If you didn’t have a particularly successful 2013 when it came to your finances, then you may be committed to giving 2014 a better shot. In short, there are a number of ways you can create a more stable and prosperous financial future for yourself, and all you need to do is stick to a number of key principles. If you need a little help on this front, then read on. Here are 5 key principles to keep in mind this year that’ll ensure a more prosperous new year.
1. Create a budget.
Creating a budget is absolutely fundamental if you want to spend the entire year in the black. In order to navigate your financial landscape effectively, and without debt, you’ll need to know how much you’re spending, and where you’re spending it. You’ll also need to know just how much you’re taking in each month, and then subtract those expenses from your income. Once you do this, realistically calculate just how much you can save each month, and set some financial goals that you can then work towards. You can break these larger goals into smaller, more manageable goals if you like.
2. Stick to said budget.
Once you have the budget on the wall (or in the spreadsheet), there’s no going back. If you want to have a successful year – financially speaking – then you’ll need to stick to that budget: religiously. It helps to have your financial goals always in the back of your mind to keep yourself committed to achieving them when your motivation is running a little dry.
3. Better manage your credit cards.
Another important principle that you should adhere to in 2014, is refraining from using credit cards irresponsibly, and better managing your existing credit card debt. Unfortunately, many people have multiple credit card debts with multiple banks and credit unions. If this is the case, then you may be paying more interest than you need to. An effective solution to multiple credit card debt is to use a debt consolidator, such as Fox Symes. Check out the Fox Symes Blog if you’re a little unclear as to what debt consolidation is all about (in simple terms, it means lumping all your interest payments together, helping you keep track of all your payments). Also, don’t fall victim to using your credit card irresponsibly. As noted above, sticking to your budget as much as possible is key to having a prosperous 2014. Using your credit card to purchase things you can’t afford will put serious dents in your budget.
4. Learn about investing.
Another great way to have a prosperous year is to learn about investing. Do a short course, or speak to some friends and family that know a little bit about investing. Make your money work for you, and you’ll soon reap significant financial rewards.
5. Be frugal.
If you really want to make 2014 a great year in your financial standings, then you’ll need to make some sacrifices. There really is no other way to put it. Reduce the amount of coffee and alcohol you drink, and eat at home more often. Every dollar saved will help you build up a sizeable savings egg, and no doubt you’ll soon be impressed with just how much you’ve saved by going without here and there.
Having a more prosperous 2014 isn’t really that difficult to achieve. It just means sticking to the above 5 key principles, which will require a tremendous amount of will power. But it’s definitely not impossible. And the earlier you start sticking to them, the sooner you’ll start reaping the results.