Preparing for Financial Stability: A Guide to Achieving Financial Wellness in 2024
Before the New Year begins take some time this week and reflect on your financial wellness. Take a look back over the year and reflect on what went right and what went wrong. How much of what went wrong was related to finances? What steps can you take to achieve your financial goals, the ability to handle emergencies without the stress of financial incapability, and what more can you do to be able to accomplish those desires to travel, purchase more of your wants, and/or get out of debt?
Maybe you are unsure of where to start or you just haven’t developed a plan. Here are some tips to get you started:
· Time- reflect on the past year and really take some time and not rush through. The goal is to truly understand what went well and what went wrong along with the causes and effects. Take notes; you may not be able to get through all of your thoughts in a day but do not worry, its ok.
· Prepare Mentally- while reflecting it may become uncomfortable thinking about failures and mistakes. Take a break as needed but do not quit. Choosing not to reflect and reevaluate will likely lead to you repeating the cycle.
· Forgive Yourself- it is important in order to move on to a new beginning. This is the time to reflect on the lessons learned. Remember, the mistakes/failures do not have to be viewed as negative when you learn from them.
· Make a Checklist-
Track your spending- you can track your previous year’s spending through tools from your online banking and with your credit cards too identity your top spending categories. Identify where you can cut back and/or stop spending.
Ask providers for discounts or a better deal- Call your insurance carriers, credit card holders, streaming services, cable and cell phone providers to name a few and ask for lower rates or deals. Also consider shopping around to other carriers for better rates.
Reevaluate all paid subscriptions- cancel any subscriptions you do not use and/or do not need. Also check into bundling subscriptions like streaming sites for discounted prices.
Set a budget- and stick to it. Start with necessities like housing, utilities, gas, & groceries.
Open a savings account- set an amount to be direct deposited from your payroll or setup for the funds to be automatically drafted to the savings account. Help yourself by not having a checking account and/or a debit card linked.
Start a passive income stream- utilize your talents and skills as a funding resource.
Write a Will and establish an estate plan- protect your legacy! Need more education on estate planning contact UGA Extension FACS Agent Ida Jackson (706-678-2332).
Comments