Some people may learn from the 2020 COVID-19 situation to manage their finances more wisely, but others might not have the same chance to recover just yet.
If you want to change the upcoming year 2023, let me assist you with some baby steps that I’ve learned along the way.
Be Wiser and Smarter
I do hope that the majority’s new year’s resolution is to become wiser and smarter in all aspects fof life, but I can’t lie that this especially is important with your finances. If you’ve previously had trouble with your financial planning, it might be time to make some changes for the coming year.
These changes might affect how you spend your monthly salary. Have you considered using investments or interest from a few savings accounts to generate a passive income? If not, these options might be a good place to start since, in some cases, you won’t even be aware that money is coming in without much effort on your part.
This year, evaluate your financial situation on a yearly basis. In order to improve your financial situation this year, for instance, you might consider finding other ways to make money or spend less on unwise purchases.
Think of Back-Up Plans
Nobody wants their investment to fail, but things sometimes turn out differently than you would have anticipated.
Risking a fairly large sum of money on ventures that might not be profitable is never easy. Because of this, making backup plans can help you recover when something bad happens. Always make sure you have emergency funds available to use if all else fails. This includes money for your essential monthly expenses, such as rent, food, electricity, and water.
Whatever your backup strategy, it’s always a good idea to estimate your expenses first, especially if a significant sum of money is at stake. Simple rules like “No Guarantee, No Outgoing Money” can work in some cases.
Use reliable Calculators
Never hesitate to ask for assistance, even if it’s online. Online calculators like Calculator.me are dependable tools to use when determining whether or not your financial situation is stable. For instance, credit cards may appear to many to be a freedom card, but the charges that may be incurred may be excessive.
Unfortunately, I had to pay the terrible fees associated with using a credit card without fully understanding what I was getting into. There is no shame in this because you will only become wiser by learning from your mistakes. This is why I’m happy that there are tools like these free financial calculators that let you get a general idea of what you can expect before beginning something new in the new year! The Credit Card Calculator shows you your current balance’s Annual Interest Rate as well as the principal and interest rates, so you can see if you’re using your credit card excessively.
It’s Okay to Enjoy
2023 should become a fresh start and enjoying the year is what matters most. Start taking these steps now so you can start 2023 with a clean slate to become financially literate. I’m trying to make you wiser and smarter because let’s face it—you only get to live once! And I hate to say it, but you can only go “YOLO” if you don’t have any financial worries, isn’t that right? Since being alive is a privilege, the ultimate goal is to make it through this life with complete financial freedom so if you haven’t started it, now might be the time.
Leave the stress of unknown financing struggles in 2022 and enjoy 2023 to the fullest! I hope you’ve picked up a few things, and let’s all wish for a better 2023!