We’re quick to make resolutions resolving around our physical health- eat better, exercise more, reduce stress- but it’s important not to forget about our financial health as well! Let’s take a look at some financial resolutions you can make to bring less stress and more joy to your finances!
1.) Set Up A Budget
This is so important I felt like I needed to put it at the top of the list. Spending an hour or two finding out where your money is going each month is the greatest gift you can give yourself- you can’t get ahead unless you know where the leaks in the budget are. Make your money work for you! Have no idea where to start? Kristin Cooper’s course will walk you through setting up your budget, among a variety of other useful things- like how to save!
2.) Pay Off Debt
I can’t stand interest rates, especially outrageous ones like are attached to credit cards. If you’re carrying debt, it’s important to take care of it as quickly as you can before that interest spirals out of control and drags you down, down, down. There are two ways to go about it- you can pay off smaller balances first and then roll those payments into a larger one on the higher balances, or you can pay off the highest interest rate first. If you’ve got a budget set up, you can see which way makes more sense for your financial situation. Grab a friend who loves math (or at least financial math) and work out a few scenarios.
3.) Reduce Your Monthly Bills
We’re back to the budget again. See why it is so important? Look to see where you can trim some fat. Do you have Disney+, Netflix, Hulu, CBS All Access, Starz and more? Decide if you can cut any of those. Call around for new insurance rates, call your internet provider and see if you can negotiate a new price. The worst that can happen is they say no, and you never know where a switch can save you hundreds a year. Trimming your bills can help you pay off your debt that much faster, or help you reach your savings goal more quickly. Which leads me to the next one…
4.) Set A Savings Goal
Take a look at your savings account and decide a reasonable amount of money you’d like to add in the year. Break that down by month to know what you need to put away and add it to your budget. You can take this a step further and say you want to earn that money through craft sales, a second job, apps, Swagbucks- whatever. Just make sure it’s achievable.
5.) Learn To Coupon
We see Kristen B. break down her weekly shopping trips, including what coupons she uses. Sometimes those coupons make the difference between hitting her budget or being over. If you don’t know how to coupon or you’ve gotten out of the habit, there is no better time to get started. You can learn through Kristin Cooper’s amazing course, and don’t forget to join us in the SavEars. We can help you with money saving tips, couponing, stockpiling- the whole nine yards. Why pay full price when you don’t have to?
6.) Declutter For Money
We all have more junk that we need. Set a goal to declutter things you don’t want, can’t use, or won’t wear. Set up Facebook sales, list things on ebay, swap with your friends for things they don’t want- just move it out and enjoy the fruits of your labor. Any sales you make can go straight on your debt or towards your savings goal! Just make sure you have a plan for any windfall, because unaccounted for money can easily get lost.
7.) Build An Emergency Fund
If you don’t have one, start this immediately! You never know when disaster will strike and you need to have an emergency fund. The ultimate goal is 3-6 months worth of expenses, but don’t let that number intimidate you. Anything is better than nothing, so pick a number you can start with, or one that fits your budget. Remember, this money is for emergencies– not to be borrowed from for vacations, a sale at Target, or anything else. Consider it untouchable.
8.) Make A Plan For Your Tax Refund
I’ve seen it before. Someone gets a tax refund and suddenly they are buying designer coats for their dog, then find themselves shocked that the money is gone. Set up a plan for that money now, before you have it. Whether it’s paying off debt, seed money for your emergency fund, or going towards your vacation- when it comes in, you can put it in it’s allotted place and you don’t find yourself wondering how you piddled away that money.