Your 2014 Financial Reinvention

//Your 2014 Financial Reinvention
  • 2014 Financial Resolutions

Your 2014 Financial Reinvention

By | 2018-01-12T17:39:22-05:00 January 23rd, 2014|Lifestyle|

The start of a new year offers a fresh starting point to begin taking steps to better ourselves. Many individuals make New Year’s resolutions, and most fail to follow through on them. Not surprisingly, a recent study done at the University of Scranton found that of the 45% of Americans who make New Year’s resolutions, only 8% are successful in achieving their goals.

According to Time.com, year after year, paying off debts and saving money are among the top 10 resolutions that Americans make and, more often than not, break. Managing money is a tricky business and many an individual has come to ruin because of poor financial decisions.

Be the exception to the rule! For the scrooge, the over-spender, and everyone in between, use these tips to successfully achieve your financial goals while also making this a happier, less stressful new year.

Specify That List

Does your resolution list, whether mental or on paper, look something like this?

1.      Save money.

2.      Pay off debts.

3.      Lose weight.

Abstract goals are difficult to achieve because the concrete steps toward achieving them aren’t spelled out. Be more specific in your language:

1.      Spend $25 less on grocery budget per week by using coupons and watching for sales.

2.      Pay $100 more than the monthly minimum due on (x) credit card balance.

3.      Eat 2 servings of veggies per meal.

By setting tangible goals with clear instructions, it’s easier to begin taking the right steps to increase the likelihood of achieving your goals.

Be Realistic

Make sure to set goals that are reasonable for you, otherwise you will feel overwhelmed and be more likely give up or feel discouraged. This may be easier said than done, due to the over-exposure of the lavish lives of the rich and famous. Society’s obsession with celebrities has created an unrealistic expectation and desire for material abundance, leaving many people unsatisfied with their own lives and income.

By comparing our lives to others, the quality of our lives suddenly look inadequate, and we land ourselves in debt in the effort to minimize the gap by purchasing a handbag worth a mortgage payment. It is important to maintain a healthy and realistic view of how much money you have, and how much you need. Live within your means, and if you’re living paycheck to paycheck without having anything left for savings, it should be a sign it’s time to reevaluate your spending habits.

Budget & Plan

Do you know how much you spend on an average day? Most people waste a lot of money without even knowing where it goes. By creating a budget and tracking how you spend your money, you’ll be able to spend (or not spend) more consciously. This is also a good time to see if there are ways you can save on monthly bills, such as getting a better rate for gas, finding a better deal for your cable, or even just packing lunch more often. You can then use these savings to pay down your debt, as well as to put into a savings account, both of which should be included in your budget.

Think Big Picture

Many of our other resolutions probably involve spending money on things such as health club memberships, weight loss plans, anti-smoking aids, and the like. If there is real motivation for change, a healthier way to think about money is to look at the bigger picture, and not just the individual dollars spent. If purchasing the nicotine patches or gums will help you to quit smoking, not only would you save because you no longer need to buy cigarettes, but also you would save much more on medical bills in the long run. By thinking long-term, you can make smarter decisions with lasting effects.

Leave the plastic at home!

Credit cards make it very easy for us to feel like we have money to spend when we actually don’t. Try to pay for as many things as possible with cash. When going to the grocery store or the mall, where impulse buys are the norm, bringing a predetermined amount of cash and leaving the plastic money at home will help control urges that make you want to buy a couple extra pints of the ice cream that’s on sale, or the extra pair of jeans you don’t really need. A study published by the Journal of Consumer Research found that people tend to spend more if they have old bills vs. new ones. The next time you make a trip to the bank before grocery shopping, deposit all your old bills and withdraw fresh new bills!

Make More Money!

Most Americans want a job with better compensation in the New Year. How do you get a raise? Ask for it! Asking for a raise should only be done after preparing to back up your request with proof of performance. Do the research, and once you know what you’re worth, have the confidence to initiate the uncomfortable conversation about salary. You’ll be glad you did!

Enjoy Your Life

Everyone needs to wind down and relax from time to time. While saving is important, including a much needed vacation in your budget will revitalize you and do wonders for your mental health. Happiness and sanity is more important than saving all of your money. Sign up for those pottery classes you’ve been eyeing, get a membership at DASHA®, or see a show! When you treat yourselves and your loved ones once in a while, you will see that the value of money depends on what it is used for.

Use these tips and guidelines in 2014 to re-invent yourself! Also, understand that any kind of change requires time, so learn to forgive yourself during the inevitable slip-ups. Tomorrow is a new day. You rule your life, so take control and make lasting positive changes. I wish you health and happiness in 2014!

To learn more, visit www.draldencass.com or call Dr. Cass directly at 646-202-9611.

DASHA® wellness & spa is a luxury lifestyle brand and New York City-based wellness center created to offer a truly holistic approach to wellness. To learn more, visit dashawellness.com.

About the Author:

Shannon Russo-Pollack (SHA) is the Founder of DASHA® and powerhouse behind the DASHA brand. SHA strategically works with medical, wellness and lifestyle professionals who have a like minded philosophy of total body health and well-being. Using her entrepreneur skills, healthy lifestyle and passion for fitness to inspire others.