Ok, if you have decided to make a positive change then that's great.
Ok, if you have decided to make a positive change then that's great. However, resolving to do better is only half the battle - if your resolution is unrealistic or tricky to measure, there’s a good chance you’ll feel like you’ve failed by the end of the year. Here are five straightforward resolutions you can make stick.
1. Improve your financial knowledge
January 2018 is a great time to invest in your financial knowledge. There’s a wealth of personal finance information out there, so improving your financial knowledge is a long-term goal rather than something you can tick off in a weekend. Check out the guides at sorted.org.nz and, if you have not already subscribed to our Making It Happen newsletter - do it now, it’s packed full of inspiration to help make your goals a reality.
2. Take control of your debt
If you’ve racked up a fair bit of debt over the last few years, why not make 2018 the year that you get your debt under control? Whether that means refinancing your home or consolidating credit card debt into a personal loan, there’s never a better time to make sure you’re paying the lowest interest rate on offer.
3. Set a budget you can stick to
Setting (and sticking to) a budget is a classic New Year’s resolution. Don’t despair if you failed in 2017 - sticking to a budget is possible, provided that you set yourself up for success rather than failure. Like all goals, a budget needs to be realistic if you’re going to stick to it. A good first step is to base your budget on your current expenses, looking through the past few months’ bank statements to get a good sense of your typical spend.
This might seem strange - after all, isn’t the aim of a budget to reduce your spending? Of course, a budget based on your current spending is only a starting point. Once you know what you can easily achieve, tighten your belt a little and reduce spending in specific categories each month. Aim for a percentage reduction over the course of a year.
4. Pay every bill on time
Not every resolution needs to involve a dramatic change. Simply making sure to pay every bill on time is a great way to improve your financial health. Aim to avoid late fees and improve your credit score next year by budgeting realistically and planning ahead.
5. Contribute to KiwiSaver
KiwiSaver is one of the best investments you can make - the employer match means you effectively earn a 100% return if you’re making the minimum 3% contribution. As a bonus, the government will put an extra $521 in your KiwiSaver account each year if you contribute more than $1042 over the year.
If you’re looking to do better with money in 2018, consider subscribing to our Making it Happen newsletter. You'll receive tips and tricks to inspire you, and give you the confidence to make good decisions for 2018!
