7 New Year's Resolutions for A Successful Financial Life
56% of Americans are satisfied with their financial status, which is a significant number. But what can the 44% who are not content do to join the satisfied lot? What are some of the key things that can be done to boost our finances? Below are a few insights into some of our top ideas for the new financial year.
1. Create Financial Goals
Of course, setting goals should be fundamental to anyone looking to be successful. According to the University of Scranton, about 95% of individuals who take time to set their goals don't achieve them. Additionally, only about 45% check to find out if they have achieved their goals. The key to ensuring your financial goal is realized is to create actionable financial goals.
2. Come Up with a Realistic Budget
Apart from creating goals, individuals must create realistic budgets. Often, we fill out expenses and their approximated budgets and end up spending more than we anticipated. Come up with a simple budget based on only what you have. Don't estimate, don't guess, but use the actual figures so that you are ever in line with your goals.
3. Perform an In-depth Review of Your Credit
If you are a finance enthusiast, you have probably heard or even come across tools like Credit Sesame or Credit Karma. They are some of the top tools that you can use to monitor your credit status. The point is to analyze who and what you owe as well as where your debt is at. Also, check your credit report for any negative remarks.
4. Work on Improving Your Net Worth
It's a safe bet you would like an attractive paycheck. Everyone would. However, achieving these figures isn't a walk in the park either. You need to work, on areas that can increase your net worth including increasing your assets and cash flow as well as your retirement savings contribution.
5. Pay Your Debts
Whether it is a home mortgage, student loan, car payment, or a credit card balance, paying your debts is critical. You should always ensure you eliminate all your debts at the beginning of every financial year. It will ensure your credit score is remarkable.
6. Automate Your Expenses
According to the author of The Automatic Millionaire, David Bach, automating your expenses is the easiest way to getting rich. Ensure you work on automating your savings, paying your bills, and everything else. You will be surprised by the amount of time and money you will get to save.
7. Use Online Tools to Track Your Goals
Now that you have incorporated all the above resolutions for your new financial year, you will need a software or tool to monitor your progress. Ensure you perform research on some of the best tools in the market and use them to track and monitor your proceedings.
If you are looking to lead a fulfilling life, you should ensure you are not only healthy but also stable financially. Put into consideration all the above financial ideas in your new resolutions and success will be inevitable. Here is to happiness, good health, and financial freedom in the new year!