Another year, another list of resolutions to tackle. You’re not alone. The thing is, when we’re focusing on our yearly goals, we sometimes don’t take into account out financial resolutions.
Building Powerful New Habits For Financial Resolutions
Goal-based resolutions are an important way of looking at your finances. You can’t save for retirement without setting (and following) a personal retirement goal for yourself. You can’t buy a house without being consistent with your payments, savings, or loans. And you can’t pay for a college education without doing some education planning.
What do these all have in common? A big goal. Retiring in Bora Bora. Buying your dream home. Sending your kids to college.
10 Financial Resolutions For 2023
To help jump start 2023, we made a list of financial resolutions to add to the list.
1. Create a Spending Plan
Sticking to a budget is something that requires commitment and self-control. A spending plan allows you to set money aside every month for your savings, retirement, emergency fund, student loans, or whatever expenses you have in your financial plan.
2. Automate Your Savings
One of the most common reasons why people don’t stick to savings plans is lack of organization. Setting up a savings account that automatically pulls a set amount each month or week, will make it way easier for you.
3. Establish an Emergency Fund
In the case of unforeseen financial hardship, an emergency fund can help. If you haven’t started building one or are in the process of doing so, make sure this year you start an emergency fund.
4. Monitor Your Credit Score
Your credit score will play a role when it comes to getting access to financing and other financial services. Monitoring it will ensure you are working towards having it where it needs to be.
5. Review Your Employee Benefits
Long-term benefits include stock options, 401k matches, education discounts, or health insurance. Reviewing all of your benefits will help you find the most effective way to take advantage of them and save more.
6. Aim for a Promotion
Understanding what needs to be done on your part, where you can improve, and what your company needs from you is step one. Your job is a huge part of how your finances will be allocated, and aiming for that higher goal can be the difference when it comes to financial planning.
7. Keep Your Tax Planning Updated
One of the most important aspects of your financial plan should be your tax strategy. As we kick off the year during tax season, make sure you have a solid plan in place for the rest of the year.
8. Boost Your Retirement Savings
Your retirement plan is one of the most important goals you will have in your life. No matter what stage you’re in, having one and saving for one is fundamental. Use this new year to find the best way to maximize your retirement savings.
9. Update Your Estate Plan
The benefits of having an established and current estate plan are endless. Being consistent in updating your estate plan will ensure your legacy ends up in the right hands.
10. Catch Up With Your Wealth Planner
Every item on the checklist can be summarized with this last one. If you have a wealth planner, you understand the value of having someone design a plan for your personal financial goals. Your financial advisor is your best asset when it comes to tracking your financial progress and planning towards your goals.
In Summary
Build goals and create a checklist of the things you need to do. Not only does it make it more doable, but it also helps you feel more confident about your decisions, and motivated to continue working towards your goals.
Disclosures: Aventine Financial Group LLC (“Aventine” or “we”) is an investment adviser registered with the Securities and Exchange Commission (“SEC”). Registration with the SEC does not imply any level of skill or training. The content provided herein is for informational purposes only and is not intended as a recommendation, offer, or solicitation to buy or sell any security or investment strategy. This material does not establish an investment advisory relationship with Aventine, take into account individual circumstances or objectives, or constitute personalized investment advice. Aventine offers a broad range of investment management and financial planning services. For more information about our services and fees, please request a copy of our Form CRS (Client Relationship Summary) and Form ADV Part 2A (Firm Brochure). Neither Aventine nor its investment adviser representatives provide legal, tax, or accounting advice. You should consult your legal and tax advisers before making any financial decisions. Investing involves risk, including the potential loss of principal. There is no guarantee that any investment strategy will be successful. While diversification, asset allocation, and rebalancing strategies may help manage risk, they cannot eliminate the risk of loss in declining markets. Past performance does not guarantee future results. Any references to market indices are for illustrative purposes only and represent unmanaged groups of securities that cannot be invested in directly. Index performance assumes the reinvestment of income, dividends, and other earnings but does not reflect the deduction of advisory fees, transaction costs, or other expenses that would reduce returns. References to specific indices should not be construed as an indication that Aventine’s strategies will have similar composition or performance.