Happy New Year from Lee Legal! Right now is the time to take a hard look at your budget.
On January 1, all of your personal financial numbers are zero. Your year-to-date income, fixed expenses, and discretionary spending are all zero.
Now is the perfect time to make any changes to your budget for the New Year.
Maximize your earning potential. Eliminate any wasteful consumption. Minimize your costliest liabilities.
Usually, you can’t change your “fixed expenses,” such as housing or vehicle payments. Sometimes, with a few tweaks, however, you can decrease your “variable” expenses, like utility payments, including electricity, gas, cable and internet, and mobile phone service.
The easiest or most difficult expenses to change (depending upon how you look at it) are your “discretionary” expenses. These expenses include gifts, eating out at restaurants, going to the theater, taking vacations, or ordering movies On Demand. Experiences like these are what make life worth living. But if you were able to save the money or apply it to your debt load, would it be worth it to say that this was the year you finally conquered your debt?
And speaking of achievements, why not set a few new goals for the New Year? Like paying off that credit card debt in full. Or setting aside a rainy-day fund in case of an emergency. Or jump-starting your retirement fund by maxing out your 401(k) or IRA withholding. Or making a serious dent in your student loans. Set a goal for yourself and try to get it done.
And now is the time to do it, on January 1st. Just thinking about adjusting your budget won’t do the job. You have to take action to make it happen.
Happy New Year from Lee Legal!
We want to see you succeed. Our firm frequently reconnects with clients whose budgets we have helped turn around. Your success is our success. If we can help you, let us know!
