With Christmas over and New Year’s quickly approaching people often feel it’s the best time of year to make a fresh start. I am no different. This year I have several New Year’s resolutions. Some are not financially related; losing weight, reorganizing our kitchen cupboards, improving The Frugal Path ect… However, my wife and I also have financial goals that we wish to achieve.
Although it shouldn’t be used as a means to procrastinate, creating financially related New Year’s resolutions can be a great way to start 2013 off on the right track. Here are a few that we are going to attempt:
Create a More Detailed/Realistic Budget
This weekend my wife and I will be creating a template for our 2013 budget. With the uncertainty of taxes and the possibility of a new job in my future, this is going to be a rough estimate until the end of February. By that time we hope things will have calmed down enough to make the rest of the year more predicable.
There are a few things I have learned from past budget successes/failures:
- You need to have some fun money. I’ve often found that it’s difficult to stick to a budget if you don’t set aside a little for yourself.
- If you’re married or have a partner talk about what financial goals you want to achieve. Maybe you want to save more for retirement but your spouse wants to remodel the kitchen. By discussing these goals you can discover what’s important to you and your partner and find ways to achieve these goals.
- Budgets are not static. Think of them as living breathing entities. As your needs change so too should your budget.
- Utility costs tend to fluctuate with the seasons. This can sometimes throw your budget off by a few hundred dollars. Check your utilities’ websites to see if they can put you on a fixed payment plan. This way you’ll know how much to budget for each month.
Cut Monthly Expenses
Without creating our budget yet, my wife and I know that there is plenty of fat that we can cut from it. However, once we have our yearly budget written out it will be easier to find areas that seem bloated. Some ideas we’ve had include:
- Getting rid of cable and opting for Hulu/Netflix.
- Changing car insurance companies.
- Eating out half as much as we currently do.
- Possibly having my hair cut at home.
- Consolidating our credit card debt through a credit union.
I’m sure that once we sit down and look over our budget there will be plenty more.
Whatever your New Year’s resolution is, don’t let the opportunity for the clean slate of 2013 pass you by.
What New Year’s Resolutions have you made? Are any financially related? Whatever they may be, have a safe and happy New Year.
Photo provided by: Gamma Man
I like your goals, we spend a small fortune on pay TV also and really don’t get our monies worth.
Also, I think you should always be talking with your partner in regards to financial goals. Why wait until the end of the year or the beginning of the next, do it now.
Glen @ Monster Piggy Bank recently posted..Rescue Pets after Christmas and Help Save a Life
Yes. Making sure you’re on track with your spouse all year long can make for a stronger marriage.
Ours are similar. We are just going to tighten the reins of the budget we already have. The holidays were slightly detrimental to our budget!
Holly@ClubThrifty recently posted..Snowed In…and Succumbing to Lifestyle Inflation
Christmas wasn’t too bad for us. However, we did get lazy about our budget during the last half of the year. We’re going to do our best to stay on track this year with a better plan of attack.
I made some financial goals but no resolutions, I never keep them so I opt for monthly smaller goals instead. Good luck with your resolutions!
Pauline recently posted..The tale of two broadband providers: the very best and the very worst
totally agree budgets are a living, breathing thing! My goals are definitely financially related. I need to be more assertive to bring in multiple streams of income, expand my client base, keep my eyes open for full time work, and constantly evaluate my spending and saving.
Budget and the Beach recently posted..Looking Back, Looking Forward Part 3
I am also planning on cutting down our fixed monthly expenses this year. I have already spotted savings with our car and health insurance.
I have a post scheduled for Saturday listing out mine. I like yours! I kept mine fairly simple and will probably tweak them each month or quarter. In a nutshell I want to make more money, save more money, and live healthier.
DC @ Young Adult Money recently posted..Should You Move Home After College?
I’m such a nerd but I do love looking at the year’s past financials to see how well I did. I’m waiting until I come back from Thailand to set my 2013 goals though.
Mo’ Money Mo’ Houses recently posted..Weekly Link Love: I Already Miss Christmas Edition