Financial Moves Worth Looking At This Year
In recent years, finances have become more important than ever. A lot of places are experiencing a decline in jobs and a lack of financial security. Things are starting to improve a little, but most people still have a long ways to go. If you are looking for ways to increase your ability to stay afloat, there are a few financial moves worth looking at this year. You may not see how it helps you today, but over time, it will begin to add up in your favor. We should caution you, we are NOT financial advisors nor do we ever aspire to be, these are merely our opinions.
Clean Up Your Mistakes
One of the best things a person can do for themselves is clean up the mess that they have already created with their finances. Most people have credit card debts, mortgages, and of course the common bills that come each and every month. In some cases, you may only pay the minimal amount owed on payments in the hopes that you will skate by a little longer. It works, but it also leaves you constantly struggling and sometimes paying out more than you can afford throughout the month, especially if your credit card debt has a high percentage of interest on it.
If this sounds like a situation you are in, why not consider consolidating all of your bills into one payment for all those debts per month. One payment will send a little cash to everyone and often, debt collectors are willing to deal with it and not call you up to hassle you for more money. The best part is, while paying it off, you should not be able to add more to it, which means you will continuously be making small, but important steps toward freeing yourself from debt.
You may also want to look at the optional expenses that you need to spend. Phones, internet, car insurance, etc. are required bills in today’s world. Taking time every year or so to see if you are on the best plan for your family could go a long way in helping you to get out of debt a little faster.
Take time to stop and think about where you would like to be in a few years and then work toward that goal. If you have a wish to save up money in a savings account that will earn interest, work toward that goal. Have a portion of your paycheck go directly into that savings account before it ever ends up in your checking account. Even if you can only afford to put back $50 per week, you are still going to be working toward something. This can be money that you use in an emergency or money that you are putting toward something important. Start small, perhaps plan a vacation for next year that you know you will not be able to afford if you do not start saving now for it.
This can be made even easier by planning out a budget and then sticking to it. Figure out how much you make per month and create a budget by allotting yourself enough money to get by on, while still trying to leave some extra. You can budget in a night out to dinner per week or some other luxury that you are not willing to sacrifice. At the end of the month, take a look at how close you stayed within your budget. If there is extra or you ended up drawing in more money, you can add it into savings.
Don’t Give Up
Regardless of what your current financial situation is, you can improve your circumstances in the coming year. It may seem like you are struggling at first and some people do not reach their goals the first time they try it. Instead of getting frustrated and giving up on your goals, you can use the financial moves you should make this year as a guide for future years. Even if the car breaks or there is an unexpected issue that comes up and sets you back. Keep trying and eventually you will get to the other side of your struggles.