New Year Money Plan

As the new year approaches, it's the perfect time to start thinking about your financial goals and creating a plan to achieve them. Whether you want to save more money, pay off debt, or invest for the future, having a solid money plan in place can set you up for success. In this article, we'll explore some key steps you can take to create a new year money plan that works for you.

Step 1: Assess Your Current Financial Situation

The first step in creating a new year money plan is to assess your current financial situation. Take a close look at your income, expenses, savings, and debt. This will give you a clear picture of where you stand and help you identify areas for improvement.

Income:

Start by calculating your total monthly income from all sources. This includes your salary or wages, any side hustle income, rental income, and any other sources of money coming in each month.

Expenses:

List out all of your monthly expenses. Be sure to include fixed expenses like rent or mortgage payments, utilities, insurance premiums, and loan payments. Also include variable expenses like groceries, dining out, entertainment, and transportation costs.