So the year started and you made New Year’s resolutions which as per norm didn’t materialize. How about starting a monthly financial resolution instead? It’s never too late to adopt healthy financial decisions as these lead to the type of financial freedom you need. This can include paying off personal loans, getting rid of debt, saving more money or creating a budget and sticking to it – here’s how to do it.
Start each year with one financial goal, this can be saving for a deposit for a house or car. Break it down into smaller manageable goals and track them with a calendar. This will help you to learn how to manage your spending and having something to look forward to at the end of the year.
Having a monthly budget allows you to stay on top of all your finances. Make a list of needs, expenses, and savings as this will help shed light on your current financial standing. Having a budget means you can save money for when life strikes, like paying for a funeral which isn’t cheap.
Check your monthly bank statementAlways check your bank statements together with your receipts for all purchases made. This is another way of tracking your daily spend and staying on top of your budget. Make sure there are no incorrect charges as these could easily pile up especially when not monitored.
Check up on your insuranceGet into the habit of doing an annual review of your insurance coverage. By doing so you can ensure that your assets are well protected. Look at reviewing your home, car and health insurance to double check your family coverage. This can assist in emergency cases where medical or legal service is needed.
Save your overtime, promotion or bonusIt’s tempting to spend extra money especially a year-end bonus. Save it and don’t spend, put it away as a lump sum and forget about it. A smart way to bump up your financial balance is to add the additional money to your retirement savings account as this will assist you in reaching your savings goal faster.
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