This site contains affiliate links to products. We may receive a commission for purchases made through these links.
Thinking about money goals…I came across this saying and I am paraphrasing here but it says, “You can’t go back and re-write the beginning of your story but you can start now and change the end.”
This is something that we all get stuck in. We get deep in debt or can’t quite get our money under control. Most people give up and make no efforts to change but it is very possible to re-write the story. You just need to know how.
I have made so many mistakes in my life…I can’t count. I have buried myself in debt and overspent on things I “thought I needed”, but haven’t we all.
We have to remember as we live life that we are just humans and we are entitled to make mistakes. What matters is how you handle them and how you move forward.
I was thinking the other day about something that I need to do before the new year (but if you are reading this and it isn’t…you can start at any time).
Set Financial Goals for 2020:
Create a Budget and Stick to it
You need a budget. This is the only way you can keep track of your money and where it is going. This year, you should learn a budgeting strategy that works for you and make this part of your routine.
If you need some help, you can see these posts:
It seems overwhelming at first but budgeting isn’t that hard and once you get the hang of it, it can feel like something you have always done.
Making sure you are aware of what you spend will help you make better financial decisions for the future. Most of us don’t know what we spend each month nor do we have any idea what we are really spending money on.
Once, I decided to look at a few months in a row. I wanted to know what I was spending on fast food and restaurants for lunch so I went back through my bank statements and highlighted all of the “culprits”.
It was eye-opening what I was actually spending and when I put it into perspective…it made me want to do it less.
I made budget categories for all the areas that I felt like I was “overspending”. This makes it easier to see spending habits.
All you need to do is set limits for each category.
Pay off your Debt
If you are drowning in it or just have a few credit cards you would like to get gone, make this a money goal for this year.
If you have a budget in place already and you can see where the “fat can be trimmed”…then trim it. Use this extra money to create a pay-down plan.
I use the Snowball Method to pay down debt. Anybody can do it and it makes the most sense to me and has helped me the most in the past.
When you get out of debt, you will have 100% control of your money. You can put more money where it can work for you with investing or putting it in your retirement.
Getting out of debt also relieves stress and makes you worry less so you can use your time doing the things you want…and who doesn’t want to do that??
It seems like an impossible thing to think about and who wants to cut spending anyway?
It’s easier than you might think. You will just need to decide how important a goal this is and stick to it.
I wrote a post about being Frugal. There are some good tips in it to help with spending less money. See it here:
When you spend less and budget better, you can take the extra money you have and save It.
Being thoughtful about spending less can make you feel crazy but just remember your long term objective.
Finding Ways to Save Money on a Budget isn’t as hard as it seems.
Get a Side Hustle
Make some extra money!!! Dolla Dolla bills yall!
What could possibly help you meet your financial goals better than a side hustle?
Get an Emergency Fund
Everybody needs an emergency fund. Think of it as a “rainy day savings account”.
Dave Ramsey says that you should have $1000 set aside in this fund designated for EMERGENCIES ONLY.
And I don’t mean when that Roomba goes on sale for an epic after Christmas blowout that you have convinced yourself you “need” because it is emergent that the floors get vacuumed automatically so you can get back to the next episode of Grey’s Anatomy.
Just Kidding…but seriously, I have thought about this one before.
NO…I’m talking about a tire blowout on the way to a big work meeting or the washing machine that quits when you have 7 loads piled up. These are emergencies that your designated fund should cover.
So make it a priority if you don’t already have an Emergency Fund to get it started and make sure you are covered.
Have an Insurance Plan
With the recent changes in healthcare, it is easier than before to make sure you have health insurance.
One of the easiest ways to get into debt is with unexpected medical expenses.
I have a confession to make here, I am at high risk for breast cancer and my doctor recommends that I have yearly mammograms and an MRI 6 months later to check things out.
My confession is that a couple of years ago, I almost walked out of the hospital when I found out how many thousands of dollars I was going to have to pay to get this MRI done.
I called my (wonderful) husband, who reminded me of the 4 reasons why I needed to do it regardless of the cost and he said that he would sell everything he owned to make sure I was taken care of. (I’m tearing up right now just thinking about it)
My point in telling you this is to make sure you never skip a necessary medical procedure because you don’t have insurance or you think you don’t have the money to pay for it.
This is a lesson about why we MUST have savings!!! This is where your emergency fund would play into the picture.
Or you could have a budget line item for medical expenses.
By the way…I was cleared but at the moment I wasn’t aware that my “dense tissue” wasn’t cancer. I was about to make a very stupid decision because I didn’t have money set aside for medical emergencies.
So don’t do what I did…instead, get your money right in 2020 and make sure you have a budget line item for insurance and medical savings.
If your employer doesn’t offer medical insurance, check out HealthCare.gov
Set Retirement Savings Goals
It is so very important to save money for retirement. Let’s face it…who is going to pay your bills when you stop working, or what if you have to retire because of an unforeseen medical reason?
It’s hard to think about these things!
This article has some very useful information about retirement savings.
Hopefully, after reading this, you have found a few helpful things to help motivate you into getting your money goals right for the new year!
You can check out my other posts: