Set Yourself Up for Financial Success in the New Year

It’s easy to get caught up in the excitement of the season and forget about making good financial decisions. We are a culture that thrives on instant gratification. We want it and we want it now. We think we need to take advantage of all the sales, but like my dad has always told me — you can go broke getting good deals! It can be hard to stay on a budget this time of year, but if you don’t, the long-term effects of overspending can negatively impact your credit and leave you feeling stressed and overwhelmed come the new year.

This holiday season I encourage you to spend within your means. If you don’t have the money, don’t spend it. It’s that simple. Charging to a credit card is only a good idea if you are extremely disciplined and can pay your balance in full each month. For most people, it’s just not a good idea. If you want to start the new year off to a good start financially, you have to be disciplined now. Let’s take a look at how you can do that.

How to Set Yourself Up for Financial Success 

Create a Budget. If you don’t already have a budget in place, sit down and create one now. Calculate your necessities first and then decide where the extra money will go. If you will be buying gifts this year, decide how much you can afford to spend on each person and stick to it.

Pay Off Any Outstanding Debt. Decide how much you can afford to pay each month and then pay off the accounts with the highest interest rates first. Whatever you do, stick to the plan. You will feel so much better when they are paid off!

Put Money in Savings. If you don’t already have a savings account or “emergency fund,” you need to get one set up right away. You should be setting aside at least 10% of your monthly earnings. Ideally, you should have 5-6 months of pay set aside in case of emergencies.

Pay Your Bills Immediately. Don’t wait for your due dates to send in your payments. Either write a check or log-in to your accounts online and schedule your payments as soon as you receive your bills. Better yet, sign up for autopay. This will help you avoid missing due dates and having to pay late fees.

Discuss Finances with Your Partner. Finances are one of the biggest stressors in relationships. Sit down with your partner at least once a month to evaluate your spending and adjust your budget as needed. Communicating and being honest about your finances establishes trust and helps you stay on the same page.

Capital One 360 Black Friday Sale

This holiday season Capital One 360 wants to encourage consumers to stay on track with their finances, so they are decking the halls with deals you can bank on, including new account bonuses, referral bonuses and closing cost credits. Before you get caught up in the excitement of the season, take a look at the Capital One 360’s Black Friday Sale. Give yourself the lasting gift of financial peace of mind by taking advantage of Capital One 360’s deals on banking, brokerage and mortgage products!

What steps are you taking towards finding financial peace?

 

I was selected for this opportunity as a member of Clever Girls and the content and opinions expressed here are all my own.