With Thanksgiving only a couple of days away, you’re probably feeling like Black Friday ads are inescapable. You may also have started thinking about the other, less commercial part of Thanksgiving – what you’re thankful for this year. At Debitize, we’re thankful for any and everything that makes personal finance easy and stress-free.
Staying on top of your personal finance should be simple and empowering, not stressful and mysterious. That’s why we’re sharing five of our favorite personal finance tips that the Debitize team is thankful for this year. Follow these tips, and you just might add something to the list of things you’re thankful for this year, too!
#1: Commit to your personal finance goals
All of the money-saving tips in the world aren’t useful if you’re not motivated to follow them. With clearly defined personal finance goals, you’ll be working towards things you’re excited about, rather than a misty concept of financial wellness. If you just want to save more, don’t leave it at that – pick out a vacation, new shoes, concert tickets, etc. that you’ll eventually cash some of those savings in on. If you want to save more for your future, create specific savings goals for things like a down payment on a home, or even retirement. Think about what you value most, and how your finances can help you get there.
#2: Make a realistic budget – and stick to it
Making a budget is easy, but making a budget that you can actually stick to? Not so much. Take a look at the values and goals you set in step 1, take an honest look at your spending over the last few months, and come up with some numbers that both are achievable and help you meet your goals. Start with costs that are absolutely necessary and will happen no matter what – housing, food (baseline groceries only!), transportation, health insurance, etc. Then, add on your savings goals. Once you see how much is left over, allocate your free income to fun things (again, be realistic so that you can stay within that budget) and more savings. Learn more here.
#3: Pay yourself first (Save!)
Congrats on making your budget! One key to sticking to it: pay yourself for those necessities first, as soon as that paycheck comes in. Set aside money for rent and your other basic costs, and put the money you’ve decided to save to hit your goals right into the appropriate savings account. Don’t let yourself start spending for fun until you’ve put the money you’ll need to meet your goals away.
#4: Get the most out of your credit card rewards
What’s better than free money? Not much – but if you don’t take advantage of your credit card rewards, you’ll be losing out. Find out which purchases will earn you rewards on each card, and spend strategically! Keep an eye out for any rewards bonuses. Next, make sure you’re actually spending those rewards points, or cashing in on your cashback bonus. Want more details on how to cash in on your rewards? Take a look at these suggestions to get started.
#5: Never pay credit card interest or late fees
Easier said than done, but staying on top of your credit card payments will save you money in more than one way. First, you’ll avoid late fees and interest charges. With the high interest rates on most credit cards, those charges can add up very quickly. Keeping your credit in great standing will also help you save money down the line, by getting you better rates on loans, insurance, or even a cellphone payback plan. We recommend that you give Debitize’s app a try to stay on top of your credit card payments – check us out here.
Managing your finances well doesn’t have to be complicated, and successfully managing your personal finance doesn’t have to take up all your time. With these tips, you won’t need to spend hours scouring the internet for deals. We hope you’ll be adding these tips to your list of things to be thankful for in no time.