Well, January is finally here, which means that it’s time to throw out the old and usher in the new. How did you do last year? If you are looking at your budget and finances and thinking that it’s time for some changes, then why not add that into your New Year’s resolutions? Here are six frugal resolutions you should consider to help improve your finances this year.
1. Create and stick to a budget
Budgeting is awesome and is the first and most important step to taking control of your finances. Learn how to make a budget here.
2. Pay off debts
Paying off debt is great resolution (and is actually one of mine this year) but if you do this, make sure that you have a solid goal so that you can measure your progress. I might also prioritize credit cards, as they usually have higher interest rates.
3. Save money/Start a savings account
Whether you’re trying to get ahead or saving for something specific, having a savings account is important. Make a resolution to have a certain amount in by the end of the year (say $2,000 or more). If you’re really worried about it, talk to your bank and have the money automatically pulled out and deposited weekly—you won’t even notice it’s gone.
4. Create new income
Look for some new ways to make a little extra money this year and see if you can expand your income. Every little bit counts! Make sure that you make a goal of what the money is for so you have some added incentive. Perhaps you can throw it in a savings account and go on vacation, or buy something for yourself.
5. Start building up emergency savings
It’s important to have emergency money, and if you don’t have an emergency savings already, then it’s high time you started one. And I’m not talking about using a credit card as emergency funds. That’s never a good idea. Aim for a solid number by the end of the year!
6. Open an IRA
No matter how old you are, starting a retirement fund is a good idea, and definitely a good thing to begin putting aside. It might seem like a waste now, especially if you’re already having budgeting issues, but with retirement you have to look ahead.
What financial goals do you have? Leave me a note below and let me know!!