New Year's Savings
Here’s a short list of things you can do to make 2020 the best year of your financial life.
Make an Assessment:
As your December account statements start coming in, now is a great time to figure out exactly where you stand with your finances. By making a simple personal balance sheet of all your assets and liabilities, you can calculate your net worth and get a basic picture of your financial health.
Rainy Day Savings:
If you’ve been living from paycheck to paycheck, you know just how devastating unexpected expenses can be both to your stress level and your bank account. Stashing away enough emergency cash to cover your costs of living for even a couple of months can save you a fortune in late fees and finance charges, not to mention bring you peace of mind.
Set Your Goals:
Once you get your basic finances in order, it’s time to turn your attention to the future. You can’t reach your financial goals if you don’t know what they are. Take some time and think about what’s really important to you, figure out which of your goals take priority over others, and look into what you need to do to reach them.
Plan Your Retirement:
If you’ve been putting off opening up an IRA or starting to make contributions to your 401(k) at work, now’s a good time to get started. If you start early, even just $20 a month can grow to almost $100,000 in 35 years at 11%. Add in a company match and profit sharing, and you can’t afford not to start saving.