With the new year upon us, it’s time to have the obligatory discussion about New Year’s resolutions. Your goals for 2015 may vary between anything from weight loss to quitting smoking, but one thing that everyone would probably like to do next year is save money.
If saving money is on your yearly to-do list, here are some ways to achieve your goal:
Make a Plan
You should enter the New Year with a financial plan that gives you the best chance for success. If you already have a budget, review and update it for the 2015. Cut out unnecessary expenses to make room for new ones. If you have never made a budget in the past, make it your resolution this year to organize your finances. Explicitly knowing your income and expenses can help you save money and avoid debt.
Speaking of debt, if you are carrying any, you should make a point to start paying it off or eliminating it this year. You may have been making minimum payments and avoiding your bank statements in the past but now is the time to formulate a plan to become debt free.
“The first step in living financially healthy is to eliminate debt,” says Rob Webber, CEO of Money Saving Pro, a consumer advocate site that has researched and compared some of the leading debt relief programs like Consolidated Credit and National Debt relief “You can use personal finance tools like PowerWallet.com, or make your own spreadsheet that includes your monthly income and expenses. Then scrutinize those budget categories to see where you can cut costs.”
Debt is a constant financial and mental burden and the sooner you get rid of it, the sooner you will be more financially successful. Review your budget and make a point to contribute more towards paying off your debts.
Set a date that you plan on being debt free and cut out all the excess spending in your budget so you can reach it even faster.
Use Money Saving Apps
Smartphones and tablets aren’t just for games and social media. There are a variety of apps that have excellent practical uses. Look into some new and upcoming apps that can save you money in the New Year:
- GoodRX allows you to find the best price for prescription drugs in your area. Rather than frequenting the same pharmacy or hunting down the best prices, use GoodRX to find the best prices based on coupons, discounts and generally lower sales prices.
- Budgeting apps like YNAB (You Need a Budget) can help you manage your budget more easily and aid in your debt repayment goals. Their method is all about getting ahead in your finances so that you are not living paycheck to paycheck. You can try it free for 34 days and if you think it’s worth it, you can purchase the app for $60.
- Waze is not your average navigation app. This app connects you to a network of other drivers that send you traffic and hazard information both by automatic updates and manual reports so you can find the best route. Plus, you can find the cheapest gas prices along your route.
Being financially responsible is a noble goal for this new year. Try some of the techniques to save your money and eliminate debts.