CALL NOW!
FREE PHONE/VIRTUAL CONSULTATION

Is Better Money Management on Your List of Resolutions for 2022?

better money managementIf you’re like most Americans, improving your financial situation is on your list of New Year’s resolutions for 2022. Whether it’s to afford a lavish vacation, invest in the future, or just have more peace of mind, resolutions related to better money management are at the top of many people’s list of what’s to come in the New Year.

According to Fidelity Investment’s financial resolution study, well over half of all Americans intend to improve their financial situation this past year.

That trend is expected to continue in the upcoming year.

What are some of the most popular resolutions related to finances and what can you do to improve your odds of success?

First and foremost, make sure you’re setting specific and achievable goals.

Saying you’re going to be a millionaire by the end of 2022 when you’re currently considering bankruptcy isn’t achievable for most people. Intending to pay off $75,000 worth of debt when you’re earning $18,000 a year isn’t achievable. Setting resolutions like this is setting yourself up for failure.

Instead, you want to take an honest look at your finances and determine what you can do to reasonably improve your financial situation. This doesn’t mean your goals can’t be ambitious. If you’re truly ready to buckle down and change things, the New Year is a great time to do so. It’s just important to make sure you can achieve your goals, even if they require hard work and restraint.

What are some of the best financial resolutions to consider for 2022?

Reducing Your Spending and Saving Money

If you’re earning money and able to meet your financial obligations with something left over, saving should be one of your main priorities. But for many, there’s very little left over after paying the bills. If this sounds familiar, it’s a good idea to review your spending habits.

If you’re stretched too thin there might be nothing left to save. It might be impossible to reduce your spending because you’re spending on only essentials once the bills are paid.

But if there are discretionary expenses you can curb, now is a great time to do it and start putting that money into savings. Savings is an important part of better money management.

If you can, try to save 20 percent or more of what you earn each month. If this isn’t possible, start smaller and work on achieving a higher percentage of savings by the end of 2022.

What are you saving for?

This varies from person to person. There is no “wrong” answer. Ideally, you’ll save for emergencies first before saving for other things. However, you need to focus on what motivates you to save. The goal is to have money available so you don’t need to overextend yourself when you spend.

Pay Off Debt

If saving isn’t an option for you because there’s little left over after paying your monthly bills, maybe it’s time to consider paying down or paying off debt. This is one of the best ways to free up money to save.

Debt isn’t always a bad thing. It’s not a negative mark against your credit to have a mortgage or student loan. But your ultimate goal should be to eliminate as much of your debt as possible. This is especially true for people who have a lot of high-interest credit card debt.

The best thing you can do if you know that debt is hurting your financial situation is to assess your debts and determine which is the most detrimental. Focus all of your efforts on paying off that debt first, and then if there’s more, move on to paying off those debts.

Even if you only manage to reduce a single high-interest debt in 2022, you’ve succeeded.

Getting Back on Track Financially

Is your financial situation in such disarray that simple financial goals of saving or paying down a few debts are out of reach?

Don’t despair.

It’s still possible to make 2022 a positive year financially. But it might take more drastic action than just better money management. In some cases, it might even seem worse before it gets better, but that doesn’t mean you shouldn’t set financial resolutions for the New Year.

If you’d like to discuss improving your financial situation, we can help. Contact the Law Office of Robert M. Geller at 813-254-5696 to schedule a consultation.

Archive

Video Testimonials

Tampa Bankruptcy Law Blog

5 Common Budgeting Mistakes Newlyweds Make and How to Avoid Them

Budgeting mistakes are common, especially when you’re young. Not all newlyweds are young adults, but many first-time marriages do involve...
Read More

When Should Married Couples File for Bankruptcy Together?

There's no easy answer to the question of timing when it comes to bankruptcy. In some cases, it may make...
Read More

Can Your Spouses Debt Force You Into Bankruptcy?

If you're married and your spouse has a lot of debt, you may be wondering if that debt can force...
Read More

Do You Need a Bankruptcy Attorney If You’re Divorcing with Financial Problems?

Divorce and bankruptcies are more common than many people realize. Financial problems make a stressful transition even more difficult. If...
Read More

Can You File Bankruptcy without Your Spouse?

Filing for bankruptcy is a decision that should not be taken lightly. It can affect your financial life and the...
Read More

How Seniors Can Avoid Bankruptcy

Seniors are at a high risk of bankruptcy, but there are ways to avoid it. What do you need to...
Read More

What Happens If I Own Too Many Assets to File for Chapter 7?

Does hiding assets in bankruptcy protect them from your creditors? If you own too many assets to qualify for Chapter...
Read More

How to Find the Best Lawyer for Filing for Bankruptcy after Retirement

Many retirees decide to file for bankruptcy as a way to get a fresh start. But finding the right lawyer...
Read More

Does Declaring Bankruptcy Affect My Retirement Savings?

When you're struggling with debt, the thought of bankruptcy might cross your mind. But what would that mean for your...
Read More

Is a Reverse Mortgage Right for Me?

Reverse mortgages in Florida are loans that allow homeowners 62 and older to borrow against the equity in their homes....
Read More

Bankruptcy

For The Next 5 Days GET A FREE BOOK About Bankruptcy

Learn More

Infographics

We are A Debt Relief Agency.
We help people file for bankruptcy under the Bankruptcy Code

Pay Online Bankruptcy Courses Newsletter Subscription

NACBA Logo avvo1 avvo2 avvo3 LEA BBB Logo

Call For A Free Initial Consultation

813.254.5696

Tampa Office

Law Offices of Robert M. Geller, P.A.
807 West Azeele Street
Tampa, FL 33606
T: (813) 254-5696
T: (800) 853-7549
F: (813) 253-3405

Map And Directions

St. Petersburg Office

Law Offices of Robert M. Geller, P.A.
125 5th Street South
(Wells Fargo Financial Center)
2nd Floor, Suite G
St. Petersburg, FL 33701
T: (727) 532-3939

Map And Directions

Pasco Office

23526 State Road 54
Lutz, FL 33559
T: (813) 336-2320

Map And Directions