Financial Habits to Start Before the New Year

_{By Bromwich+Smith Staff | 633 words | Reading Time: 3 minutes and 9 seconds | Date: 2022/11/29}

The end of the year is fast approaching, and this is a great time for pause and reflection. The new year can feel like a fresh start, and after the holiday season is over, the idea that you can begin better financial habits is a welcomed thought. However, you don’t have to wait till January to change your habits or feel better about your financial future. Even in the midst of spending season, there is still time for a financial glow up.

Don’t wait for the new year to start working towards your financial goals. Start today and claim December as a month of financial health. Here are a few habits you can start before 2023:

Make a budget for December

It’s never too late to start a budget. You can keep it simple by stating how much you are able to spend throughout the holiday season, on top of your regular expenses. Having a budget is like having a plan for your money, and it’s the only way to be fully in control of your finances. It’s not just about keeping track of how much you’re spending, but rather giving yourself permission to spend a certain amount. Try it and you’ll see how liberating it is to check everything off your list when you know you have the funds available for it.

Cut back on gift giving

If there’s any year that should be the year of less, it’s this one. Inflation, rising interest rates and a higher cost of living have impacted most Canadians this year. Life is unarguably more expensive than ever before. Have conversations with those that you typically give gifts to and see if there are alternative ways you can celebrate the season. Share a meal together, take in an experience, or find something special you can do with that person.  For most people, quality time is a gift in itself.

Put extra money into savings and/or emergency funds

If you have extra money, put some into your savings account or emergency fund. It’s important to have savings that you’re contributing to regularly. Your savings are for your future, and you might have several things you’re saving for both short term and long term, such as travel, debt repayment, taxes or retirement. If you’ve followed the suggestion of cutting back on gift giving, that should give you a bit extra to add to your savings. No amount is too small, every bit counts. 

Become financially savvy

There’s no shortage of books, podcasts and blogs that can help you increase your financial literacy. Commit to learning something new this month, and choose a book or podcast that aligns with what you’re interested in learning more about. Take a few minutes in the morning to read a chapter, or put on a podcast while you’re going for a walk.

Plan your financial goals for next year (and beyond!)

Don’t wait for January to start planning your goals for 2023. Start to write out what you want to achieve in the new year now, so you can start strong in January. Make sure your planning includes short term and long term goals, and provide actionable steps to get there. If you have the resources, working with a financial planner can be a great way to map out your financial future and have accountability to get there.

Make a step forward to deal with your debt

Don’t let debt hold you back from achieving your goals. There are many  debt relief options that are available to you. If you can’t see your way out of your financial struggles, start with a conversation to learn about the options that may be available to you. Reach out for a free, confidential, no obligation consultation. Bromwich+Smith’s Debt Relief Specialists are available by phone at 1.855.884.9243 or request a call back at our contact us page.