New Year's Resolution to Finances

As a recent graduate, I am about to be thrown into the world of bills and expenses. In order to minimize the stress and worry, I have decided to pre-plan my future expenses so I can be ahead of the game. Here are 19 things I will do in 2019 to keep my finances on track.

1.      Identify my financial goals for 2019

·         As a recent graduate, I have to now figure out all of my expenses. My biggest goal is to be financially educated and prepared. I need to understand what expense I will have each month and other ways I can save.

2.      Pay off my car loan

·         I will put an extra $ towards my payment each month to pay it off early

3.      Be financially capable of buying a home

·         Become preapproved for a first-time home buyers loan

4.      Commit to a “no spend day” each month

·         It means what it says!

5.      Check my credit report

·         It’s free at annualcreditreport.com

6.      Save to travel to Australia in 2021

·         It’s just one of my dream vacations and I have a 2 year plan to start saving

7.      Build my emergency fund each month

·         Life is unexpected. The last thing I want to happen is a problem arise and I don’t have the money to solve/fix it.

8.      Pay bills right after pay day

·         I can’t spend money I don’t have. So, to minimize the potential of me spending my money before my bills are paid, I will set them to be automatically withdrawn from my account before I notice the funds are there.

9.      Make a realistic budget

·         Pay my bills first. Save some money in savings/emergency fund. Then have the rest for entertainment.

10.  Pay an extra $ towards my college debt each month

·         The more I pay each month the quicker it goes away, right? Any extra funds will go towards this when capable.

11.  Cut back on unnecessary shopping

·         I know there is a fine line between “need” and “want” and will try to put that money towards paying off debt rather than a splurge.

12.  Donate (or sell) unused clothes/items

·         Donating my unused clothing or household items will allow me to itemize the donation(s) on my tax return (of course, this depends on what form I file!)  I’m also considering consignment shops, where I can “sell back” clothing I no longer wear.  Cash in my pocket now or tax savings at tax time plus a cleaner closet is a winner all around!

13.  Be more aware of what my financials mean

·         This is the year of education! I will learn and understand financial security, interest building savings accounts, different insurance options, difference between certain credit percentages, homeowner loans, etc.

14.  Learn about investments

·         Which stocks are good investments? How do I know what a good investment looks like? How to choose which one to “take the risk”, which one builds more, quicker?

15.  Minimize eating out to 3 times a month

·         I know buying groceries not only saves money but also reduces the chances of eating unhealthy food. I think this might be one of the easiest financial resolutions for me!

16.  Skip the gym membership

·         Since the gym at my college will no longer be accessible, I’m planning to take advantage of online workout programs … it’s worth a try, right?

17.  Watch my reoccurring membership subscriptions

·         Netflix and Pandora are great, but every service and/or app with a monthly fee can slowly eat away at my discretionary income. I plan to keep control of those I use and enjoy regularly, and drop those I don’t.

18.  Match my 401(k) with my job

·         I am definitely hoping my first “real job” offers a 401k savings. I plan to contribute at least as much as the company will match.

19.  Minimize the chance of living paycheck to paycheck

·         Understand my bills, debt, and expenses. Be financially smart and strict.