When the economy hit recession in late 2007, many people were affected by the impact as they had been overspending for years without adequately saving for a rainy day.
Since then, it has continued to rain and many people began drowning in debt.
People were laid off from their jobs, became financially strapped to make monthly payments leading to the loss of their homes to foreclosure.
Some were lucky enough to obtain work and begin to regain control over their financial standing, others were not so lucky.
At the advice of financial experts, some managed to save themselves by cutting their spending, reducing their debt payments and saving every extra dollar.
By staying vigilant with their money management, many people have begun to recover from the impact of this frail economy.
In recent months, economists have predicted an increase in consumer spending.
Those that have been working diligently to reduce their monthly costs and save money are becoming increasingly tempted to "loosen the strings'" on their money management habits.
Out of Sight Out of Mind Not being purposeful about your money management leads to irresponsible spending and a lack of savings for the future.
Creating a budget allows you to track your spending habits and determine extraneous spending, that can be reduced to save money.
Over half of all Americans admit they do not have an outlined budget, and nearly one-third say they don't feel they would benefit from financial planning assistance.
Online tools, such as mint.
com, make keeping up with your budget and saving money easy.
Many people view saving money as a daunting task that simply provides relief during unforeseen financial hardships.
What about retirement? A study by The Transamerica Center for Retirement Studies, found that the average American estimates they will need around $600,000 to retire comfortably.
However, nearly half of Americans have no plan to reach their retirement goals.
One-third of those that do have no other source of saved money other than their retirement plan.
The study determined that most people are planning to work into retirement out of necessity.
Financial management professionals suggest it is never too late to start planning for retirement.
Stay Focused Financial experts are advising for people to stay focused on the long term goal of purposeful money management.
There are a few simple ways you can stay focused on your goal of having a financially healthy future.
First, create and stick to a budget.
Free online budget calculators and budget tracking software can help you set a proportioned budget for all of your expenses by categorizing your spending.
Often, these tools offer an alert system that sends you an email or text message when you are approaching your budget limit for the month.
Making an intentional effort to keep your money at the front of your thoughts prevents you from overspending.
Second, contact a financial planning service to request information about how you can save for your future.
Find a financial plan that works for your budget and prioritize spending a portion of your monthly income on saving.
Many companies offer retirement plans and will contribute a small percentage each month.
Contact your employer to see if there are any retirement plans offered by your company.
Third, check your credit report at least once a year.
The federal government mandates that credit agencies must provide a free copy of your credit report at least once a year.
However, it is your responsibility to request your credit report each year and monitor it for any changes.
If you find your credit is in less than excellent condition, consider contacting a qualified credit counseling service.
There are new bankruptcy laws that can help consumers regain control over their finances and begin to repair their credit.