10 New Years Money Resolutions You Can Make

With each new year we get a bit older and a bit wiser (hopefully), and we take with us lessons learned in years passed. But how many of those lessons do we actively use? Let 2018 be the year you get your money in order. A lot can happen in just the course of a year. Use this list of 10 New Years money resolutions to jump start your 2018!

1. Look for a new savings account – or open one.

The Federal Reserve raised interest rates on Dec. 13 and plans to raise them three more times in 2018. What might this mean for savings accounts? Savings accounts that have for years offered rock-bottom interest rates (often 1 percent or less) will likely go up. But probably not too high up, according to most industry experts. Still, expect some online and community banks to entice new customers by offering interest rates that are well over 1 percent and perhaps, one can hope, reaching 2 percent. You should save money regardless – but this year, you may actually make money doing it.

2. Do your taxes early.

That's a good idea any year. But with the new tax plan, it may be more confusing to taxpayers as they figure out what they can and can't deduct, and set themselves up for the following tax year.

3. Start that college savings account.

Do you have kids? Yes? Are you putting money away for college? No? What are you waiting for? A financial services firm conducted a survey from May 11 to 14 of 1,009 U.S. adults and found that seven out of 10 respondents didn't know what a 529 plan is. If you need help finding a 529, you can contact our office today to learn about all your options!

4. Get control of your credit card debt.

It's a good idea for anyone to do, but young adults who frequently borrow money from their parents may really want to think about it. According to Creditcards.com which surveyed 1,092 adults with kids 18 and older, 74 percent of parents help their grown kids with finances. While that's to be expected if your kid is still in college without a job, 70 percent of them said that they helped alleviate some of their kids' debt. Financial education is vital and Maximum Wealth is here to provide all the assistance and educational material to eliminate the dependence on credit card lifestyles.

5. Cook more or learn to cook.

Get to know your kitchen, and you'll save money. According to the most recent Bureau of Labor Statistics numbers, the average household spends an average of $3,008 per year on eating at restaurants. You're going to spend less money the more you eat food from the supermarket, and it will be healthier for you, too.

6. Make some home improvements that save you money.

Now, while you may argue that a new kitchen or backyard patio will add value to your home, that's money you'll make – someday. Instead, you could buy some energy-saving appliances that would eventually pay you back, once the monthly savings add up and overtake the initial cost. Energystar.gov has a lot of energy-saving appliances and home improvement ideas.

7. Start planning for the worst.

It may sound like negative thinking, but you don't know how 2018 will turn out, and a little preparation could make a possible bad year better. The investment service company recently released the results from a survey of 2,019 American adults 37 and older that found 65 percent of them had no financial plan in place in the event of a divorce or losing a spouse. Really, that survey isn't surprising at all. Many of us are buying a birthday or anniversary gift for our loved ones on the day of, and we're expected to plan for something that may not happen, and that we don't want to happen? Of course we aren't planning for the worst. Still, it's arguably a smart resolution.

8. Resolve to put money aside for next year's holiday gifts.

A New Year's Resolutions Survey, conducted from November 23 to 26, of 1,005 U.S. adults, and found that 25 percent of respondents will be paying for their holiday gifts for the next six months. Maybe 2018 will be the year you finally break the cycle of holiday debt, and you open up an extra checking or savings account and start putting money into it every month, so you aren't financially overwhelmed during the next holiday season.

9. Buy less.

You don’t need the newest, fanciest gadget or those $100 shoes. Take this year to really assess your needs vs your wants. Make some sacrifices for the greater good. Don’t let flashy signs or loud commercials trick you into thinking you need things.

10. Perhaps the most important one – Start a Budget!

A lot can and will happen in the course of a year. You’d be surprised at just how much better off, or worse, your money can change in a year, too. Even just jotting down your monthly expenditures will make you think twice about how you’re spending your hard earned money. So take this list and be proactive about your money and your life!

And if you’d like help with any of the above, feel free to call or email us at your convenience for any questions or assistance. Minimum thought. Maximum Wealth.

(706)876-0844

maxwealth@wdouglasjones.com

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