If your financial plan for 2021 didn't work out just the way you wanted it to, you could change that for 2022. Ask yourself why you didn't hit your goals, learn from those mistakes, and work harder for 2022!
Did you meet your financial goals for 2021?
I am sure you started 2021 with some financial goals. Whether that was to build an emergency fund, paying off some debt or establishing a budget to stick to. If you didn't meet your goals, think of the reasons why they didn't get accomplished. Making a specific & realistic goal in a time frame can help you pursue your goal in the new year.
Are your retirement savings on track?
Did you contribute the amount you wanted to in 2021 or maybe you had to take some money out unexpectedly for an emergency? Either way, you can help your savings recover by contributing more to your employer-sponsored retirement plan and taking advantage of employer matching (if it is available to you). Contributing to a 401(k) or a 403(b) plan can help you save more consistently because your contributions are automatically deducted from your salary, helping you to avoid the temptation to skip a month now and then.
With 2022 just beginning, new financial goals can be made for this year! What can you do to help improve your financial situation?
Evaluate your savings goals
What is your financial plan this year? Maybe you are saving for a new car, a vacation or more of a long-term goal. Regardless of what you are setting money aside for, make sure you come up with a specific & realistic savings plan that will help you pursue your goals.
Pay down debt
Let's make this year a year to reduce your overall debt. This can be your credit cards, student loans, personal loans or making a dent in your mortgage! Reducing your debt can help create opportunities to contribute towards other goals throughout the year. Set smaller goals that you believe you are likely to achieve over the course of 2022.
Automate as much as you can
A lot of financial goals can be accomplished more easily if you automate your bill paying, savings & investing. Automating can help you avoid skipping a payment allowing you to worry less.
Think about organizing your financial documents
If you are already in pretty good shape with your financials, make it a point to clean out & organize your financial documents this year. Do you have all your important documents, such as your passport and tax returns, in a safe place? Are you holding on to records far longer than you need? Organizing your financial records now can help save you time and frustration later when you need to locate a document in the future.