Whenever a new year begins it is wise to take the time to look at your personal finances. Are you doing fine, or did things go a little off course?
Here are four financial resolutions to consider:
1. Pay-Off One Credit Card This Year
Be sure to make at least the minimum payments on all your credit cards, but plan to select one card and pay off its balance. If you don’t have a lot of credit cards, you might try paying off a third of your credit cards this year.
2. Save 10% of What You Earn
Here’s an easy way to do that. If you don’t currently have your paycheck scheduled for direct deposit… get it straight away. Then, use online banking and set up an automatic transfer to your savings account the next day after you are paid. Once that’s done, you can set it, forget it, and watch your savings grow. It’s a resolution that will be easy to keep.
3. Get Ready to Do Some Saving
Resolve to fund your 401(k). These are savings plans typically offered through your employer and many companies match your contribution by a certain amount. That’s free money! If your employer matches any of your contribution, try to contribute the most you can within the plan. Plus, a 401(k) is an easy way to invest in the stock market if it makes sense for you to put your money there.
If you want to explore other saving types of accounts look at IRAs, Money Markets and Certificate saving options.
4. Make an Inventory of Your Spending
Tracking your spending used to be complicated. But these days, credit unions, like SDFCU, have free online tools designed to help you budget and save. Category-specific interactive charts and longer term spending trends help you identify where your dollars are going. Log in to Online Banking to use our budgeting and credit score tools.
Want to learn more financial tips?
Join us in our financial education webinars where we cover a wide range of topics including; Saving with a Purpose, Are you Financially Healthy, Thrift Savings Plans, Applying for a Mortgage, and more. View our events calendar.