Many of us choose the New Year to kick start our
financial goals, which may vary from saving, debt reduction/cancellation or
financial education. Here are a few pointers to get you started.
On Saving (The
52-Week Challenge)
A
simple version of this would be to deposit £1 each week and then gradually
increase the amount by the number of weeks.
For
example, £1 into
your savings during the first week. Each consecutive week, you increase the
amount that you save. So week 5 would be £5, week 25 would be £25 etc. The most
you’d save in a week is £52 during the last week of the challenge, bringing
your total savings to £1,378.
Setting
a New Year’s resolution to save more money is a worthy promise to make to
yourself. To make sure you stay on track, have a clear concise mental
picture of what you want and why. Enlist the support of family and friends or like-minded
communities and don’t sweat your shortcomings.
On Prioritising Your Debts
Not all debt is equal. Make a list of
money owed and organise them by annual interest rates. Those with the highest
rates (most likely your credit card debt) should be paid off immediately.
It makes no financial sense to have money put aside while you are paying interest
rates that far exceed your savings and investment return.
In a lot of cases, the wisest course
of action would be to utilise part of your savings/investments to offset some
of the debt you owe. Why? If you owe £10,000 on your credit card and pay 19
percent interest annually (£1,900 per year), while at the same time, have £10,000
deposited in your bank, paying you 2 percent interest (£200 a year), you would
actually save yourself £1,700 a year by making a resolution to settle the debt!
On Financial Education
If you wanted to learn to cook, you’d
read cookbooks and spend hours a week in the kitchen. If you wanted to lose
weight, you’d read books on nutrition and weight loss and make time to work
out. The printed word is amazing in that it allows you to communicate directly
with some of the most brilliant financial minds on the planet.
Books you might want to consider
reading in no particular order. Secrets of the Millionaire Mind by T. Harv
Eker, Think and Grow Rich by Napoleon Hill, Rich Dad Poor Dad by Robert
Kiyosaki, The Richest Man in Babylon by George S.
Clason, Business Secrets From The Bible by Rabbi Daniel Lapin and Money Master
The Game by Tony Robbins. By investing in a copy of any of the aforementioned
books would be like inviting the author into your living room to discuss their
ideas and philosophies with you.
A reminder for you “You Don’t Have To
Be Great To Start But You Have To Start To Be Great” Zig Ziglar.
Don’t
forget to purchase your copy of the Monday Morning Fix, 52 Weeks To A Better
You.
Click HERE to get your copy today.
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