New Year's Resolutions

Is your New Year’s Resolution to budget and save more money in the new year? Sandia Area is here to help. Follow these tips to get on the right track to starting your New Year off right.

Opening a Retirement Account

This is one of the easiest tips to follow. Many employers offer you the opportunity to contribute to a retirement plan. If you’re already taking advantage of this, it’s a great way to start saving for the future. By contributing through pay checks the money is going directly into the retirement account, so you don’t even miss it. This is a stress-free way of saving for retirement.

Don’t Spend More Than You Can Afford

As hard as it may be sometimes make sure you’re living within your means. Try not to be tempted to purchase something you know you can’t afford just because someone else has it. Although this is easier said than done, paying off an expensive item for many months accrues interest and ultimately makes you financially unstable. When you’re feeling tempted to purchase a large item, re-evaluate whether it is a necessity or a want, and think about how it would benefit your daily life.

Tracking Your Spending

There are many ways you can keep your financial goals in check throughout the year. Whether it’s by utilizing separate spending and savings accounts, using a budgeting app, or using an old fashioned pen and paper tracking sheet, ensure you’re monitoring how much you’re spending, and what you’re buying. At the end of the month you’ll be able to go back and see how much money was spent on items like clothing, groceries, and entertainment. This enables you to see and assess where you might be able to cut back your unnecessary spending. If you maintain this positive habit throughout the entire year, it’s a great tool for seeing how much more money you can save the following year.

Whether you stick to your New Year’s Resolution for a month, six months, or the entire year, the additional savings can benefit you for the future. Saving for retirement may seem unnecessary if it is years in the future but, the more you save, the more stable you’ll be when you’re ready for retirement. If you’re saving for something in the near future, you can use the money to buy a new car, or take a vacation. If you spend some of your savings you should do your best to replenish it, and try to make saving more money an annual New Year’s Resolution you stick to.

Use our savings calculator to see how much you can save. Saving even $50 a month adds up.