Achieving Almost Any Dream Starts With Your Financial Health
There’s no better time than now to start your journey toward financial health. And The Partnership FCU is here to help. Our second tip offers a fresh take on budgeting.
Tip #2: Build Your Budgeting Core
Like weight loss, the traditional approach to saving revolves around cutting back on excess. Skip the daily latte and other “non-essentials” to build your savings. It’s time to adopt a new mindset of a budget as a roadmap to the many ways money can support your current life and the future you envision. Here’s how:
Identify what matters most. Explore what money means to you and take an honest look at your spending style. How does it align with what you value most? Think about how money can support your dreams. That’s the foundation you’ll build your budget upon.
Be realistic: The first step is to track your expenses for at least a month to see how much money is going where. A guideline is to spend about 50% of your paycheck on fixed monthly bills like rent and utilities, 30% on more flexible spending like food and entertainment and 20% on saving toward your financial goals.
Reset your money attitude: Flexibility and balance are the foundation for a healthy attitude about money. So start with small changes. What if when you get your annual raise, you increase your saving 1%? Perhaps that tax refund can be used to finally start an emergency savings or future vacation slush fund?
This year’s financial resolutions can become a reality with a new budgeting mindset. The Partnership FCU is ready to help with your financial fitness journey.