How financially fit are you? Are you:

• The newbie: You’re the guy or gal showing up at the gym for the first time, with the sole intention of not embarrassing yourself in front of all these strangers. The equipment feels strange and awkward, and you’re just praying that you use each piece of equipment correctly. Financially: You are just beginning to manage your money and make major financial decisions for the first time. Your focus is on minimizing mistakes rather than building financial success.
• The average Joe: You go to the gym, get in your workout, and get home. Sometimes you stop at a Krispy Kreme on the way home as a reward, and you’re perfectly fine with that. Financially: You don’t care about accumulating vast amounts of wealth, avoiding debt entirely, or giving away a small fortune, you just want to stay afloat in your financial life. For each great financial decision you make, there is usually an equal and opposite poor financial decision right behind it, which hinders your progression toward lasting success.
• The gun squad: You spend your workouts doing curls in the mirror, adding additional surface area to your already massive upper body. Any other workout is just a waste of time. It’s all about the image; not about creating a healthy lifestyle. Financially: It doesn’t matter how much money you actually have, all that matters is how much money it appears you have. Debt is likely a close friend of yours because it allows you to inflate your lifestyle to levels that would otherwise be impossible.

While it’s common to fit into one of these descriptions, each leaves something to be desired. Thankfully, there is another option.

Think about the healthiest, most in shape people you know. What is the one thing they have in common?

The answer is balance.

True health is not about doing the most curls or running the furthest; it involves a more holistic approach. Eating healthy, lifting weights, performing cardio—all are important components of a healthy lifestyle. Likewise, a healthy financial life consists of living, saving, and giving. We can’t build lasting financial success if we only focus our attention on one area.

• Living within your means enables you to create an affordable lifestyle, reduces stress, and frees you from continually playing catch up.
• Saving enables you to build lasting wealth, avoid debt, and gives you the freedom to pursue your passions without pursuing a paycheck.
• Giving enables you to directly influence the lives of others and leave a lasting legacy.

You can’t neglect one of these areas and expect to maximize success in the others; it just doesn’t happen. Each area is tied to one another; less spending leads to more saving, more saving leads to more giving, more giving leads to more impact.

The path to financial fitness can seem like a daunting one, but here are some practical steps to get you started:

• Living: First, establish healthy living habits by living on less than you make, avoiding debt, and sticking to a simple budget.
• Saving: Next, set aside money for a rainy day, then invest in a retirement account to prepare for the future. After this, you can set aside additional money for short- and long-term savings goals.
• Giving: Finally, give to worthwhile charities, causes, or organizations to create a true and lasting impact.

How would you rate your current level of financial fitness? What areas do you need to improve to maximize your financial impact?

John Wood is a passionate writer, speaker, and entrepreneur from Atlanta, GA. John is the author of 10/10/80 Living, and he is on a mission to take its message to high schools, colleges, churches and organizations across the country. John welcomes inquiries about speaking at various groups, meetings, conferences, and organizations. To learn more about John and share in his journey to vocational freedom, visit ejohnwood.com. Be sure to check his book, 10/10/80 Living: A Practical Roadmap to Financial Success, out on Amazon!

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