It's safe to say that 2020 was a hard and stressful year. The hits kept coming and didn't seem to stop. Millions of people around the world were financially impacted by COVID 19 and the stay at home orders. With 2021 finally here, and hopefully an end to the pandemic in sight, here are 6 financial moves everyone can do to start the new year off on the right foot.
1) Spend Smartly
Making small changes can have big results. Some small changes might include making coffee at home, opting to cook instead of eating out, look into phone and internet plans for better pricing, and giving yourself a waiting period before making large purchases.
2) Reduce Debt
One way to reduce debt is to pay off credit card debt. You should prioritize paying off credit cards with the highest interest rates first.
3) Track Expenses
By keeping track of every dollar you spend, it helps keep you accountable and more aware of your spending habits.
4) Read Financial Success Stories
Reading stories about other who have paid off debt, earned more money, or overcame financial hardship can be inspiring and motivational.
5) Create an Emergency Fund
Whenever possible, put extra money aside at the end of the month to cover unexpected expenses and emergencies.
6) Start a Spending Plan
Track your income and make a plan that covers your expenses before non essential spending.
One way to help implement any of these ideas is to work with a financial advisor. If you would like to talk with an advisor, feel free to reach out to Peter O'Brien or schedule an appointment with him.