As we go into the new year, I thought it would be a good time to write a small New Year’s resolution article.
A new year can mean a fresh start to a lot of things.
Personal Finance Goals
And one of those things we should all be focussed on is our personal finances!
You might also be interested in:
- Five reasons to start an emergency fund
- A minimalistic life – why it will change you for the better
- Five financial lessons from Robert Kiyosaki
- My top five personal savings articles around
- Are you treating your salary correctly?
Below are seven financial New Year’s resolutions which will help you get your finances in order.
Most people don’t actually have a written down budget.
Budgeting allows you to actually plan your finances. It doesn’t have to be down to the single penny, but having a rough budget makes your life a lot easier.
Set a weekly, monthly and yearly budget.
Learn How To Save Correctly
“Do not save what is left after spending, but spend what is left after saving” – Warren Buffet.
This quote cannot be more true.
I think a lot of us often try and save “what’s left over” at the end of the month. And that figure is more often than not a big, fat zero.
Decide how much of your monthly income you can afford to put away. When you receive your income, put that figure away immediately and live off the remaining cash.
Cut Down Unneeded Expenses
Whether you like it or not, we all have unneeded expenses.
Recurring monthly online subscriptions, eating out maybe just a little bit too often, or having a few too many drinks.
If an expense is not needed, then cut it down as much as you possibly can.
Try Keep Your Utility Bills Down
In winter it’s difficult not to have the heating systems on all day.
However, you can still try cut down your utilities.
Try reducing shower times. I know it’s easy to just never want to get out, especially if we are in the ABBA mood! But those extra minutes under the hot water can add up financially.
Be a bit more efficient with the heating systems.
In summer, depending on how hot your area gets, you can turn off your geyser for a while. This saves a lot of money on your electricity bill.
Set A Savings Goal
How much money do you want to have put away after six months? And after twelve months?
Write it down, set the goal and try achieve it!
Change Your Financial Mindset
Money doesn’t have to be this big, bad scary demon.
Far from it.
Many of us tend to see finances as something which rules our lives and takes up our entire week.
We just got to figure out a way to get it to work for us!
Create A 2nd Income Stream
Even if we work 40+ hours a week, we all can definitely put a few more hours aside and work on a side project.
Be it trading stocks, writing blogs, making long term investments in companies, having a second income stream is a massive positive for our personal finances.
It also can reduce stress if or when emergencies happen, or you get laid off your job.
Be sure to make 2019 the year you tackle your finances the way you want to!