If you’re looking for a New Year’s resolution, it’s always a good idea to consider focusing on your finances. Whether you’re looking for credit/savings-related resolutions or you’re simply trying to change your financial habits, we have some ideas for you. Take one of these resolutions into 2022 and make it your priority:
1. Improve your credit score.
Your credit score plays a critical role in determining the access you’ll have to other financial services in the future. If your credit score could use some work, 2022 is a great year to make improving it a priority.
2. Open a retirement account.
Even if you’re decades away from retirement, it’s never too early to start saving. Consider opening an individual retirement arrangement (IRA) to get started.
3. Pay off credit card debt.
If you have credit card debt, you can try tackling it in a couple different ways. Using the debt avalanche method, you could pay off your highest debt first and work your way down. Another choice is using the debt snowball method, which means paying off your smallest amount of debt first then working your way up.
4. Start tracking your expenses.
Do you stick to a monthly budget? If not, make it a goal to create a budget and start tracking your daily expenses so you know just how much you’re spending.
5. Automate your savings.
If you have a hard time saving money, you can break that habit by automating your savings. Without any thought or effort on your end, a certain amount of money will be put into your savings account automatically, making reaching your savings goals much easier.
6. Contribute to your emergency fund.
Open a separate savings account for emergencies just in case you find yourself in a tricky financial situation. If you don’t have an emergency fund started, 2022 is a great year to start one.
7. Check your credit score regularly.
Make it a new habit to check in on your credit score regularly. It’s quick, easy and could save you lots of hassle in the future.
8. Make your coffee and meals at home.
If you make small changes each day, you’ll slowly be able to get yourself out of the habit of going out to eat and buying your coffee each day.
2022 is the year to take hold of your finances. Start investing in your future by opening a savings account or an IRA. If you have any questions, feel free to contact us and have a great New Year!
