The end of the year is always difficult on moral, material, and physical levels. It is quite complicated to realize and accept everything that happened during the year. People that are closest to you always wait for gifts from you.
And when there are not enough finances to cover all the Christmas expenses, people often consider taking a $ 500 loan. Because it is fast, convenient, and easy to get. But then the new problem arrives.
How to collect finances to distribute debts, because who wants to start the new year with debts? How to buy gifts for everyone and start setting new goals, despite the fact that collecting money in a pandemic is not an easy task?
What Does Collecting Your Money Mean?
It means to fit your budget, to give up some of your habits that aren’t necessary to your life. It’ll help you improve your financial situation to reach new purposes. Firstly it will be very hard to do, but then it will help you feel the lightness and charm of the beginning of the New Year.
After that, you need to identify the new goals you have.
How to Set Financial Goals for the Following Year?
Preparation of a financial plan is one of the important financial decisions for 2022, financial analysis of your income, expenses, and investments are one part of this process.
If you don’t want to get bogged down with data, you can hire an accountant, but if you can’t afford it, there are plenty of websites and apps to help you with budgeting.
What Areas You Should Consider for Setting Goals?
Motivation
You need to set goals that can induce you to act. It means you must be sure that the results of your endeavors are very important for you. Motivation is a key to reaching goals.
Your Goals Must Be Specific
You must clearly articulate what you want to achieve during the next year. Generalized goals are useless because, in order to achieve it, the goal must show you the way. Make it as easy as possible to get where you want to go.
Set Measurable Goals
Include exact amounts and dates in your goals to measure the degree of your success. If you don’t measure your success, you miss out on the celebration that comes with the realization that you’ve actually accomplished something.
Set Achievable Goals
Make sure that you can achieve your goals. You will only demoralize yourself and undermine your confidence if you set a goal that you have no hope of achieving.
However, resist the urge to set goals that are too simple to reach for you. When you don’t work hard to reach the goal it can be frustrating or also can make you fearful of setting future goals that are at risk of not being achieved. When you set realistic challenging goals, you strike the right balance and these goals bring you the most personal satisfaction.
Set Goals Appropriately
Don’t waste your precious time. Goals should be consistent with the direction in which you want to develop during your life and career.
Set Time-Bound Goals
You need to have a deadline in reaching your goals. It means you know when to celebrate success. When you work with a deadline, your sense of urgency increases, and achievement will happen much faster.
Make a Plan of Action
Usually, a lot of people are so focused on the result that they forget to plan all the steps that are needed along the way. When you write down individual steps and then cross them out when it’s completed. This way you can control your progress towards your ultimate goal. This is especially important if your goal is difficult and demanding or long-term.
How to Control Your Money Conclusion?
First of all, you immediately need to resolve the issue of debts. To pay off the debts you must stop making it. You must cut costs. We can provide several ways to do it.
You should start to save about 20% of your payment every month. Also, it is a good thing to open a savings account. You even will not notice how soon you’ll have a good sum on your account.
Also start to control your meals outside the home. We advise you to choose more cheap restaurants or cafes. Control services you are subscribed to and think are there any you can refuse. All this advice can help to save your budget.
What to Do in a Pandemic Situation?
The coronavirus burst in without warning and changed the way of life for many people. What to do if income has dropped sharply? Analyze and reallocate the budget. There are no hopeless things in life. It’s always great when you have the support of your beloved people.
According to the economy’s statistics, tens of millions of people have lost their jobs due to the pandemic. But Svetlana is a prime example of how to balance the budget in such a situation. Look at her story:
«I was pleased that the transition to remote work eliminated travel costs and spending on business lunches.
I also discovered a savings account. I opened it for large and sudden expenses: urgent repairs, replacement of broken equipment, unforeseen health expenses. I saved 15-20% of my total income every month.
My husband lost his job. I didn’t want to abandon my usual habits. Of course, I understood that it would not be possible to transfer the usual amount to the savings account, but I also did not intend to stop replenishing it – it’s our potential vacation! So I decided to save not 20, but 10% of my income, but not give it up.»
Something from her story can help you to understand what to do.
So, concluding all the above, We can definitely say that this advice is quite enough to save money, start to pay off the debts and just enjoy your life.
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