It can be quite challenging to keep your resolutions during the year, and especially hard to keep your financial resolutions. The Wall Street Journal, just recently published an article regarding the goal to “save more and borrow less” which is a popular financial resolution. However, most of us don’t move in a positive direction when it comes to this goal as we struggle to manage our credit card debts and boost our savings accounts. What can we do differently?
Instead of developing areas where you need to cut spending (no more Starbuck’s lattes or eating out) and forming a budget, you should look into developing specific savings pools, “ When it comes to saving, decide what specifically you want to save for. Then, set up separate pools of money, or “buckets,” for each goal and contribute to them on a regular basis…buckets are more in keeping with how people naturally think about their money” (Wall Street Journal).
If your goal is unspecific (save more) then it is really too abstract of a concept for you to make solid headway in 2012. If you are saving for specific goals or within pools or buckets like “trip to Europe” or “new car,” then you are typically more likely not to transfer from these accounts.
When it comes to improving how you organize your debt, “one solution is to use your plastic the way it was meant to be used, paying for pizza and lattes with your debit card and putting the couch on your credit card. Beyond that, some credit-card issuers, such as Chase, let you separate out on your statement the charges you want to pay off right away with no interest (pizzas, lattes) from those you want to pay off over time or even in a certain number of installments (couches) (Wall Street Journal).
Finally, there are plenty of money management tools out there to make your job easier. For example, Intuit’s Quicken software and Mint.com are both great options that let you monitor your spending and periodically measure your progress towards specific goals
I hope this information has been informative, and I wish you all the best this year as you go after your resolutions. If you are considering a real estate investment in 2012 in the Charleston, SC area, then don’t hesitate to reach out for advice and information on available properties. You can reach me via email, bob-chambers@infinityrealty.com, or by phone, 843-849-3005. The Charleston Real Estate market has some fabulous homes available right now that I’d love to walk you through. Get in touch with me today so we can take advantage of the favorable buying market! Talk to you soon!
Bob Chambers is Broker-in-Charge & Owner of Infinity Realty located in Mount Pleasant. Mr. Chambers is responsible for fostering relationships in the community, managing sales staff, heads office operations and helps clients buy and sell homes in the Tri-County area.