Generally, with the new year, many of us may be thinking about getting in shape and prioritizing our health, but what about making sure we’re financially fit as well? Doing so is especially important, given the uncertainty of this past year.
A lot of people had some major setbacks the past year like someone in the household who may have lost a job or was furloughed, and the holidays always bring extra expenses with them.
There are some things, however, you can do every day to help put you in a good position financially.
Financial Advisor Brett Gottlieb, of Comprehensive Advisor, shared a few exercises to adopt that will help leave personal finances in better shape this year than they were in 2020.
First, set your goals. Write them down and don't be afraid to start small; it's important to be realistic about what you can do, according to Gottlieb.
Have an amount of how much you’d like to set aside each month and where that money will be held. This will help you have a better grasp of your goal and how to succeed with it.
It's also important to keep a list of your long-term financial goals and how you can work towards those. Even if it's years before you're even thinking about retirement, it's a good habit to be thinking of how you will financially prepare for your golden years.
Gottlieb also told NBC 7 that it's important to prioritize making an emergency fund, just in case something comes up.
“The goal should be six to 12 months," Gottlieb said. "But a lot of times, people will say, 'hey, my expenses are $10,000 a month to save $100,000.' That’s crazy. Start small. That’s really the key. It comes back to setting a small goal, so you start out and let’s try to save one month of expenses.”
Another helpful place to start is to take a good look at your television streaming services and cell phone apps.
"What’s amazing is you don’t really realize all the apps you download and then you don’t end up using them," Gottlieb explained. "And then you end up getting charged a couple bucks a month. But a couple dollars a month starts to add up and next thing you know, hey wait a second, I’m spending $20 or $30 a month and I’m not even really using these apps that much.”
To learn more about Gottlieb and his team, click here.