A Fresh Outlook on Finance

At the beginning of a new year, it’s easy to think about fresh starts and clean slates. We make resolutions, trying once again to eat healthy, exercise more, or read more books. To me, this inclination to start fresh is rooted in Hope (one of the three pillars of Self-Wealth) and is a healthy way to start the year. But how can you actually keep your new year’s promises? I’m sure there are numerous blog posts and YouTube videos about keeping up an exercise routine or a healthy diet, but I’m going to focus on what I know best: finance.

Let’s talk about four ways to improve your system for saving, budgeting, and investing.

Make Saving Automatic

The easiest, low-stress resolutions to keep are the ones that happen with little input or effort from you. When it comes to improving your finances, there are several ways to automatically tuck away a few dollars every month. You could set up an auto transfer to your bank account, or enroll in a program that rounds up your purchases and deposits the spare change into a savings account. Another option is to automate your retirement savings by setting up automatic contributions to your 401(k) or IRA. By making saving automatic, you remove the temptation to spend the money and ensure that you’re consistently putting money aside for the future.

Create an Easy-to-Follow Budget

Budgeting is one of those things that people say they’re going to start doing, but never actually get around to it (or, if they do, they may not follow the budget for long). However, budgeting does not have to be in-depth or stressful. Instead, you can create a simple budget that is easy to follow. Start by tracking your income and expenses for a month to get a clear picture of where your money is going. Then, allocate a portion of your income to different categories such as housing, transportation, groceries, and entertainment. Make sure to set aside some money for savings as well. Once you have your budget set up, commit to sticking to it. Review your budget regularly to make adjustments if necessary, but remember to keep it realistic and achievable.

Meet Regularly with Your Financial Advisor

In many ways, a financial advisor is an accountability partner. We help clients to stay on track with their financial goals and provide guidance and support along the way. One of the best ways to ensure you are making progress with your finances is to meet regularly with your financial advisor. Schedule quarterly or semi-annual check-ins to discuss your financial situation, review your goals, and make any necessary adjustments to your plan. Your advisor can provide valuable insights, offer solutions to challenges, and help you stay motivated and focused on your financial journey.

Become a Smart Shopper

How many advertisements do you see in a given day? Can you watch TV or scroll through social media for more than a few minutes without having your program or your news feed interrupted by ads? That is simply the nature of today’s world and, unfortunately, that can lead us to make impulsive purchases. To resist the temptation to overspend, become a smart shopper. Before making a purchase, take the time to research and compare prices. Look for deals, discounts, and coupons that can help you save money. Consider waiting for sales or shopping during off-peak times when prices may be lower. It’s also important to differentiate between needs and wants. Ask yourself if the item you’re considering buying is something you truly need or if it’s just something you want in the moment. By becoming a smart shopper, you can make more informed purchasing decisions and avoid unnecessary spending.

To me, a financial resolution is one of the smartest ways to start the year off right. It’s important to have a fresh outlook on finance and make positive changes to our financial habits. By implementing a few smart strategies (and automatic actions), we can set ourselves up for a successful financial future. This is your year to take control of your finances and make your money work for you.