7 Steps to Stay Financially Fit.

Being financially fit is important for your sanity, health and future.

A stable financial background takes work but once you incorporate these methods into your daily life, you'll reap benefits ten-fold. Here are seven steps to stay financially fit.

Budget

Plan out your earnings and expenses each month. Create a spread sheet, chart or document that will help you stay on track. Having a budget will reduce the chances of over spending and increase the opportunities for saving.

Avoid Impulsive Purchases

Instead of making purchases based on an immediate desire, opt to hold off and take a day or two to contemplate. It's relatively easy to get caught up in the moment of shopping and feel reeled in. If after two or three days you're still excited about the item then make the purchase.

Save

Look for coupons whenever and where ever you shop. Being a frugal shopper will help save you a lot of money and will provide you with the opportunity to make the most out of your earnings.

Financial Cushion

Living paycheck to paycheck is not the way to conduct your finances. Many financial experts recommend that individuals have at least three months of living expenses in an emergency fund. Face it, life happens and emergencies can arise - therefore its important that you be prepared.

Credit Cards

Do not max out your credit cards and do not open multiple lines of credit. It's also important that you do not charge more than 30 percent of your credit card limit. Charging anymore than 30 percent can affect your FICO score and cause you to go into a debt that is unmanageable.

Savings

Each pay period aim to contribute funds to your savings. In essence you want to treat your savings account as a bill, so you can actively grow it. Having good savings skills will help you stay afloat and will keep you more conscious about your spending.

Don'T Try to Keep Up With the Jones'

Do not live above your means. It's easy to become envious of those people, around you, who have things. Instead of looking at others, focus on yourself and your situation at hand. Remember that stuff is exactly that - just stuff! At the end of the day, materialistic items do not define a person. Stay true to you.

Beliefnet.com