The New Year is a time for powerful new beginnings. It also presents an opportunity to look at our financial habits – and the impact on our personal checking and personal savings accounts. For example, carefully reviewing your credit card statements each month is a habit you may already have in place. As the year gets underway, it’s an excellent time to reinforce healthy money habits that already work for you. It’s also an opportunity to break old habits – like dipping into your savings to pay bills- and create new practices, like writing down financial goals or building personal savings.
Building positive money habits can affect your entire well-being. Here are a few ideas to try as the New Year gets underway:
Commit to a New Money Habit
Focus on one of your 2022 financial goals. Which actions do you need to take to get there? First, choose one new money habit you can quickly start to practice. For example, your financial goal might be to start saving more aggressively for your retirement, and the new habit might be a monthly check-in call with a financial counselor to hold you accountable. This action might seem small, but it’s not. Practicing your new money habit puts your financial goals into action.
Set it and Forget It
You likely have many of your outgoing bills set to “automatic payment,” a positive money habit. Setting up “auto pay” on monthly utilities, cable, and other bills allows you to be sure that bills are paid on time. Consider setting up “autosave” as well—getting started with one of the best savings accounts online can help!
If you set a goal to save for a big purchase, like the down payment for a car, automating monthly savings can help you achieve your goal. Set up automatic transfers or use direct deposit from your paycheck to automatically place funds in your goal account.
Spend with Every Dollar Accounted
Mindful spending is a powerful financial habit to build. If you don’t already have one, make a habit of using a monthly spending or budgeting plan. You’ll learn how much money you have to work with, the amount going out each month for bills and expenses, what you need to set aside for other bills and living expenses, and how much you can devote to your goal from each paycheck.
Make it simple. Tackle one habit at a time and celebrate your wins! The New Year is sure to be a success when you build one habit at a time and make it work for you! As one of the best banks in NY, our team is here to help you open a checking account, set up your personal savings account, and so much more. Not sure how to set financial goals? Check out 5 Ways to Make Money Resolutions Stick. And if you’re a customer and ready to create new money habits, take advantage of free financial counseling with our partners at GreenPath.