December 29, 2022

Set ‘Em and Forget ‘Em: 4 Financial Resolutions You Can Accomplish Now

New Year’s resolutions are a mixed bag for many of us. On the one hand: personal betterment! On the other hand: methodical auditing of our refrigerator, checking account, and various vices. On the cusp of a fresh calendar year, we feel compelled to immediately transform our lives, but—as is the case with most good things—change takes time. This is especially true when it comes to financial goals. And in the aftermath of steep holiday spending, our goalposts can feel…far away. 

If you want a few financial resolutions that you can achieve early into the new year, here are some suggestions.

Automate Your Savings. Life is expensive! Especially when you have your sights set on a vacation, home renovation, or even the creation of an Emergency Fund (which 26% of Americans report not having at all). Setting aside savings is a crucial step towards your financial health. We offer a variety of savings account options with competitive rates to make it easy for you to achieve your saving goals, no matter what they are. You can manage your account quickly and easily through digital banking! If you want to go the straightforward route, set up an automatic direct deposit that funnels a percentage of your paycheck into a designated savings account. Then try not to touch it.

Enroll in a 401(k). Speaking of savings…if your employer does not automatically enroll you in a 401(k) plan, you can sign up yourself. Unlike some company benefits (like flexible spending accounts or insurance enrollments that have deadlines), you can enroll in a 401(k) plan anytime during the year.

So why not now? The sooner you can begin growing your retirement savings, the better. What you contribute is up to you, and many employers will match your contributions up to a certain percentage. If you earn income but don’t receive employer benefits, you can open a Traditional or Roth IRA as an alternative. Our IRA Center is a great place to learn about your options and connect with an IRA Specialist from the comfort of your home.

Trim subscriptions. The average American underestimates their monthly subscriptions costs by $133 according to a 2022 survey conducted by C+R Research. People estimated they spent about $86 per month when in fact, they were spending about $219 per month. The start of a new year is a good time to take inventory of your streaming networks, music subscriptions, smartphone apps, wine club memberships, or any other miscellaneous expenses that might be drawing away from your overall savings goals. Try out our digital banking feature Money Management. Money Management allows you to see all your financial relationships in one place and created bubble budgets based on your spending habits. Start off 2023 right with Money Management.

Check your credit report. You can get a free report once a year from each of the three major consumer reporting companies (Equifax, Experian, and TransUnion.) You can also keep track of your credit score daily with our digital banking feature Credit Score. Keeping track of your credit score allows you to look for errors or instances of identity theft—red flags you do not want creditors looking at when they are evaluating your application for loans and credit cards.

Related Content: Blog – Track Spending with Money Management- Interior Federal

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