As we make our way to the end of the year, it’s time to start thinking about your new year’s savings goals! We are all guilty of making resolutions that we don’t stick to, so let’s make this next year different. We encourage you to choose two things from our list below and focus on those two things for your 2021 resolutions.
Start Saving for Retirement
You may think you have plenty of time to start saving, but you need to start as soon as you can. You should actually aim to have about a year’s salary saved by the time you’re 30. If you start saving for retirement now, you’ll make money which saves you from making higher payments in the future.
Debt vs Credit Cards
Yes, if you aren’t responsible with your spending, credit cards can get you in a lot of trouble. However, there are many benefits to using them. Credit cards help you build credit, unlike debit cards. You still need to be cautious about the use of your credit card. It can be easy to go overboard, causing you loads of debt, so you need to set limits for yourself.
Start an Emergency Fund
This is a perfect New Year’s Resolution. Especially after the year we’ve all had. There were a lot of unknowns in 2020, which is what an emergency fund is for. You never know what tomorrow will bring, so having a money cushion to fall back on makes all the difference. Try to stash as much as you can in the emergency fund, so you’re covered in case of a job loss, unexpected medical bill, or anything that would put you in a financial burden.
Build a Budget
After all that holiday spending, it may be time for you to start a budget! All you need to do is create a list of expenses and incomes to get started. This can be a hard one to stick to because you have to evaluate your budget throughout the year. If you’re able to commit to that, you’ll be on track to achieving your financial goals.
This is a huge one! If you have the ability to free yourself from debt, try to pay off as much as you can. This all depends on how heavy your debt is, what type of debt you hold, and your income level.
If you’ve gone through the list and don’t think you can manage to choose two of these, start with one. We know it’s easy to give up on resolutions but try your best to stick to at least one. If you can do that, you will be on your way to achieving your financial goals for the future.
Let us know if Eastex Credit Union can help. We have Visa Credit Cards with rates as low as 6.99% APR.* Consider consolidating your debt into one monthly payment or refinance your car and save money each month. Whatever your need, we’ve got you covered. Stop by and talk to a loan officer today!