Start Now for a Sound Financial 2021
If you wait until New Year’s Eve to make financial resolutions, you’ve waited too long. To really prepare for the new year, you need to do some groundwork. So, start now to hit the ground running on January 1. Here are a few tips to get you going:
Look back. How did you do in 2020? What good decisions did you make? What bad ones? And, where do things stand now? Adjust accordingly for next year.
Set realistic goals (see page two). Too often, our financial house gets out of order because we set unrealistic goals and then give up when we fall short. Be reasonable, and plan how you’ll reach your goals.
Write down everything. While we’ve all heard this is a good financial practice, few of us do it. But, it works. Just one month of tracking the money that comes in and goes out will give you great insights into changes you might need to make. Do it longer, and the impact will multiply.
Check your paperwork. Are you claiming the correct number of allowances on your W-4? Are you maxing out your 401(k)? Do you make full use of flexible spending programs? Do an annual check-up of all tax, HR and other forms that could affect your financial status.
The bottom line? Start today to assess your financial situation, plan for the future, track how you’re doing and make sure to dot every “i” and cross every “t.” Then you can make that resolution with confidence on January 1.