As year 2012 rolls in,
Make a Firm Financial Decision to ESTABLISH AN EMERGENCY FUND and SAVINGS ACCOUNT
- This is very essential as no one is immune to emergencies.
- The only way one can avoid debt is if one has a safety net to fall back on in times of need.
- Consider opening a savings account separate from your checking and try to only use that when a pressing need comes up.
- Make a choice to set a certain amount aside each time you are paid. You may even be able to set it up to come out automatically from your paycheck.
- Little amounts add up; $100/month is $1200/year.
- Set saving goals for yourself and strive daily to achieve them.
Make a Firm Financial Decision to REDUCE SPENDING
- First track your expenses to see where your money is going so that you know where you may need to make adjustments.
- Reduce or eliminate extra features on cable TV, phones and internet service.
- Use coupons effectively.
- Take your lunch to work.
- Cut back on dining out.
- Use your local library for books, DVDs and CDs.
- Drop any memberships you do not use fully, for example, movie, gym, and magazine subscriptions or beauty memberships.
- Avoid fees – bank account, overdraft, over limit fess, etc.
Make a Firm Financial Decision to PAY OFF DEBT
- STOP using credit cards or any type of loans.
- List all of your debt from the lowest to the highest balance.
- Pay the minimum payment on all debts except for the one with the lowest balance.
- Put every other penny you possibly can towards the debt with the lowest balance.
- When that debt is gone, do not alter the monthly amount used to pay all remaining debts, but throw all you can at the debt with the next-lowest balance.
- Use your tax refunds wisely to pay off some debt.
- Try increasing your income by getting a second job or better paying job.
Other resources: Check to see if you have any unclaimed funds in your state. This is for KANSAS.
How to follow through on your GOALS
- Write down specific resolutions.
- Set up attainable goals.
- Create a plan to follow.
- Be willing to forgive yourself and move on.
We at CCCS wish you luck on following through with your financial resolutions in 2012! Happy New Year :)