Every time a new year comes around, it seems that most consumers have renewed energy to work on their goals and dreams for the future. No matter what those goals or dreams happen to be however, there’s no way to achieve them without a healthy dose of cash. Even something as simple as spending more time relaxing and enjoying life with your family takes money so, in 2015 and beyond, use the following Tips to build your wealth so that, whatever goal or dream you happen to have, you can more easily fulfill it. Enjoy.
We’ve talked about this many times here on our blog and, because it’s so vitally important, were going to talk about it again today rather briefly. Simply put, without a budget in place, it’s very difficult to pay down debt, save more money and sock away money for, well, anything. There’s really no excuse to not create a budget these days because there are plenty of budget apps and websites that you can use to do it quickly and easily. So yeah, just do it.
Tip #2: Create a plan to pay down your debt
if you follow Tip #1 and create a simple budget, paying down your debt is going to be much easier. The reason is that you’ll know exactly where you can cut back on certain expenses and, once done, use that extra money to start paying down your credit cards, student loans or whatever other debt you might have. Pay off the debt with the highest interest 1st and, once that’s done, start paying off the next. Pay, rinse, repeat.
Tip #3: Do whatever you can to earn extra money
Yes, we know that this isn’t easy. It is possible however, and the average consumer has many different skills that they don’t use or used infrequently. Carpentry skills, blogging skills, writing skills and the like can all be used to make a few extra bucks and, today with the Internet, it’s much easier than ever before. Finding jobs on Craigslist, selling services on Fiverr or using your ride-on mower to take care of lawns around your neighborhood can all put a few extra bucks in your pocket and, if you put those bucks towards paying down your debt or stuff them into an IRA or emergency savings account, you’ll be amazed how much extra money you have at the end of the year.
Tip #4: Treat yourself every so often
Let’s face it, keeping track of every dollar and watching what you spend every day can become a bit boring and tedious. It works, don’t get us wrong, but occasionally you need to remind yourself why you’re being so frugal and careful with your money. That’s why, every once in a while, it’s okay to splurge (but just a little) on something like a new pair shoes, a weekend getaway and the like. Just make sure you don’t put your little splurge on credit but instead use cash to pay for it.
Tip #5: Keep visual reminders around to show you why your being so careful and frugal
if you dream of retiring along the coast and spending your days idling away on your fishing boat, keep a photograph of the boat you dream of somewhere that you’ll see it regularly. Whether it’s a dream vacation, a house in the suburbs or the South of France, reminding yourself through pictures is a great way to stay focused on your goals and dreams.
The 5 Tips above aren’t the end all and be all to building wealth but will definitely put you on the right track. If you have questions about personal finance, investing, retirement or anything of the sort, please drop us a line or send us an email and we’ll get back to you with answers and advice.