Recognized annually in January, Financial Wellness Month reminds us to think about our financial well-being. The timing is perfect with the end of holiday season spending, the beginning of New Year’s resolutions and prepping for tax season. Here are some strategies to help you make financial wellness decisions in 2023!
Craft a Financial Plan and Set Goals
Having a plan in place for your financial future is a key place to start. Consider your short-term and long-term goals and create steps to help you get there. Paying off credit cards, creating an emergency fund, or opening a savings account are great goals to think about! Set aside time each quarter to review your plan to make sure you are staying on track or need to make adjustments.
Create a Budget and Track Your Spending
Tracking your spending is the first step toward greater financial awareness and, ultimately, toward financial health. Understanding the basics of what is coming in and what is going out will allow you to become more mindful of your spending. Budgeting apps are available to make this easier or you can make your own spreadsheet to record your transactions!
Live Within Your Means
Sticking to a budget and spending only what you can afford helps you avoid taking on too much debt in addition to saving towards big goals like owning a home, starting a business, or saving for college funds. If a home is in your 2023 plans, be sure to reach out to our team to discuss your goals!
Save for Emergencies
Unexpected expenses can happen whether it’s a fender bender, an unexpected medical bill, or a broken appliance and these problems always seem to have the worst timing. By putting money aside—even a small amount—for these unplanned expenses, you can recover quicker and get back on track. While the size of your emergency fund will vary, the rule of thumb is to put away at least three to six months’ worth of expenses.
Invest for the Future
Investing can help you reach your financial goals. Consider talking to a financial advisor to learn more about the different types of investments available and how to start putting money away for the future.
Are you planning to purchase a home this year? Reach out to one of our experienced loan officers for more information on creating a homebuying plan that’s right for you!
