Christmas has an uncanny way of draining your finances, and no matter whether you went all out or chose a more frugal festive period, the fact is you will have spent more than you would at any other time of the year. From food and drink to gifts to decorations and outings, not to mention travel costs, there is a lot to pay out for in December.
This is why so many people choose to make some financial goals going into January. Financial new year’s resolutions are a great idea because you can start the year as you mean to go on, and even if you did overspend in December, you’ll be able to get financially stable again relatively quickly when you have goals in mind. Read on to find out what some of these goals might be and how you can achieve them to make 2023 a much more financially healthy year.
Start A Budget
A monthly budget may feel restrictive at first, but keeping track of your expenditures is a useful tool for getting a handle on your finances. Having a detailed budget in place will help you determine your spending limits and pinpoint potential savings.
The first step is to either create a paper or digital budget that includes all of your regular monthly outlays, including rent/mortgage, mobile phone, groceries, and savings. The amount of money left over can then be used for discretionary purchases like dining out, buying new clothes, or going to the movies. You can quickly get an overview of all of your purchases by reading your credit card statement. Most cards also allow you to see your annual expenditure broken down by category, which is handy when making a plan for the coming year.
Find A Zero Percent Credit Card
Credit card debt is a problem that many people have. It’s hardly surprising that many people want to eliminate credit card debt in the next year, given that 95 percent of adults have at least one card.
Consider a balance transfer credit card to consolidate your existing credit card debt with introductory zero percent APR for a limited time. In this way, although you’ll still have debt, it will cost you less. If you keep paying the same amount as you were before, you’ll reduce that debt more quickly too, as you won’t just be paying the interest; you’ll actually be making a dent in the amount you owe as well.
Try Lowering Your Energy Bills
Right now, your energy bill is likely to be higher than it has ever been before. This will be eating into your monthly income and potentially even your savings. Therefore, it makes sense to deal with this as much as possible to reduce the costs as much as possible.
When not in use, turn off the lights and the appliances. Invest in lamps that consume less power. Use a fan instead of the air conditioner, a sweater instead of the heater, and use the bus, a shared cab, or walk wherever possible to reduce your monthly fuel costs.
It’s also a good idea to shop around for a better deal. It might be that you can find lower costs with a different provider, and if you can, don’t forget to let your current provider know – they might be able to reduce their costs to match to keep you as a customer.
Get A New Job
It might sound simple to say to get a new job, and we know that the job market isn’t as easy to move around in as you might hope, but it’s a fact that if you need more money, getting a new job that pays more is the best solution. You can save as much as possible, and reduce your costs as far as you can, but making more money is still the best thing you can do. There are a number of ways to go about this. You could look for promotions and growth opportunities in your current job or speak to your boss about a raise (if you do this, make sure you have plenty of evidence showing you deserve one). You could look for a new job that pays more. You could even start your own business or a side hustle that brings in some extra cash; you might join Avon, for example. There are many different options and opportunities, so if this is what you need to make your financial goals a reality in 2023 and beyond, it’s certainly something to think seriously about.