John Vaughan (Financial Advisor) @ Lucid Living
The beginning of a new year is the time that many people re-evaluate themselves and set goals for personal and professional improvement. Unfortunately a few weeks into the year these great goals give way to unhealthy old patterns that resurface. With two months into this year, we want to reinforce some key goals that should be on your bucket list and should not have fallen by the way-side.
One of the most important goals that you can undertake is financial well-being. Taking steps to eliminate credit card or other revolving debt is an important first move to make while on the path to financial freedom. Establishing a regular savings plan or goal is also essential to financial freedom. By being proactive and setting goals, you can better position your self for a brighter financial future.
The following are five resolutions we recommend for everyone this year:
1. Today, I will take better care of my finances by creating a spending plan to map out my income and expenses. It is essential to set up a household budget to help guide you down the path of financial freedom. Implementing a written budget can help you avoid dependence on credit cards that can overextend your household budget.
2. Today, I will plan for the future by saving for goals and unexpected emergencies. A healthy savings account prevents you from having to borrow money when emergencies occur. Having financial reserves safeguards your household from any unforeseen expenses.
3. I will consider the difference between my wants and needs before every purchase. Too often, we base our buying decision on emotions. Spend money only on what you need as opposed to things that you want.
4. Today, I will obtain a copy of my credit report. If you have not seen your credit report in months or even years, you may want to review it so there will be no surprises. More employers are reviewing credit reports of prospective employees as part of their due diligence functions and they look unfavorably on a negative credit report. Obtain your credit report on our website or call 010 590 5617 to obtain a copy.
5. I will continue my personal education about financial health, budgeting, credit and personal debt. Knowledge is power. The more you understand about your finances, the more you’ll be able to manage them effectively.