Top 10 Financial New Year's Resolutions For 2023 - What You Need To Know!

As we enter the new year of 2023, it is time to start thinking about our financial goals and taking charge of our financial future. From saving more to paying off debt, setting financial resolutions for 2023 is a great way to get your finances on track. With so many new year's resolutions and financial goals to choose from, it can be hard to decide which ones to focus on. That’s why we’ve compiled a list of the top 10 financial New Year’s resolutions for 2023 that you should consider. From creating a budget to investing in the stock market, these resolutions will help you make the most of your money and reach your financial goals. Take a look at what you need to know and make sure to include these resolutions in your plans for the next year.

Top 10 Financial New Year's Resolutions For 2023 

1. Create a Budget

The first financial New Year’s resolution that we recommend is creating a budget. A budget is a plan for your money that shows what you’re spending, where you’re spending it, and how much you have left over to save. Creating a budget is an important first step toward financial health. It allows you to clearly see where your money is going, so you can make adjustments if necessary. Creating a budget is essential if you want to save more money. It is a helpful tool that will allow you to see where you can cut back so you can put more money toward savings. There are many different budgeting methods you can choose from. Whichever one works best for you is the best one to use. No matter which strategy you pick, it is important to actually stick to it. You don’t want to end your year with an unfinished budget.

2. Pay Off Debt

The second financial New Year’s resolution that we recommend is paying off debt. Debt is something that many people struggle with, so it’s important to prioritize paying it off as quickly as possible. Credit card debt is one of the most common types of debt. It’s important to pay it off as soon as you can because it carries high-interest rates. These rates can really add up over time, making it difficult to ever pay off your debt. If you have credit card debt, try to make extra payments each month to get it paid off as quickly as possible. Student loans are another common form of debt that many people have. Unlike credit card debt, student loans generally have lower interest rates that are usually fixed. This means that you’ll be paying about the same amount each month for the life of the loan, no matter how long it takes to pay off. One way to get rid of your student debt faster is to look into income-driven repayment plans.

 3. Save More Money

Saving money is another great financial New Year’s resolution. This is something that everyone should do, no matter how much money they make. It is important to set aside money in case of an emergency. This can be anything from a car accident to a medical bill. There are many different ways to save money. One way is to set up an automatic savings plan. This is a great way to set money aside without even realizing that you’re doing it. 

4. Invest in the Stock Market

Investing your money is always a smart financial move. This is especially true when you’re investing in the stock market, as opposed to a savings account or other safe investment. The stock market is risky, so it’s important to understand the risks involved before you start investing. You can start small by investing in a low-cost stock index fund. These funds generally track the S&P 500 index, which means that they hold a lot of large companies that are likely to do well. This can help to minimize risk and maximize your investment. There are many online investment platforms that make it easy for anyone to start investing in stocks. This is an easy way to start earning money for your future.

5. Utilize Automated Savings and Investing

Another New Year’s resolution that you should consider is automating your savings and investing. This means setting up your savings accounts and investment accounts to automatically transfer a set amount to each month. This is a great way to make sure that you’re actually saving and investing instead of letting it fall by the wayside. It is important that you choose the right accounts to put your money in. Your emergency fund should be in a safe, liquid account so you can get to it when you need to. Your long-term investments should go in a riskier, but higher-earning, investment account.

6. Create an Emergency Fund

An emergency fund is an account that you put money into for unexpected events. This can be anything from a medical bill to car repairs. Having an emergency fund ensures that you are prepared for these types of events. This is especially important if you don’t have health insurance. While health insurance can help to cover medical expenses, it doesn’t cover everything. Having an emergency fund can help you avoid taking on more debt or falling behind on paying bills. You can start by setting up an emergency fund account at a bank or credit union. You can also set up an account with a website like Acorns. This will help to automate your savings so that you don’t forget to set money aside.

7. Plan for Retirement

Retirement might not be top of mind when you’re in your 20s and 30s, but it should be. This is a great time to start planning for retirement. You’ll have plenty of time to save and invest, so you don’t have to feel like you need to start right away. The best thing you can do is figure out how much money you’ll need in retirement. This will help you know how much to save, and when you should start saving. There are many retirement calculators you can use to figure out how much you’ll need to save. You should also consider what type of retirement account you’d like to use. 

8. Improve Your Credit Score

Having a good credit score can help you get approved for loans, like a mortgage or car loan, and save you money in the long run. If your credit score is low, this can make it difficult to get approved for certain types of loans. If you’re not sure what your credit score is, you can check it for free at Credit Karma or Credit Sesame. You can also work towards improving your credit by paying off debt and opening new credit accounts responsibly. You can also consider getting a secured credit card to help improve your credit score. With a secured credit card, you deposit money into an account as collateral. This can help you get a higher credit limit and a better credit score. You can also pay your credit card bills on time, which will help to improve your credit score.

9. Prioritize Financial Goals

It is important to prioritize your financial goals. You don’t want to try to do everything at once, or you might get overwhelmed and give up. It is important to choose the goals that are most important to you and work towards them. Once you’ve accomplished those goals, you can move on to the next ones. You should also make sure that you’re setting SMART goals. SMART goals are specific,

measurable, attainable, relevant, and timely. Remember, it takes time to reach your financial goals. There is no quick fix, and it won’t happen overnight. With hard work and perseverance, you can make all of these New Year’s resolutions a reality.

10. Make a will

Do not believe the myth that wills are only for the elderly. Making a will one of your New Year's resolutions, if you don't already have one, could be advantageous for you and your family. Without one, your state's laws will control who acquires your assets and property in the case of your death.

The answer to the question "do I really need a will?" is definitely a resounding "yes." Most crucially, people who have children, a spouse, or a positive net worth are strongly advised to have wills. We can all agree that it's necessary to protect our families and our assets, and having a will does just that.

Editor's Final Take: Conclusion

The best financial New Year’s resolutions are the ones that you actually make. Write down the goals you want to accomplish, and make them happen. Once you go through the steps to reach your goal, you’ll be able to see just how much progress you’ve made and how you’re doing as a person and a financial professional. Keep track of how you’re doing every step of the way and continue to improve your financial management skills. Remember that the best way to reach your financial goals is by continuing to make progress on your financial New Year's resolutions.