You’re probably already planning your 2023 financial goals, but are you ready for them? Here are seven tips that will help get you there.
Set a goal
It's important to set goals so you know what you're trying to achieve and how you'll get there. Make your financial goals as specific as possible, but also make sure to have both long and short-term goals to make the process less overwhelming for you. Think about why this would be important for you personally—what will changing this do for your life?
Become better at tracking your spending
You can't save money or reduce debt if you don't know where your money is going. In fact, many people who don’t track their spending end up in a cycle of debt that keeps them from achieving their goals.
Cut down on expenses
Cut down on expenses where possible. Looking for an affordable alternative can go a long way. You can also take a moment to look at your bank statements to see what you can cut back on. Speaking to a financial advisor can also assist you in highlighting financial blind spots that are costing you.
Save your side hustle money
If you’re working a side hustle, which could be the case if you’re reading this article, then you’ve probably been saving your extra income. You probably have a separate account that keeps track of all that money. If that sounds familiar and you’re already doing it, then keep up the good work!
However, if that sounds like something completely new to you and you haven't started saving yet (or if it's just time for an update), here are some tips:
Reduce debt
It's also important to remember that debt is not necessarily a bad thing. In fact, it can be helpful when used properly. For example, if you want to buy something that costs more than the amount in your bank account, such as a new car or house. However, it's essential that you keep track of what expenses are being charged on each card so there aren't any surprises down the road when it comes time for payment due dates.
If any major purchases have been made recently (like buying furniture), try not spending additional money on things like entertainment activities until those debts have been paid off completely first. This will help ensure peace-of-mind knowing that everything has been taken care of before moving onto anything else; otherwise this could lead into more debt trouble down the road.
Prepare yourself for emergencies
In addition to having a rainy day fund, you should also have a car fund, an emergency savings fund, and a home repair fund. It's important to have these funds so you can take care of yourself or others during emergencies or unexpected events.
Learn how to invest to protect yourself
Knowing how to pay yourself first by investing in reliable investments that can help grow and protect your finances is vital. You may need to speak to a financial planner to help you find an option that is more suitable to your needs. However, starting off with the basics such as having life insurance, a savings account and basic trust funds can help protect you and your loved ones in the long run.
Becoming financially resilient in 2023 will be a balancing act. Always remember that nothing is fixed and you will have to make sure that your goals are adaptable to the various changes that life throws our way. However, the best time for you to start us now.
