VAI), a registered investment advisor. Please review the Vanguard Digital Advisor brochure for important details about this service. Vanguard Digital Advisor's financial planning tools provide projections and goal forecasts, which are hypothetical in nature, do not reflect actual investment results, and are not guarantees of future results.
