Creating a financial roadmap is an easier resolution to keep than you think.
Perhaps this will be the year you buy a new home or go on vacation. Maybe you'll build an emergency fund to prepare for the unexpected.
It can be tough to pick and choose between today's necessities and tomorrow's goals. But there is a way to simplify those spend-or-save decisions: create a budget. If you already have one, well done! Celebrate the progress you've made and tweak your plan as needed.
If you don't have a budget, now is the time to take an honest look at your current financial situation. From there, you can create a plan that incorporates the following:
- Your necessary expenses
- A plan for debt-reduction
- Short-term, intermediate and long-term goals
- Savings
Spending less and saving more today obviously means you'll have more money available tomorrow. But reducing your spending doesn't have to be an all-or-nothing thing. A budget is fluid. It's about designing a balanced strategy based on your personal needs, some of your wants and your goals.
How do you begin?
No matter where you are on your financial journey, a financial planner can serve as a knowledgeable and unbiased guide. Your planner can help you:
- Assess your current financial position with a cash flow analysis
- Discuss your financial goals
- Provide action steps to help you get on track
- Stay in touch to help you monitor and update your plan
You don't have to forego the necessities or other pleasures. If you start planning now, you'll have time to develop creative options that align with your goals, your values and some of your wants too.
This material is provided solely for educational purposes; it does not take into account any specific individual facts and circumstances. It is not intended, and should not be relied upon, as tax, accounting, or legal advice.