And it can actually help you save money
Just having a New Year’s resolution can help your bank account, even if you fail.
Regardless of if you meet your goal or not, simply setting a financial goal can help you lead to having a better handle on your finances, Lincoln Financial Group says. More than 3 in 4 Americans are making financial resolutions for 2018.
“Simply making a New Year’s resolution about finances may lead to increased confidence in a consumer’s financial situation even if they don’t reach their goal,” Lincoln Financial Group says. More than two-thirds of those who set goals last year but didn’t meet them say they feel better about their finances anyway.
Having a goal doesn’t need to be complicated; it can be as small as building an emergency fund or making a budget. There are plenty of ways to become financially stable, so it’s whatever works for you and your family in your particular situation.
Lincoln Financial Group says that the 77 percent of Americans that are probably going to make a financial New Year’s resolution is more than double the Americans who committed the same goals last year.
Making a financial goal is one of the most simple ways to show yourself you’re responsible when it comes to your money. If you didn’t learn a lot (or anything!) about money growing up, there’s a good chance you weren’t taught how to manage your finances right now. Most of us don’t have a financial plan, which means most of us aren’t financially prepared for an emergency, retirement, or just daily living.
The amount of people who are committed to making a financial New Year’s resolution — even if they fail at it — is promising, but we aren’t getting more committed to this the older we get.
“As age increases, the likelihood of making a resolution decreases,” Lincoln Financial Group says. “Eighty-four percent of millennials plan to make a New Year’s resolution in the coming year compared to 71 percent of Gen Xers, and 51 percent of baby boomers.”
Despite losing a bit of wisdom with age, overall, Americans are happier when they challenge themselves to be better with their money. According to the Lincoln Financial Group study, 74 percent of Americans feel better about their money situation now than they did at the beginning of 2017. Another 84 percent feel that 2018 will be good to their finances.
Regardless of your goal, you can start your resolution by admitting how detrimental debt is to all of us. Debt is the biggest financial stressor in the country — more than having an emergency fund or saving for retirement. If we can’t get out of debt, how can we have any money left over for our futures?
It’s important to go over your finances constantly, but there’s no better time to start than with a fresh year. Review your income, where you spend your money, and set goals. If you hit your goal sooner than you thought you would, make another one! It means you’re good at making a plan and sticking to it. Even if you don’t hit your goals, you’ll feel better about making one and more conscious of how you’re spending your money.
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Article last modified on January 1, 2018. Published by Debt.com, LLC . Mobile users may also access the AMP Version: Most Americans Are Setting Financial Goals for the New Year - AMP.