Whether you want to start investing your money or increase your savings, a new year offers you the opportunity to start fresh and revisit your financial goals. As nations worldwide are dealing with the consequences of the pandemic, Russia’s invasion of Ukraine, and sky-high inflation rates, it’s important to make financial new year’s resolutions that can help you deal with the economic downturn.
A survey found that two-thirds of Americans plan on making a financial resolution for the new year, but 81 percent think inflation will make it harder to meet their goals. It may seem challenging to predict your finances during challenging economic times, but the good news is financial goals are achievable with some work and dedication. Here are some top financial new year’s resolutions you can consider keeping to kickstart the new year responsibly.
Change Your Savings Goals
Saving money can seem challenging in today’s economy, especially when the prices of basic commodities are at their peak. But it is more important to save money today, as your savings will allow you to deal with unforeseen expenses.
The key to boosting your savings is spending less than you earn, which can be difficult if you don’t know where your money goes. Start your year on a clean slate by reviewing last year’s budget and updating your expenses accordingly. This can help you set a savings goal and create a realistic plan to reach those goals.
Diversify Investment Portfolio
Investing your money is a great way to get returns and grow your funds instead of leaving your money in a savings account. Whether you have invested in the past or want to explore the world of investing this year, it’s important to diversify your portfolio to make the most of it.
Diversifying your investment portfolio can help you minimize losses by investing in different areas. It creates a smoother investment experience by spreading your money across different accounts and reducing risk. Diversification can also help you identify which investment is providing the greatest return, enabling you to make informed investment decisions in the future.
Pay off High-Interest Debt
Starting the new year with high-interest debt can set you up for disappointment. Consider paying off some of your high-interest debt to reduce your burden this year. This could involve paying extra principal toward your monthly mortgage or paying off a portion of your student loans. Reducing the amount of debt can lower your interest payments and improve your credit score, allowing you to boost your creditworthiness.
Consider taking a short-term loan to repay a portion of long-term high-interest loans. Explore your options and look for credible lenders that offer flexible borrowing terms. Once you’ve learned about the options available, apply online today to get quick access to cash. A significant benefit of an online loan is the simplicity of the application process. You can complete the application in the comfort of your home and get approved for money within a day. This option allows you to access cash when needed without standing in long lines at the bank or requiring collateral against the loan.
As you step into a new year, take this opportunity to state your financial resolutions and create a realistic plan to achieve them. Create an action plan to achieve each goal and revisit your goals at the end of the year to celebrate your success!