Being financially fit is one of the most valuable life skills you can have. It’s not just about knowing how to budget or save — financial fitness is about understanding how money works, how to manage debt, and how to make informed financial decisions that set you up for future success.
For everyday Australians, financial fitness can mean the difference between feeling overwhelmed by expenses and confidently managing your money. Whether you’re teaching your kids about saving, navigating adulthood’s financial responsibilities, or looking to improve your own money skills, becoming ‘fit’ with your finances is empowering at any stage of life.
Teaching children and young adults about money
Helping children and young adults build financial fitness early can have a lasting impact. Developing these skills early on equips them to manage money responsibly and make better financial decisions as they grow.
For children:
- Encourage saving habits by introducing a piggy bank or savings jar for pocket money.
- Show them how to compare prices when shopping.
- Teach them the basics of earning money, whether through chores or small jobs.
For teens and young adults:
- Explain the importance of budgeting and tracking spending.
- Introduce concepts like credit, interest, and the risks of overspending.
- Discuss the importance of saving for future goals, whether that’s a car, university, or travel.
- Allow them the responsibility of paying for things from time to time so they start to get a sense of how far money goes.
Building strong financial foundations early on helps young people develop positive habits they’ll carry into adulthood.
Managing money and debt in adulthood
Financial fitness is crucial when it comes to navigating life as an adult. From managing household expenses to saving for major milestones, understanding your finances makes it easier to stay on top of your money.
Key skills that improve financial stability include:
- Budgeting: Knowing where your money goes each month can help you avoid overspending and plan for future expenses.
- Saving: Building an emergency fund can provide a safety net for unexpected costs.
- Debt management: Understanding interest rates, repayment plans, and ways to reduce debt can help you avoid falling behind.
- Financial jargon: Learning the lingo that comes with applying for a loan, credit card or account can help you make more informed decisions.
If you feel like you’ve missed out on learning about money, don’t worry — it’s never too late to improve your financial fitness. Whether you’re starting from scratch or looking to build on what you know, there are plenty of resources available to help you.
Taking small steps like setting a budget, tracking your spending, or learning about investment basics can make a big difference. The key is to start where you are and build from there.
Get Financially Fit with Auswide Bank
If you’re ready to improve your financial knowledge, the Auswide Bank Financial Fitness site is a great place to start. Packed with helpful and easy-to-understand modules and articles, the site covers a wide range of financial topics to help you gain confidence in managing your money.
Whether you’re looking learn about managing money in a relationship, what a credit score it and how to improve it, or guidance on reducing debt, the Financial Fitness site provides practical information you can apply to your everyday life.
Investing time in improving your financial literacy can lead to greater financial stability and less stress in the long run. By taking proactive steps to understand your money better — and teaching the next generation to do the same — you’re setting yourself up for a brighter financial future.
Visit the Auswide Bank Financial Fitness website for fun, interactive and self-paced modules, plus helpful articles that will get you on your way to becoming financially fit in no time.
This information provides general advice only. We do not provide advice based on any consideration of your personal objectives, needs or circumstances.
