How Financial Coaching Can Improve Spending Habits
According to a study from the Urban Institute, financial coaching can lead to improved financial outcomes. And, with price increases in nearly every sector of the economy, now is a better time than ever to seek the advice of a financial coach. Below, we’ll take a look at the impact a financial coach can have on one’s spending and saving habits.
What is a financial coach?
A financial coach is a professional who helps others learn and improve money management skills. They differ from financial advisors, who are licensed to help clients improve investment portfolios (in addition to providing money management advice). Financial coaches primarily focus on budgeting, debt reduction, credit building, and more. Their services are utilized by people with financial issues or those looking to improve their financial habits.
They can manage
Money management is often not a skill that comes naturally. And, with today’s ever-changing economy, managing your finances can be even more difficult. Financial coaches are informed with the latest tips and information that can help you reach your financial goals. One of the greatest advantages of financial coaches is that they can help organize money and financial accounts in a way that makes sense to you. Plus, they can track where your money goes, and offer growth-driven support.
They can guide
Although some people are good at tracking their finances in the short term, many struggle with reaching long-term financial goals. A financial coach can keep bad money decisions in check while improving a client’s budget skills. Financial goals are personal, but financial coaches can help build a customized financial plan. Plus, they act as a voice of accountability – meaning they’ll help you maintain focus and avoid mistakes in reaching financial goals through regularly scheduled meetings.
They can be candid
Money can be a touchy subject, especially when discussed with a partner or family member. That said, financial coaches understand the emotional and behavioral aspects of money management. A financial coach can give you honest advice about your financial habits in a judgement free setting. Unlike a partner or family member who is impacted by your financial decisions, there’s nothing at stake for your financial coach. An outsider’s perspective can make for more sensible financial decisions. Critiques also won’t feel like personal attacks.
Whether you’re saving to buy a home or are thinking about retirement, financial coaches can aid you along the way. Gulf Winds’ financial coaching program can help you take control of your budget, start a savings plan, improve credit scores, or craft a debt repayment strategy. Plus, all of our financial coaches hold the Certified Credit Union Financial Counseling (CCUFC) designation.