1. Set up automatic savings
Many financial institutions allow you to set up automatic transfers from your checking account into a savings account. Set aside a percentage of your paycheck to automatically move into your savings account so you can give your savings a boost without having to do any extra work!
2. Bump up your retirement contributions
If you can, max out your retirement contributions. The more you save right now, the more time your money has to grow…and the less you’ll have to worry as you reach retirement age.
3. Cancel a monthly expense
Canceling a monthly expense that isn’t serving you means that you have more money to spend on things that bring true value into your life.
4. Roll over your old 401(k)s
Rolling over an old 401(k) into an Individual Retirement Account (IRA) or a new employer’s retirement plan offers several advantages. First and foremost, it provides greater control and flexibility over your retirement savings. With an IRA, you have a wider range of investment options, enabling you to diversify your portfolio to suit your specific financial goals and risk tolerance.
Furthermore, a rollover simplifies your financial life by consolidating multiple retirement accounts into one, making it easier to manage and monitor your investments. It can also potentially lower fees, as some 401(k) plans may have higher administrative costs.
Additionally, a rollover can help you avoid early withdrawal penalties and maintain the taxdeferred status of your retirement savings.
5. Pay your credit card bill…even if it isn’t due yet
Credit utilization (aka credit usage) is the 2nd biggest factor in determining your credit score. You want to keep your credit utilization nice and low. When you pay your credit card off throughout the month, you instantly boost your credit score and save money on future interest payments!
6. Plan your weekly money ritual
A weekly money ritual is an hour that you set aside every single week to work on your finances. This could mean reviewing credit card statements, budgeting for an upcoming trip, or reallocating your investment portfolio. If you don’t already have an established weekly money ritual, then take a few minutes to decide when and where you can commit to going over your finances every week…and brainstorm a few ways to make it enjoyable!