Creating a plan for your finances is an ongoing process, but keep in mind these Top 9 Life Planning Tips to help you have a successful financial future:
1) Set financial goals. Would you like to own a house or pay down debt? Create a list of goals—like reducing your debt, increasing your investments, saving more money and planning for large purchases.
2) Follow a budget. Take a good look at your net monthly income and your set and variable expenses. If there are areas to cut back, creating a budget will help.
3) Build credit. Credit cards can be a blessing or a curse. If you are building your credit, pay off your balance each month, shop around for the best interest rate and rewards program and never, NEVER miss a payment.
4) Save money. Whether clipping coupons, searching for discounts or cutting back on morning coffee—put money aside for emergencies. Experts suggest saving at least six months of expenses in the event you lose your job or cannot work.
5) Protect yourself. Insurance policies for home, health, automobiles and personal or professional assets are designed specifically to protect you in case of an emergency.
6) Plan for your future. Aside from saving for emergencies or big purchases, set aside money for retirement. If your employer has a retirement plan, contribute each month.
7) Own your home. Home ownership is a long-term investment that over time will leave you with a high-value asset. Experts suggest staying in a home for at least five years. Consider taking the leap if you plan on staying put, have money saved for a down payment and a steady income.
8) Draft a will. Although it may be an uncomfortable conversation, it is important to ensure your family and financial goals are met after you’re gone. Unfortunately, a study reveals 64 percent of Americans do not have an estate plan in place.
9) Pay off debt. Debt comes in different forms—from student loans and credit cards to mortgage and hospital bills. Making your payments on time, paying more than the minimum balance and paying off the more expensive debt first are popular tips to consider when paying off debt.
Busey is committed to helping customers handle their hard-earned money responsibly. Visit any Busey location or call 1.800.67 | Busey to get started and secure your financial future today!