Take this financial health quiz to see your financial fitness level.

As the year comes to a close, you have probably already started making some new year resolutions. Fitness may be on your list, but there’s another type of fitness that you should also consider: your financial fitness. If you’re wanting to make next year your best year yet, understanding your financial health should be a goal on your New Year’s list. Do you know what your financial fitness level is?  

New Year Goal: Understanding Your Financial Health

December 30, 2016

Take this financial health quiz to see your financial fitness level.

As the year comes to a close, you have probably already started making some new year resolutions. Fitness may be on your list, but there’s another type of fitness that you should also consider: your financial fitness. If you’re wanting to make next year your best year yet, understanding your financial health should be a goal on your New Year’s list. Do you know what your financial fitness level is?

Financial health: describes the state of one's personal financial situation. There are many dimensions to financial health, including the amount of savings you have, how much you are setting away for retirement and how much of your income you are spending on fixed or non-discretionary expenses. —Investopedia.com

As with the fitness of your body, everyone is slightly different with how their financial health works. What works well for you might not work well for someone else and vice-versa. But there are some overarching topics that can help you get a better grasp on where you are with your financial health. Answer the questions below to see where you land on the financial health spectrum. Look below our questionnaire for some helpful tips for getting on the right track if you’re not quite where you want to be.

Financial Health Quiz

QuestionABC
1. Do you have extra funds in your checking account? 

AlwaysSometimesHardly Ever
2. Does part of your income go into savings each month? 

AlwaysSometimesHardly Ever
3. Do you have an emergency fund that can cover monthly expenses?
 
Yes, enough for +3 monthsYes, enough for 1-3 monthsNo, not enough for 1 month
4. When your credit card bill comes, how much do you pay? 

Total balancePartial BalanceMinimum Payment
5. Have you set financial goals? 

Set 5+Set 2-4Set 1 or less
6. What is your credit utilization—the percentage of credit used of your total credit limit? 

Under 30%30%-60%60%+
7. Do you contribute to a retirement plan each paycheck? 

Yes, 5%+Yes, 1%-4% Under 1% 
8. For each month, how much of your income is spent on rent or a mortgage? 

30% or less31%-50%50%+
9. Do you make late payments on any bills? 

NeverSometimesAlmost Always
10.  If a medical emergency arises, do you have health insurance or savings to cover the expense? 

YesMaybeNo


If you answered mostly A’s, you’re in great financial health. You probably have a substantial amount in your savings, handle your credit wisely, and keep track of your budget. Way to be a financial master!

If you answered mostly B’s, you may need a little bit of polishing to your routine to become stronger financially. Try limiting your credit usage, saving a bit more, or meeting with a financial advisor to work out the kinks. Making a few adjustments will help make your finances stronger.

If you answered mostly C’s, you’re in need of a little help to get financially fit. Start off by making a budget and cutting back on extra expenses. From there, try to start saving money or pay off debt when possible. If you’re just starting out with your finances or have faced a major setback, try using resources like BALANCE, Redstone’s free financial counseling, to help get you back on track. With a little time and effort, you’ll be on the road to great financial health.

Read now: Simple Tricks to Becoming a Saver


Financial Health Tips



1. Create a budget and keep a close eye on your finances. Using a tool like Online or Mobile Banking makes tracking any of your accounts simple, quick and easy.

2. Trying to tackle debt? You may want to try debt consolidation to help lower your Annual Percentage Rate (APR) and roll lots of payments into one.

3. Tap into all of the benefits your employer offers. Utilize programs like a Flexible Spending Account, 401(K) match and insurance programs to help you maximize your money.

4. Kick start your savings by depositing your tax return, yearly bonus or birthday money. Make it a goal to save anything “extra” to help you grow your savings.

Read now: Ways to Help End the Payday Loan Cycle

Looking for more ways to help improve or sustain your financial health? Check out our financial education center, loaded with lots of resources to help you on your financial journey.

Financial Education at Your Fingertips

We've partnered with BALANCE to give you another resource for financial education and guidance! Free financial counseling and education for all the financial milestones in life. 

See More

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This content is provided for informational and educational purposes only and considered accurate as of the date posted. Views and opinions expressed in comments do not constitute an official endorsement by Redstone Federal Credit Union® or its affiliates. Redstone encourages you to seek professional advice for your personal situation before making any financial decision and is happy to assist you at any of our branch locations.

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