Home
>
Wealth Building
>
New Year Resolutions to a Better Financial Future

New Year Resolutions to a Better Financial Future

There could not be a better time to mull over the changes needed in our life style than at the beginning of a New Year. This is also a good time to set yearly goals and make resolutions. Each year, according to statistics, almost a third of us make some kinds of New Year Resolutions. Interestingly, although financial future is our main cause of anxiety, our personal finance, according to surveys, gets only to the fifth place in the list of most common New Year resolutions.

For those of us who are still in the process of making New Year resolutions, my suggestion is to give high priority to financial aspects.

Here are some resolution ideas that may change your financial future over the course of time.

Saving

Lets make one thing clear! What ever amount of money you make it's probably never enough! The way our consumer psychology works is our demand increases along with our income. This makes saving really a problematic task! Some people do have inborn ability to save willingly, but most have to force themselves. If you are one of these people, who find saving a difficult thing, you should consider the methods described below.

? Commit to yourself that each month you will set aside minimum ten percent of your income for investment purposes.

? Make a strict habit of depositing 10 percent of all your incomes directly to your saving account.

? No matter what happens, don't give up.

You might argue that your income is not enough to make any kind of savings. Believe me, once you try putting away 10 percent of your earnings, you will see that this really does not have any serious impact on your budget. So your first resolution is to save ten percent of all your incomes month after month. There is hardly any point to save if you don't put your money to work for yourself! So, once you resolved to save, you need to invest your money wisely.

Credit cards and other consumer loans

According to New York Times through out the last decade use of credit cards has increased dramatically. The number of the people having credit cards raised about 75 percent from 82 million in 1990 to 144 million in 2003. However, the debt burden that they carry had grown 350 percent from US$338 billion to an astounding US$1.5 trillion. In 2003, according to the same report, average household carried a debt of US$ 7,520 in comparison to US$2,550 in 1990.

This means that credit card loans are becoming serious problems for average Joe. That's why the first step of your investment strategy should be to get rid of your consumer debts- especially your credit card loans. Most credit cards have horrendously expensive interest rates ? normally, 18 percent and over. If you are one of those people, who pay only minimum payment amount each month to their credit cards' debt, you are making a great mistake. Check out the calculator at http://www.bankrate.com/brm/calc/MinPayment.asp to see how much you are loosing by not eliminating your credit card debt burden.

If you are looking for financially sound future, take a hard look at your credit cards and resolve to do the followings:

? From the savings you started to make, pay off maximum amount of your credit cards' debts until you completely eliminate them.

? If you are unable to pay off the whole amount at once, don't just pay the minimum amount required; pay out as much as you can over that limit.

? Shop for credit cards with minimum interest rates ? which should not be more than 12 percent ? and switch to them.

? Use credit cards strictly for convenience only. Don't charge to your credit cards unless you know for sure that you will be able to pay it off right away.

? Minimize the quantity of credit cards you are holding. There is no reason to have more than three credit cards.

Same goes for your other consumer loans like student, car, etc.

Mortgage

The second step of your investment strategy should be to evaluate your mortgage payments. There are several very simple ways of reducing your payment time dramatically. Used scrupulously these methods can lower a 30-year mortgage to 10-15 years.

? Instead of making one single payment each month, every two weeks pay out half the monthly payment. The idea behind this is, since you are making 26 payments in a year ? each one of them carrying 50 percent of your monthly payment ? this is equivalent to 13 monthly payments. You are generating an extra month's payment each year, which in turn will reduce your mortgage term substantially.

? Whenever possible, each month try paying ten percent more than you are supposed to.

? Whenever you manage to make some extra earnings, use a portion of that to pay down your mortgage.

The mortgage calculator located at http://www.mortgages-loans-calculators.com/Calculator-Mortgage -Payoff.asp will help you to see your progress.

Keep track of your expenses

If you don't do it yet, resolve yourself to keep an expense ledger of all spending. Just the mere act of jotting down all your expenditure will reduce your expenses up to 20 percent. The reason is when you start keeping track of the money you spend, you become more careful and discerning in your buying decisions, which in turn help you cutting back and saving hard earned money.

Nowshade Kabir is the founder, primary developer and present CEO of Rusbiz.com ? a Global B2B Exchange with solutions to create e-catalog, Web store, business process management and other features to run a business online. You can read various articles written by Nowshade Kabir at http://ezine.rusbiz.com.

one time home cleaning Highland Park ..

In The News:

Privacy risks are hiding in plain sight, as your personal data is likely being collected, tracked, and sold without your knowledge.

VenHub, a fully autonomous, AI-powered smart store just opened at the LAX/Metro Transit Center in Los Angeles.

A woman's Facebook account takeover reveals dangerous social engineering tactics and provides lessons on recovery, avoiding scams and enacting stronger security measures.

Shanghai engineers are using 432 walking robots to relocate a complex, preserving Shikumen architecture while creating space for a modern underground hub and cultural center.

Major healthcare data analytics firm Episource had a cybersecurity incident exposing 5 million patients' medical records and personal information in recent breach.

A new sophisticated PayPal scam sends legitimate-looking emails from official PayPal addresses, using phone numbers instead of links to convince victims to download remote access tools.

Fox News' AI Newsletter brings you the latest on this rapidly evolving technology.

The innovative Kara Pod device extracts moisture from air to create mineral-rich water and brew coffee, featuring UV sterilization and compatibility with Nespresso pods.

Gov. Hochul unveiled New York's nuclear power plant project to power a million homes, which faces permit challenges while promising jobs and a cleaner energy future.

SAFE introduces Aerie, an underground luxury bunker combining high-end living with advanced security, wellness amenities and interactive walls simulating panoramic views.

A Facebook scammer posing as Elon Musk tricked a victim with promises of a Tesla and $250,000, requesting gift cards that become untraceable once the codes are shared.

Experience hands-free golfing with the Robera Neo smart caddie that uses AI to follow you, navigate obstacles and carry your clubs with GPS course mapping.

Cybersecurity alert: 16 billion passwords exposed in massive credential database affecting major platforms. Protect your accounts with password managers

The innovative BeBot robot uses electric power to remove pollution from shorelines, covering 20-30 times more area than manual collection while preserving wildlife.

A new ClickFix campaign targets macOS users with fake Spectrum support sites, tricking victims with CAPTCHA failures to paste commands that install information-stealing malware.

AI-powered autonomous trucks from Plus Automation are being tested across the U.S., Europe and Asia to solve logistics challenges while facing regulatory hurdles and labor concerns.

Your health information might feel private and secure with your doctor, but the reality is far more complicated. Data brokers collect a wide range of sensitive health data, from diagnoses and prescription details to personal identifiers, and sell this data to marketers, insurers, and other third parties.

Kepler Robotics has officially introduced its Forerunner K2 "Bumblebee" humanoid robot at the SAIC-GM automotive plant in Shanghai, marking a significant moment in the real-world deployment of advanced robotics.

Scammers never seem to be running out of new ways to try and get their hands on your money – and lately, they've been getting sophisticated.

Thirty people were injured and killed, though the exact number remains currently unknown, when a suicide bomber blew himself up in a Damascus church.

Unexpected password reset alerts signal potential hacking attempts or phishing scams. Learn how to respond and establish stronger security measures for your accounts.

A historic electric airplane flight landed at JFK with passengers, marking a milestone as Beta Technologies demonstrates the practicality and efficiency of electric air travel.

The Chaos ransomware group breached Optima Tax Relief in a double-extortion attack, stealing sensitive customer case files and corporate documents with personal information.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents now and for the future.

The first human brain-computer interface by Paradromics was completed in 20 minutes, featuring microelectrodes to help paralyzed individuals control computers with thoughts.

New Year Resolutions to a Better Financial Future

Wealth Building