Financial New Year resolutions you might actually keep

Make some real New Year resolutions that won’t cost a dime but help us a great deal in the long run.

16:35 30 December 2014

Even though New Year resolutions are motivating, they do not change much. No one really follows through and by middle of the year they’re all but forgotten. Maybe we all should review this more deeply.

Research shows that failed resolutions come at a cost. For instance, when we give up on our diet, what becomes of that costly juicer? When we abandon the home gym, we are not likely to get a refund.

With many Britons giving up on their goals within months, they are likely to lose more than £500 in this manner. Perhaps, the most interesting thing is that most people have made the same New Year resolutions over the last five years and keep falling into the same trap.

So, this year, why not turn things around? The time is right for us to include financial planning in our New Year resolutions and find a way to get financially stable. That is the only way we could take our long-term financial plan further.

Here are a few New Year resolutions to help you financially.

Stop buying items on sale just for the sake of saving money. Many of us count it as saving money when we buy things on sale. Irrespective of how much the price has come down to, we are forking out hard-earned money, and not taking measures to set it aside.

Stop spending money wastefully. Many people spend money on groceries that perish quickly, subscriptions to magazines they barely read, gifts that people do not like, extended warranties, clothes they rarely wear, infrequently watched internet TV or premium satellite channels. This money could be used for other purposes- setting up an emergency fund comes in handy.

Start discussing finances with your kids. Talk about how much financial assistance you will give them with their goals, your readiness for your own retirement, all the financial howlers you have made yourself, and what steps you have taken for them to receive long-term benefits.