Financial wellbeing is described as having a good relationship with money and having the confidence to make financial decisions independently. People who have good financial wellbeing will feel secure and in control of their finances now and in the future, having the ability to comfortably afford essentials such as food shopping and household bills whilst also being able to afford some luxuries.
Those with good financial wellbeing may have an emergency fund to cover unexpected costs. It is advisable to save 3-6 months of living expenses in an emergency fund.