It is that time of year again. The time we spend looking into the future and imagining a new life for ourselves. Some of us start planning out a strict workout routine while others are focused on spending more time outside. Although all resolutions are encouraged, taking a dive into your financial resolutions for 2021 could put you in the position you want to be in a year from now. We are sharing just 3 steps you can take to head into the new year with a plan that will actually make a difference in your financials.
1. Be realistic
It might be easy to get caught up in the idea of a complete change in your spending habits. Although that might sound like a good idea, it will be harder to keep up with these types of goals after a couple of weeks. If you are looking to cut back on ordering take-out, maybe just allow yourself to order on weekends. If you are working towards lowering your credit card debt, maybe continue to make those payments while only using your credit card every other month.
2. Be specific
Just throwing out ideas is a good way to start, but before the new year begins make sure to quantify these ideas. Separate your goals into short-term and long-term goals, and whether they are specific to saving, budgeting or spending your money. Wherever you can, put down the goal you have as a number so when 2022 comes around you will have a way to reflect and celebrate a goal you were able to reach!
3. Adjust as you go
If there is anything we learned in 2020, its that we never know what the year ahead of us is going to look like. Setting your financial goals is important place to start, but as the year goes by it is okay to adjust some details depending on how life is going. Hopefully you land that promotion you are working towards and you can increase your savings goal. Even if you encounter more bills than what you were expecting, changing that goal to reflect your new payments can help you still stay mindful of how you’re spending your money.
As a Radius client, there are budgeting and saving tools available to help you with your 2021 financial goals. Within the Radius Mobile app you can use the personal financial management tools that help clients understand their spending trends of 2020, which can help adjust their 2021 goals accordingly. Goalkeeper, within the Radius Marketplace, is also available to help Radius customers start saving efficiently in order to meet those goals.