4 Ways to Set Up Your New Year for Financial Success

4 Ways to Set Up Your New Year for Financial Success

New year, new you? Take these four steps for a successful new financial year to help you achieve your resolutions for a fresh start.

1. Don’t live beyond your resources. Think intelligently about your spending. Just because you can afford something, do you really need to spend money on it? Having instant gratification can drain your finances, whereas incremental savings could help you save for a down payment.

2. Have multiple savings pots. Adding to your savings is great, but splitting it up into different pots will help you stay on top of what you're saving for and how much more you need. For example, have one pot or account for vacations, one for shopping/gifts, and one for that house down payment you've been waiting for.

3. Prioritize saving. Obviously, this does not mean you shouldn't spend anything but rather set aside a certain amount of money for savings before considering how much you'll spend. This will prevent you from accidentally frittering away your finances too early and keeping them in good condition for important payments.

4. Keep tabs on your spending. It is easy to keep track of where and how much of your money goes each month with the use of many different types of apps and tools. There are many online banks that have the feature built into their accounts so that you can properly budget and keep track of where you might want to pull back or have leeway to increase.

Your financial goals will come true in 2023 by following these 4 simple steps!