The new year is a fantastic excuse to take a step back and reassess your finances. From your debt to your investments, and from your mortgage to your savings, every aspect of your monetary situation can be prodded and investigated to ensure that you are on the right financial path. If you are struggling a little financially, enjoy a more frugal Christmas before sitting down with a calculator and doing some festive number crunching. Take a look at how you can generate your own financial New Year’s resolutions that you can stick to.
Your number one priority at any point in the year, not just in January, should be to clear your debt. Being on a more even keel financially will see you with more disposable cash, a stronger credit score and you will be less stressed. It’s vital that you pay off the short term debt with the higher interest rates first. The quicker you clear these debts, like credit cards and personal loans, the faster you’ll have more money in the bank at the end of each month.
It doesn’t matter whether you’re twenty-five or fifty-five, you need to keep an eye on your financial future. Although retirement may seem like eons away, it takes a good few years to build up a savings pot for your twilight years. If you have a company pension, ensure that you keep paying into it. Over time, you’ll accrue a solid nest egg ready for when you’re ready to shutdown your laptop or hang up your hard hat for the very last time.
To make sure that you enjoy a more comfortable retirement, you can’t rely solely on your 401(k) to fund your post-working years. You need to be proactive and work out how your money can work best for you. You need to be a tad more aggressive with your investments without taking on too much risk. Seeing your hard earned cash wallowing in a savings account increasing by minimal amounts each year is not going to see you with the most lucrative return.
Consider using some of your funds to purchase a property with a company like the Waterfront Group. They concentrate on finding you a different sort of home like a log cabin in the mountains or a lodge by the lake. You’ll be able to rent out this property to holidaymakers, seeing a solid return on your investment. If property isn’t your thing, why not explore the joys of the stock market or Forex trading. After a couple of months running a dummy account, you could find yourself buying and selling foreign currencies and making a handsome profit in the process.
It doesn’t matter whether you’re feeling particularly flush or under the cosh financially, the New Year is the ideal time to get yourself more financially astute. Make resolutions for your debts, savings and investments and stick to them. When you’re old and grey and enjoying your retirement, you’ll have your New Year’s resolutions to thank.