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Whether it’s the ten million “New Year, New Me” posts you see over social media, the tradition of making New Year’s Resolutions or just the shock of how expensive the festive period can be, it’s not unusual to find yourself taking stock and setting yourself some financial goals for the New Year in the early days of January.
And, if you’re a little stuck for inspiration beyond “be better with money”, your friends here at Bamboo have got 5 financial goals for the New Year that will set you up for a prosperous 2020!
Bamboo’s top 5 financial goals for the new year
1. Start to budget
Whether you start with something as simple as “I’m only going to spend £X on going out this month” or go the whole hog and write yourself a colour-coded budget document, starting to budget is one of the most effective and achievable financial goals for the New Year.
And that’s not just because it helps you save money (and pay off debt quicker). It also helps you become mindful of your money and how you spend it.
At Bamboo, we love a good budget. Make sure you check out some of our articles on budgeting to get an idea of where to start!
2. Learn about money
One of the best things you can do to help you get better with money is learning about money and personal finance. Just like budgeting, learning about money equips you with the knowledge and understanding to be mindful of your money and start to form better money habits.
In fact, one of your financial goals for the New Year could just be “read a book about personal finance”.
Of course, there are a thousand books about personal finance out there, but here at Bamboo, we’re particularly fond of The Financial Diet: A Total Beginner’s Guide to Getting Good with Money. This is because it talks about personal finance in a way that isn’t boring or hard to get your head around.
We also really like that it isn’t just about savings and interest rates, but lifestyle changes that can have a big pay-off.
However, be aware, some of their advice is specific to the US. That said, most of their advice — about budgeting, money mindset, saving, etc… — is absolutely spot on. It’s well worth checking out.
And, if you don’t have time to commit to reading a book, they also have a YouTube channel that is also worth checking out.
Alternatively, if you’d like a bit of one-on-one coaching on personal finance, ClearScore offer a fantastic — and free! — coaching service that gives you tailored advice on how to hit your financial goals. It’s perfect for starting 2020 how you mean to go on!
3. Pay off debt
If you’re in the mood to set yourself some ambitious financial goals for the New Year, paying off some of your debt is a fantastic one to choose.
Not only will you start to improve your credit score, but you’ll also save yourself money too. That’s because paying off debt early is usually cheaper than paying it off over the full term.
If you want to wipe out some of your debt as one of 2020’s financial goals for the new year, we recommend checking out our blog post from the beginning of last year. In it, we break down (in detail) 7 ways you can pay off debt and head towards a debt-free life.
4. Focus on your career
Another great way of improving your financial situation in 2020 isn’t about budgeting or paying off debt but bringing in more money.
If there’s a promotion you’ve got your eye on at work or a job you’d love to apply for, why not make 2020 the year you take active steps to achieve it?
And focusing on your career doesn’t have to be a scary task. You’d be surprised how much of a difference setting aside a few hours a week for professional development — perhaps start reading blogs or work-related books or working on your CV or picking up freelance gigs or improving your soft skills — can make to your career.
In fact, Forbes has put together a fantastic article on the 20 best (and free) ways to boost your career that’s well worth checking out. (We particularly like the tip to be more curious at work!)
5. Start an emergency fund, nest egg or savings pot
OK, OK, this isn’t the most exciting of the financial goals for the New Year. Far from it, actually.
But, as Huey Lewis and The News were so fond of saying, sometimes it is hip to be square.
And so while it might not have the sexy, cool allure of improving your career or the liberating feeling of paying off your debt, imagine how much stress you could save yourself if you know that you had a rainy day fund of money tucked away for when times get tough?
Or, even better still, a nice chunk of savings that — with a bit more work — could help you get out of the rent trap and onto the property ladder?
Of course, saving is hard. But we’ve written an in-depth post on how to make saving money a habit so you spend the year saving on autopilot and end 2020 with a nice little nest egg!
Have you got some financial goals for the New Year in mind? If so, make sure you check out the other posts on our blog, it’s stacked from top to bottom with tips and tricks to help you save money and fix your finances!
And, of course, from everybody here at Bamboo, Happy New Year! 🎉🎉
- Author The Bamboo Team
- Posted 10 January 2020