Financial New Year’s Resolutions
2022 Financial New Year’s Resolutions
As we start off in 2022, many people will be creating New Year’s resolutions. Financial wellness is important and, in addition to making other resolutions, a financial resolution is a great idea.
According to a CNBC article, a 2022 New Year’s Financial Resolutions Study found people who made resolutions at the start of 2021 are more optimistic about the future than people who didn’t. Eighty-one percent of respondents who made resolutions say they will be better off financially in 2022, compared to 58% of those who didn’t make resolutions.
Need ideas? Below are a few resolutions that may improve your financial wellness.
- Create a budget. If you are new to budgets, needing an updated budget, or need any assistance, check out this free coach to walk you through budgeting.
- Save something each month. Even if it is what seems like a very small amount, saving something each month will add up in the long run. This 50/30/20 calculator is a great tool to help apply a method to your savings. Of your after-tax income, 50% is for needs, 30% is for wants and the last 20% is for savings. Following this technique assures that you will save something each month.
- Reduce your food bill. There are a few ways your food bill my be reduced. Re-evaluating your eating out budget can make an impact. Planning grocery shopping with a list. Pay attention to coupons. Even saving $0.50 or $1.00 makes a difference in the long run. For other ideas to reduce your food bill, visit this article – 8 tips to reduce your food bill.
- Review subscriptions. Each year, it is a good idea to re-visit all the monthly or yearly subscriptions. In this digital age, it seems like we have more and more subscriptions for tv and music platforms. Re-evaluating these may save you money. Are you getting your money’s worth out of these subscriptions? If not, you should cancel them and keep only the ones you actively use.
- Debt consolidation is a great to save money on interest. There are many ways to consolidate debt such as using a Home Equity Line of Credit (HELOC) if you own a home. To learn more about what a HELOC is and how it may help you, check out this HELOC calculator.
Another way to consolidate debt is the snowball method or the debt avalanche method. To learn more about these methods and see how they work, read the Managing Debt article below.
We hope you find some of these tips useful as you begin your 2022 financial journey. If you have any questions along the way, please don’t hesitate to reach out to your friends at Colorado Credit Union at 303.978.2274 or visit us at ccu.org.