Financial goals, budget and savings can be frightening words and concepts whether you are hearing them for the first time or the hundredth time. They are chilling because they are important in leading a healthy financial lifestyle, but we may not be well-versed in what they mean. Once you become familiar with the world of finance, you can maneuver more effectively through your own financial history to set up your future. Here are some ways to become more comfortable with the wild world of money.
- Your goals should be specific. Write down the amount you want to save and the date(s) of when you plan to accrue the money. With specific goals, you can formulate a concrete plan with small steps that will result in a big check mark next to your goal. Have some grace with yourself, life does happen, and you may need to dip into the money saved for emergencies.
- A budget will show you where your money has gone. As you become savvier with your money, you will feel empowered to tell your money where to go. Find out how you are spending money AND how to cut back. Nerd Wallet is a resource that will give you tips on cutting back, as well as the psychology of why we feel we need to spend.
- Pay yourself first and build your savings, once you’ve set your goals and created your budget consider scheduling automatic transfers, if you can. This can be an amount as small as $20 and as time passes you will see your savings grow. Building your savings will give you freedom, financial security, and peace of mind.
These guidelines, and many others, can help you successfully navigate your current financial situation and prepare for future milestones. Be sure to check out our website for more information. One last tip. Don’t be afraid to ask questions or reach out to experts. At Upward Credit Union, we want everyone to succeed. Let’s become more financially fit together!