So you’ve spent the last month regularly attending Peloton or YouTube fitness classes to meet your 2021 resolutions. Maybe you’re doing this to get in better shape, be healthier, or close all three circles on your Apple Watch. But did you know that physical fitness can lead to financial health as well? We don’t know about you, but that’s even better motivation than that pizza we’ve been craving.
Don’t trust us, trust the data
If you’re like us, you like to see some numbers to back up claims. A 2015 study found that “poor physical fitness goes hand in hand with poorer financial health.” Of those surveyed, 34 percent with below-average finances were also self-described as unfit. Versus the nine percent of people with above-average finances. So, what’s the correlation?
According to a recent Forbes article, financial stress can cause a negative feedback loop that impacts fitness and health. The more stressed someone is about finances (about 26 percent of Americans at any given time), the less time they spend on their physical health and the more money they spend on healthcare and other related issues.
So, how else does physical fitness improve financial health?
It leads to spending less on unhealthy habits
Unhealthy habits are a big part of the negative feedback loop. When your physical fitness is down, you’re more likely to spend time and money on things like cigarettes, alcohol, and stress shopping. The average American spends about a dollar of every hundred earned on alcohol and other unhealthy habits. On the flip side, those that make physical fitness a priority tend to lower risk for over 25 health issues requiring expensive medication and spend less on healthcare in general. Plus, physical fitness can break the negative feedback loop by lowering stress and leading to positive habits––like the 69 percent of people who eat healthier when they have enough money and, ultimately, invest in their health.
It can help lower transportation costs
Focusing on your physical health can lead to dozens of little, productive changes in your life. Owning a car versus riding your bike around (when possible) can be the difference between hundreds of dollars. Even if you only chose to ride your bike to a nearby grocery store or park instead of driving, you’d be saving money in the long run. And that money you save? It’s likely to go back into investing in your health and financial goals rather than past unhealthy habits.
It encourages moderation and goal-setting
We talk a lot about how financial goal-setting is about discipline and patience. Improved physical fitness is all about moderation––such as treating yourself occasionally instead of overindulging. The ‘90 percent principle’ for fitness is a “technique is to eat healthy 90% of the time and reserve the remaining 10% for things like ice cream and coffee shop treats.” Imagine what you could do with your money if you saved 90 percent of the time and splurged only ten percent.
Physical fitness also teaches goal-setting. When you set goals and see results for your physical health, you are more likely to have confidence in that process for other areas of your life.
Get financially fit with DEXSTA
At DEXSTA, we might not be able to lead you in a workout routine, but we can help you strengthen your financial health. What’s holding you back?