30 Financial Planning Tips You Can’t Live Without
Taking the time to learn about financial planning is an important investment in yourself. Follow some of these tips to help you create a stable financial future.
Tips for Everyone
- Spend Less Than You Earn – Avoid making purchases on time or using credit cards unless you can pay off the balance at the end of each month.
- Eliminate Credit Card Debt – A revolving credit balance is more expensive than paying with cash.
- Create a Reasonable Budget – Put together a budget that includes everything you really purchase in a month.
- Establish a Savings Plan – A savings account will give you a cushion if something unexpected happens and you find yourself a little short occasionally.
- Check your Credit Reports – Take advantage of the three free credit reports that you are entitled to each year. Look over your reports to make sure that the information is accurate.
- Write a Will – If you don’t specify where you want your assets to go after your death, there is no guarantee that your dependents will receive them.
- Start a Holiday Fund – Setting aside as little as $20 per month during the year will give you a good nest egg for special occasions and holidays.
- Purchase Appropriate Insurance – Don’t pay for a life insurance policy you don’t need. Buy life insurance to provide financial security if you are unable to contribute any longer.
- Donate to Charity – Make tax-deductible donations before the end of the year so that you can claim them on your taxes.
- Use Employment Benefits - Many employers offer medical payment plans and retirement funds at a reduced rate.
- Lower Energy Bills – Make sure you turn off electrical appliances and lights when not needed.
- Stick to Your Budget – Once you make a budget, follow it. If your budget is reasonable, it won’t be too difficult to stay on track.
- Withhold Taxes Properly – It is nice to get a large income tax rebate once a year, but you could be enjoying larger net paychecks each month if you adjusted your withholding properly.
- Contribute toward Retirement – Establish a retirement fund as early as you can and contribute to it regularly so that you can continue to live comfortably when you are ready to retire.
- Earn What You Deserve – Keep track of the expected earnings for the type of work you do, and make sure you are earning a competitive salary.
- Stay Organized – Keep your home office neat and organized so that you can find your financial documents easily.
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