Like any other year, a major part of our population, may be less than ⅓ of the total may take the initiative to plan their financial resolution for the coming new year 2016. Planning one financial resolution is easier than making some common resolutions like buying a car or losing weight. But if you think wisely, make proper resolutions, and follow them perfectly, you can surely get benefitted by improving your financial life.
For 2016, let's look at few of the most effective resolutions from the experts:
1. Work on emergency funds
Many financial planners ask you to save for minimum 3 to 6 months each year. The more you save, the greater will be your benefit. , and in this situation, a job loss can be devastating. Hide a portion of money you earn and keep it away from you, make sure to save it for an online savings account.
2. Create an income from various resources
If you have a steady job, then . Sell your extra stuff on eBay (EBAY) or other e-commerce websites. But don't neglect what you do in full time, give your best always.
3. Have a chat
Most of us have a big problem with chatting. Rather than discussing global economy or any other boring subject, . It’s often seen that families usually don’t have much inter-generational talks about finances. This resolution is also highly recommended for young couples/newlyweds and parents.
4. Ramp up your saving
If you have low debts and also an emergency fund, you can go for this option. If you’re getting employer aided retirement contributions, get the money and check for high-yield financing plans. , which will invest your savings towards those plans like “individual retirement accounts” or other savings plans having tax-advantages.
5. Organize the records
Organize your tax files early. . It’ll help you to maintain a good financial track with daily spending. By keeping regular records, you are actually helping yourself to budget and manage the extra costs professionally.
6. Reduce costs and extra expenses
Check out your regular bills of exchange. Verify every check, bill, and keep a track of daily spending. . Get an energy audit and reduce power bills.
7. Invest in yourself
Take special classes and enhance your merit to get a better job. Education is an intangible asset, which can’t be taken from you. . The more you’ll learn, the more you can manage your finances better.
8. Pay off your debt
It’ll be difficult, but try to pay off debts faster and completely. The faster you'll get out of debts, the more your credit score will grow. . You can easily pay a big amount to cut off the principal, you just need to inform the creditor prior sending the payment. Never try to pay only the minimum balance on any credit cards.
This year, make a resolution to resolve your debts within a definite time. Know about DIY debt resolution strategies with professional help.
9. Do it simply
Set up automatic bill payment option, automatic withdrawals or deductions. It’ll help you to get your prime financial goals. . Try to convey these effective financial tips to kids and make their future strong.