As a new year begins, it’s time to start making resolutions and promises for the months that lie ahead. More than 60% of people make resolutions every New Year, however, only around 8% adhere to them. Some of the most common resolutions include losing weight, getting fit or quitting smoking. Yet, another surprisingly common resolution is to save money and to pay off debts. In 2020, you can achieve this goal by becoming more aware of your income, your spending and how you can find relief from your outstanding debts.
More people come to see a bankruptcy attorney in Orlando FL in January than at any other time of the year. It’s easy to see why. The holiday season involves a lot of expenditure with visits to relatives and friends, expensive gifts to buy and lavish parties to host. 61% of people with existing credit card debt extend themselves even further over the holiday season and 44% of American shoppers end up with over $1,000 of debt purely from their festive spending. It’s clear, then, that finding ways to manage finances more effectively is essential to avoid long-term consequences, so here are some expert tips to help you to take greater control of your money this year.
Check Your Finances Every Day
An effective and easy financial resolution for 2020 is to commit to carrying out a daily 5-minute money check-in. By casting your eye over your finances each day you’ll become more aware of how much you’re spending and what you’re spending your money on. It will also allow you to see where savings on small expenditures can be made so that you can put those amounts towards outstanding debts.
Commit To Having No-Spend Days
Commit to having at least one day each month when you spend no money at all. On that day, you should spend no cash and pay for nothing on a credit or debit card. This will help you to save hundreds of dollars over the course of the year.
Do Some Research
Unfortunately, two-thirds of people in the USA are unable to pass even basic financial literacy tests. Clearly, this does not bode well for good financial management. Doing some research into savings, investments, finances and money management is a good way to improve your financial literacy. Read a book every month on these subjects or subscribe to a financial periodical. You could even take the time to simply read financial news online a couple of times a week.
Make Payments To Yourself
In 2020, you can boost your financial well-being by making payments to yourself as well as your creditors. Setting up a savings plan that automatically takes money from your account when your paycheck comes in is a great way to save for the long-term and will help you to pay off those debts. The best thing is that if you choose an automatic payment plan you won’t even miss those extra funds!
Managing Your Money
It isn’t always easy to save money, and for some people, it may seem impossible to become debt-free. If these measures aren’t sufficient, you should seek advice from an experienced bankruptcy attorney who can help you to explore your options.