Top Financial Resolutions For This New Year

Income and Investments Top Financial Resolutions For This New Year
With a new year, people tend to make new year’s resolutions. A recent study from Fidelity discovered that 36% of Americans are planning on making finances their focus.

Besides the health goals people set year after year, there are some financial goals that keep making the list.

The three big ones are:

  • Save More
  • Pay down debt
  • Spend less

While these are fantastic goals to strive towards, most people won’t achieve them.

Do you see why? What’s missing in them?

  • They’re vague.
  • They don’t include a how.
  • The bigger question, “Why?” is left out of the equation.

Doesn’t look like a big deal, but most people fail because they don’t hone in and focus on what they really want. If you want to avoid missing your goal this year, I have a few tips that can help you.

Understanding Your Why

Getting out of debt and saving more can do wonders for your finance, but if the numbers are your only motivation, you’re more than likely going to be discouraged when things get tough.Take a few minutes and figure out just why you care about this goal. Do you want to escape debt because it’s forcing you to stay at a job you hate so you can make the payments?

Do you want to save more because you’d like to take more trips so you can travel and explore? Do you want a cushion so you can get part time work and have more time at home with the kids? The way you describe and frame your goals can tremendously change the likelihood of achieving them.

Be Specific with Your Goals

Once you know what you want and why, you can start getting into the how. How much debt are you in? How much do you want to save? When you identify a specific number to work with, it’s easier to keep track of your progress.

Have a System in Place

After you created your process, see if you can automate your finances in that direction. Set up your automatic bill pays and transfers towards your goals. You also can change your habits and adjust the course of your finances next year. It’ll increase your chances of success.

5 Financial Goals to Make 2017 Epic

Looking for inspiration for next year? Here are 5 goals that can have a huge impact on your finances.

  • Have one month’s of expenses saved for emergencies.
  • Create a budget that you can stick with for the whole year.
  • Make savings automatic.
  • Pay off your at least one of your credit cards.
  • Start a side hustle.

Of course to make them work for you, you need to flesh them out more. Dig in, flesh them out, and start adjusting them as you see fit.

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