It’s the time of year again for resolutions. It’s tempting to make financial resolutions that are not only unattainable but will have you dragging your heels by mid-January. If you break down your resolution into a series of modest goals, you will accomplish more than if you’d set your sights on distant horizons.
For starters: stagger your resolutions. Although you might hear tales of people resolving to quit smoking, get fit and score a work promotion all before March, it’s not very realistic. You might want to kick off some of your resolutions with an initial financial outlay using payday loans, but don’t be disheartened if the money doesn’t stretch towards trimming 2011’s leftover debt.
Try to write out your goals with old-fashioned pen and paper so you commit to your resolution. Whether it’s setting up a 401K, paying off student debt or sorting out taxes, writing down resolutions ensures you’re not always getting stuck in the planning stages.
Curb your enthusiasm for spending in supermarkets, online, in restaurants and coffee shops. Once you start noticing where your small change actually goes (Starbucks, perhaps?), you’ll also notice how much you might needlessly spend. Make a budget in whatever format you prefer (spreadsheets or online apps) and stick to it, but review your financial situation constantly and have it in your mind every time you get your wallet out. This will help you to re-route your desire for instant gratification to long-term satisfaction for the paying off of debts.
Extend your new-found vigilance to making your money go further. Buy food that takes longer to spoil and use all of it. Begin storing and eating leftovers and turning off lights. As you can see, financial resolutions in 2012 are in many ways less about moving mountains than changing mindsets. Do this, and you enjoy the windfall that follows.
This has been a guest post. I hope you enjoyed it!
My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.