Although every day is a new beginning and we can change our lives even though the small decisions we make every moment; a new year is the best beginning as it gives us a sense of closure for our mediocre selves and a fresh start to our stronger selves. This is why having a better financial status makes the list of almost everyone’s New Year’s resolution.
Below are 8 financial goals you should strive for, to transform your life this New Year:
1. Eradicate debts: have total control over your income
To initiate growing your money, you should first get out of debt completely, be it your house mortgage, student loans or any other debt. This way, your income would be in your control and you can spend, invest and save it your way. This is a great initiative to becoming financially better.
2. Have goals as well as deadlines: well-defined goals with a deadline keep you motivated
Have well-defined goals and know the ways you’re going to achieve them. Having a physical vision board with a picture of things you want to achieve is very helpful in staying motivated. Having a deadline for your goals is necessary as the pressure of achieving them in time is actually healthy and helpful.
3. Create multiple income streams: don’t be dependent on one source
Your primary source of income seems enough at the moment but what if you lose your job or your business falls apart? Therefore, having multiple income streams has no drawbacks. Start a side business or invest the leftover money from your income in businesses that are sure to give you fixed income.
Also read: 9 steps to a better financial future
4. Learn to save: Live on less than you earn, no matter how rich you become
Regardless of how much you earn, your income should always exceed your expenditures. Make it a habit to spend less than your income so that you have the rest of the money to improve your life. This lifestyle will allow you to have a part of your income to invest, pay off debts and save.
5. Seek experts’ advice: you can do anything, but not everything
People at Arihant capital research rigorously and walk you through the whole process of investing so you don’t have to sweat it. They are experts as they’ve been doing this for 25 years. Doesn’t matter if you’re old or new to investing, your hard-earned money should go into safe hands. Arihant capital just makes sure of that.
6. Have an emergency fund: be well-stocked for emergencies even if they seem unlikely
An emergency fund takes away all your worries as you have something to fall back on. You are able to take riskier decisions regarding your investments for more profit and your survival isn’t at stake if you receive a tough blow from the market. A well-stocked emergency fund takes care of any emergencies that might come your way. You are able to live a carefree life knowing that your future is secured.
7. Take risks that are safe: risks are inevitable, just pick the ones that can be reconciled
Whether it is mutual funds, stocks, equities, or commodities, all types of investments have a risk factor. It varies from person to person how risky of an investment they want to make. You have to make sure that the person or organization handling your investments is legitimate and efficient. Make sure the magnitude of the risk is bearable for you.
8. Have perseverance: Be patient and consistent as this is a marathon, not a sprint
Wealth creation doesn’t happen overnight it requires time, smartness and patience. Start by investing small amounts in legitimate investments but start earlier in your life. That way, slowly and steadily, you’ll create a good financial status for yourself and your family. You’ll be able to save money for important events like your children’s marriages, vacations to dream destinations, your favorite car or a beautiful house.