Research shows it takes roughly 21 days to form a habit. If one of your goals is to develop and stick with better money habits in the new year, outlining both a short and long-term plan to help you get to that Day 21 (and beyond!) is essential to your success. Our Wealth Management & Trust Team is here with practical advice for saving money in 2020 -- highlighting how seemingly small first steps can, over time, lead to major positive financial change.
Daily, Monthly, and Long-Term Tips for Saving Money in 2020
As we embark on a new year, many Americans will find themselves making bold resolutions to initiate positive change in their lives. According to the website Statista, the five most common New Year’s resolutions for 2019 were:
As a financial advisor at Frontier Bank Wealth Management & Trust, I can’t offer much advice on 1-3 and 5, but I CAN offer a few tips to help you succeed in making those big sweeping changes to your finances. Here are a few suggestions to help you on a daily, monthly, and long-term basis.
Many in the finance industry are quick to dismiss Ramsey’s advice as simplistic, which is a mistake in my opinion. I’ve recommended this book to many people and I firmly believe, as someone who has personally benefited from his advice, if you are willing to take this first step and educate yourself, you will find yourself on the right path to financial success.
Now we get into the grind of determining a budget at the beginning of each month. Don’t overthink this and make it more complicated than it need be. The true value of a monthly budget is first, to help you identify where your money is going and force yourself to pay attention to the little purchases that add up to a big expense by the end of the month. The second is to help you pay off any debt that is standing in your way to fully take advantage of the most powerful force in the Universe, compound interest!