Top 9 Financial Resolutions for the New Year (2023)
Top 9 Financial Resolutions for the New Year (2023)
New Year New Me with resolutions written on a notepad on a coffee table with a laptop, pencil, and plant.With each new year comes the perfect opportunity to reflect on the progress of your financial life and create actionable goals for the 12 months ahead. While most people focus on saving more money and paying down debt, others place importance on shifting behaviors around money management and increasing their income in an attempt to improve one’s financial circumstances.
Millions of Americans will create a New Year’s resolution in 2023, but only a fraction of them will succeed in achieving their goals. It’s discouraging to resort to half-measures or outright failure for weeks or months at a time, prompting most people to abandon their resolution altogether.
One solution is to set attainable financial goals that take small steps in the right direction rather than unlikely giant leaps. If you’re planning to make the new year your best one yet, check out our top financial New Year’s resolutions to get you started with a bang.
Top 9 Financial New Year’s Resolutions
1. Boost Your Credit Score
One of the most powerful financial moves you can make in the new year is checking your credit history reports and improving your scores. You can view your reports for free with the three major credit bureaus, Equifax, Experian, and TransUnion, once every 12 months through AnnualCreditReport.com.
Checking your credit reports and credit scores gives you the information you need to make changes, if necessary, and identify any errors that need to be corrected. With a clean credit report and good credit score, you will have access to more affordable credit now and in the future.
This can save you hundreds to thousands of dollars if you are thinking about taking on some form of financing in the new year.
2. Evaluate Your Debt
Another smart resolution for the upcoming year is taking a close look at your current debt. Having consumer debt, including credit card balances, personal loans, student loans, or a mortgage isn’t necessarily a bad thing. However, interest accruals on these debt balances can add up to a significant amount over time. You could also be potentially hurting your credit score.
Look at what you owe and the interest rate on each debt, then determine what might be available for extra payments. When paying extra is not a feasible option to reduce your debt load, consider alternatives such as a debt consolidation loan or debt relief program for additional assistance.
3. Work on Your Budget
Another important financial resolution that will add money to your wallet is committing to working on your budget. Figuring out what money is coming in and where it’s going every month can be an enlightening process.
If you’re noticing that you don’t have as much as you’d like to set aside for retirement, investments, or savings, looking at your budget can reveal where you may be able to cut back or reallocate some of your spending.
Budgeting doesn’t have to be difficult, though. There are a handful of money management apps, websites, and desktop software programs to make the process a breeze.
4. Increase Your Savings Amount
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