New Financial Year Resolutions

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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