Happy (Belated) New Year!: Starting 2019 on the Financial Good Foot


 Happy (belated) New Year!!


I wanted  to start the year by throwing out a few tips & making sure we are starting 2019 in a financially positive direction.


It's already a few days into the new year, so lets get to it!


* Save more, Spend Less


Sounds simple, but I know this is easier said than done. As I’ve said in the past, this takes a lot of discipline, but you have to look for the easy wins.

Cut cable, minimize the impulse buys, shop smarter etc. Also set a budget. Using an app such as Mint, PocketGuard or Every dollar should help point you in the right direction.


Remember, setting up automatic withdrawls from your checking to your investment or savings account will help you stay on track.


*Build up that rainy day fund!


What do you do with your new found savings? Start a rainy day fund!


I've said in past everyone needs to have a rainy day fund in case life happens, but statistics show that a large portion of Americans wouldn't have access to 3 + months of income in the event of an emergency.


If you have trouble with being disciplined enough to put away the money on your own (Dont feel bad, many people do), have your bank automatically deduct 5% (more or less depending on your situation) from your paycheck and deposit it into an IRA account.


Why an IRA account? Because you can invest that money and let it grow, you can get the tax benefits of having the money in an IRA AND in the event you need it for an emergency anything you contribute can be withdrawn penalty free.


Also as a bonus tip, whenever you pay off a credit card or loan, take at least half of what that payment was and store it away as well.


*Tune up your retirement account


A lot of people receive raises typically this time of year. If you have received a 4% raise, bump up your 401k contribution by 1.5% (or more).


Good news for 2019, the 401k max contribution limit increases to $19,000 this year and the IRA limit grows to $6,000. So if you were maxing those out already, theres a little more room to add additional funds this year.




(I pulled this tip straight from a CNBC article)


“If you're just saving and not investing, you're setting yourself up to lose money in the long run.”


That's because inflation causes prices to rise, which makes money less powerful over time. While a $20 bill will always be worth $20, what you're able to buy for that amount dwindles.


If you had stuffed $1,000 in cash under your mattress 50 years ago, today it would have the same buying power as only $137.45 did in 1968. However, that same amount invested with compound interest would have grown to about $20,000, assuming a 6 percent rate of return.


Although experts advise having three to six months' worth of living expenses stashed away in a liquid savings account, once you have that, it's smart to put any extra cash to work.


"The antidote to losing money on inflation is investing," Town says. "You've got to do something with your money."


*Set Financial Goals


Take a look at where you are today financially, set a period of time and decide where you want to be, and set a plan to get there. Although it may seem daunting at 1st, and honestly you may even fall a little short, but I promise you will be a lot closer than you would of with out it.


* Stop Waiting, Ask Questions


I’ve said it a thousand times or more, but next to actually having money, time is the biggest factor to building wealth.


Quit waiting for the right time, or until you get this amount. You can start saving/investing with $20/week.


You just need to jump in and do it! And if you have questions, between myself and google, you can do this!


* Finally, treat yourself (within reason)


You don't work all these hours just to pay bills and put your money away for a retirement you honestly may never live to see.


Life is for living, and there are plenty fun things you can do, all while staying on your financial path!


With a little smart planning and research, you can see the world, eat at some really dope places, experiences some cool things all while staying financially healthy!


Here's to a financially healthy 2019!!

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