Do you find that your typical New Yearís resolutions quickly fizzle
out? This year, make a resolution that is both realistic and good for
your wallet. Set a goal of either saving $2009 by the end of year or
paying down your debt by that much. This is a goal most people can meet
and impacts your financial situation for years to come. To help keep
this resolution, keep these tips in mind this year.
Become a Saver
Pay yourself first by asking your employer to directly deposit part of
your paycheck into your savings account. Even better, increase your
401(k) deductions to help meet your goal. It is always easier to save
money if it doesnít hit your pocket first. To make saving a habit, save
for something specific, like a vacation or for holiday shopping. You
will be more inclined to sock that money away.
Reduce Your Spending
Little things can add up. Keep track of your expenses for a few weeks in
order to see where your money goes. Pack your lunch, skip your morning
latte, or organize a carpool. You may have an unused gym membership,
unread magazine subscriptions, or a boat you never use. Eliminate the
things in your life that cost you money, but bring you no benefit. Once
you add up the savings, youíll be surprised how much more quickly you
can meet your goals.
Tackle Your Debt
If you havenít done so already, transfer your credit card debt to a
lower-interest card. Resolve to not add any more debt this year.
Instead, look for ways to pay it down as quickly as possible.
Eventually, you should be able to pay off your cards each month. Build
up a small emergency fund to use instead of relying on your credit cards
for those unexpected expenses. By not adding to your debt and paying it
off during the year, you will end 2009 in much better shape than when it