Why Personal Finance Matters

Personal finance does not have to be complicated, breaking it down into 3 simple steps can make it easy to mould into our lives:

1. Don’t spend more than you earn
2. Invest what you can
3. Don’t spend money on things that don’t benefit you

But why is this important?

One of the biggest causes of stress for Australians is money.

A 2023 survey by the Financial Counselling Australia (FCA) reported that 70% of Australians cite finances as a significant source of stress in their lives.

This was ranked consistently high alongside personal health and family issues.
A 2024 National Australia Bank Consumer Survey found cost of living pressures to be the single biggest driver of anxiety for Australians with a majority city it as their primary concern.
Mental Health Organisation Beyond Blue reports the inherent link between financial strain and mental health – people with debt and financial hardship are twice as likely to experience mental health conditions like depression and anxiety.

Financial difficulty is one of the most common issues raised by people who contract their support services.

Unless you are one of the lucky ones to not have to worry about money now, it can and will be something that you will need to think about in the future.

Whether it’s saving money to travel the world, saving money for an emergency or for that flash new car or just to eat, pay the bills or keep a roof over our heads – a lot of the world we live in today revolves around money whether we care to admit or not.

Because of how our lives are so intertwined with money – having a healthy relationship with it gives us security, freedom and opportunity. It is not the be all and end all in life but it is definitely a tool, if understood well can have everlasting benefits.