Spending less, saving more and reducing debt are common New Year's resolutions, but many people don't know where to start. We have therefore listed tips here to help you achieve your financial goals for 2017.
1. Set a monthly budget.
– Write your budget on paper or in a computer spreadsheet.
– Set aside a portion of your salary, no matter how small, for an emergency. Do this before paying the rest of your bills and you will see your savings grow.
– Create categories for “Fun” and/or “Miscellaneous” in your budget, among other things.
– Set small goals . Review them again after a month, then again after three months.
– Know why you are setting a budget. If your goal is to pay off debt, buy a new car, or save for a family vacation, it helps you stay focused.
– Make a commitment to stick to the budget...that doesn't mean cheating!
2. Involve the whole family in your money-saving goals. You should always make sure that your spouse or partner is in line with the budget and that you work together to make it successful.
3. Always have cash. If you've never used a budget successfully before, cash comes in handy. Cash is harder to spend, so it works better when learning a new discipline, such as budgeting.
4. Pay off credit card debt. Get rid of your credit card, so that means you have to pay them off. If you have several, start paying off the one with the lowest balance.
5. Look where to cut corners. Look at all your monthly expenses to see where you can cut back to reach your goal faster. You may be able to cancel a phone plan, spend less on food, carpool, etc. Be creative and be willing to make sacrifices so that you can enjoy more later.
