“The thing about money is that it’s inherently emotional—it touches all parts of our lives,” says Bright Dickson, Truist’s positive psychology expert and co-host of the Money and Mindset With Bright and Brian podcast.

Although it’s totally normal for money to be a source of stress, there are strategies you can follow to help make your finances a part of your life that helps you feel confident. These principles—which Brian Ford, head of financial wellness at Truist, details in his book “Financial Confidence: 8 Pillars to Greater Happiness”—can help you improve not just your financial well-being but your overall well-being.

You should keep your emergency savings liquid, meaning you can access the funds at any time. A high-yield savings account can be a great option. If you don’t have any emergency savings, start with whatever you can—even if it’s just $5 a week. Set an initial goal of saving $1,000. And once you have $1,000 saved, your next goal should be to save three months of living expenses. Of course, you can always add more.

Read more: Prepare for the unexpected with an emergency fund

Principle 2: Create a budget tailored to you.

It takes time to create a budget—but it can really pay off. Having a budget can help you feel more in control, confident, and secure.

“When we’re able to find control, our positive emotions go up, and we feel better.
”–Bright Dickson, positive psychology expert and co-host of Money and Mindset With Bright and Brian

Principle 3: Stay in control of debt and your credit score.

If you carry high-interest consumer debt—like credit card debt—paying it off should be a priority. Although this can feel daunting, taking small steps can help reduce your debt to manageable levels over time.

For example, Ford says to consider tackling debts under $1,000 first. From there, pay off balances with the highest interest rate, and then go on to the next-highest interest rate. If you’re able to make extra payments, it may help you pay less in interest.

A higher credit score can be another positive of paying off debt. Better credit scores may help you get better interest rates if you need to use credit in the future (like when buying a home or taking out a loan to start a business). Although it may take time to build your credit history and grow your score, you can get there by making regular on-time payments and keeping your credit card balances well below their limits.

Read more: Your credit score, explained

It helps to remember your “why” when it comes to tackling challenges like managing your debt, Dickson says. “When you’re keeping your purpose top of mind in your actions, things start to fall into place.”

Principle 4: Make sure you and your family are covered.

Having the right insurance is important when it comes to your financial well-being. If you feel like understanding insurance products is a barrier—or you’re not sure if you have enough coverage—working with a trustworthy insurance professional may help you feel more secure. Learning about the different types of insurance—from health and life to liability and long-term care—can also help.

A written will can also help bring peace of mind when it comes to thinking about those “what ifs.” It allows you to decide who gets your property or control of your assets in case something happens to you, rather than leaving it up to state laws.

Principle 5: Invest and save for retirement.

Taking steps that can help you be financially prepared to retire may also help you rest easier today. Ford recommends investing at least 10% of your income for retirement—or more if you’re able to or feel behind on your retirement goals.^{Disclosure 1}

If you can’t afford to invest 10% of your income just yet, try to save at least what your employer will match. For example, if your employer offers a 3% match on your 401(k) contributions, then try to invest at least 3% of your income into your 401(k) while focusing on other goals. Tax-advantaged accounts—like 401(k)s and IRAs—can be your best friend when it comes to saving for retirement.

Read more: 7 tips for hitting your retirement goals

If you’re saving plenty for retirement, you can also invest outside of retirement accounts as a way to save for other long-term financial goals. Mutual funds or exchange-traded funds (ETFs)—which are both collections of stocks, bonds, and other investments managed by professionals—may help you stay diversified. Diversifying may help offset some of the natural risk that comes with investing because you’re not putting all your eggs in one basket. Not sure what’s right for you? Work with a financial advisor.

Keep in mind that investing involves risk. The value of your investment will fluctuate over time, and you may gain or lose money.

Principle 6: Approach home ownership or renting mindfully.

Whether you rent or own, Ford recommends spending no more than 30% of your income on your total housing costs.^{Disclosure 1} These costs include your rent or mortgage payments, utilities, insurance, property taxes, HOA fees, repairs, and maintenance.

If you want to buy a home, try to get your credit score as high as you can first—which may help you lock in a better interest rate—and save for the down payment. Although Ford recommends a down payment of 20% when you’re buying a home, it’s still possible to buy a home with a smaller down payment. Just keep in mind that you may have to pay for private mortgage insurance and that a lower down payment may mean a higher monthly mortgage payment.

Read more: Rent vs. buy: Why renting may be best for you financially

Principle 7: Develop your career and earning potential.

Increasing your income can do a lot for your financial well-being. Among professionals, 79% believe continuous learning is extremely important for career growth.^{Disclosure 2} And investing in your career—whether through a certification course, skill development, or networking—can help you advance in your current role or find new job opportunities.

Professional networking can give you the chance to build relationships with others who are in similar or related roles. The benefit is that you can turn to those relationships for career advice and job opportunities.

You can develop your network both online and in person through college alumni clubs, conferences, and social media sites geared toward professionals. Other methods that can help you advance include joining employee resource groups, finding a mentor at work, or talking with a career coach.

Principle 8: Explore ways to give back.

The next time you treat yourself, consider this: It could also feel good to treat someone else. Research shows that giving can boost your mood and health in several ways.^{Disclosure 3}

Giving doesn’t have to mean giving money—and you don’t have to have your finances completely figured out before giving to others. Consider sharing your time, talents, and resources in your community. This could mean volunteering at a local event that’s raising money for a cause, offering your services to a nonprofit, or using your skills to make things that other people need.

If you choose to donate money, then factor giving into your budget to make sure it doesn’t throw you off track from your financial goals.

Bonus tip: Set ambitious yearly goals.

“Humans thrive on having purpose,” explains Caroline Adams Miller, a former competitive athlete turned best-selling author and executive coach. On an episode of the Money and Mindset podcast, she shares that her purpose is to help others cultivate the grit needed to reach hard goals—and that achieving hard goals can make us happier.

When it comes to financial goal setting, it’s important to keep what you want in life in mind. Ford says to think about the driving force behind your money goals.

“I like to ask people: What if you reach your financial goals? What would it mean in your life? And as you contemplate what you care most about—whether that’s travel or your children’s education—then you can start to realize what you’re really working toward,” Ford says.

It’s also important to set challenging and specific goals, Miller says. “The courageous thing to do is to stretch your arm out, look past your fingertips, and say, ‘That’s where I’m shooting to go,’ because that’s where people end up proudest of themselves,” she says.