3 Quick Personal Finance Tips to Kick off 2019

Personal finance tips to prepare for retirement

When it comes to personal finances, it’s easy to put them in the too-hard basket and forget about them. The thing is, like living a healthier lifestyle by moving more, taking care of your personal finances leads to a healthier financial way of life (like having greater peace of mind and the freedom to do what you love).

And the beginning of the year is the perfect time to get a fresh start on your financial health…

Vicki and James will retire from their jobs in the next 5-7 years. They want to fix their finances and understand how they spend money and where they can make improvements.

They want to feel financially confident about about heading into retirement. And they’d like to add more to their 401(k)s while their employers continue to price-match their investments.

They know they’re wasting some money—dollars that could continue to grow their investments. With a few quick financial tips, they can get their finances in top shape for the upcoming year and their future.

Start with the money conversation

As a couple, talking about your financial thoughts and concerns regularly helps you understand where you may be losing money—money that could otherwise go toward your emergency fund or annuity investment.

Start with an estimate: Get the big picture of your spending and where you think your cash is going. Could you redirect some extra money to clear lingering expenses such as car payments or student loan debt (left over from your kids’ education or your advanced degree). The key is to identify areas where your money could be put to better use.

Reel in credit card debt

It’s hard to reach your financial goals when credit card balances creep up. Card interest rates bloat balances, making the increasing debt difficult to manage. The goal, of course, is to pay your balance off each month.

If you’re not able to pay off your card each month, take a close look at your credit card statement (often) to see where you can make changes and reduce the balance.

For example, are there monthly memberships you’re paying for that you no longer use or need? Are your supermarket trips costing more because using your card feels open ended (versus having a definitive amount of cash)?

A little credit card tidying up will keep card debt in check and help you save money to put toward retirement.

Define your wants (versus needs)

When it comes to financial decisions, it can be tough to tame your wants. Emotions (from fear to joy) can trigger desires for expensive objects. These purchases (the luxury car, the larger house and the designer clothes) can capsize a thoughtful financial plan.

Here something to think about…

Multi-billionaire Warren Buffett bought a house in Nebraska in 1958 for around $30,000. He still lives there!

Live well now for the future

Vicki and James want to know where their money is going. If they talk about their personal finances now, understand their spending habits and give their bank account and retirement fund a boost with some redirected funds, they’ll be on the path to financial success.

They’ll also get the added benefit of heading into retirement with the means for making the most of their post-work life.

Are you ready to rethink your finances and give your retirement investments a boost? Give us a call: (877)255-6273

2019-01-23T17:41:38-07:00January 23rd, 2019|Finance & Planning|Comments Off on 3 Quick Personal Finance Tips to Kick off 2019