We have compiled this very wise list of financial new year resolutions especially for you. Follow them and by the time you get to the end of 2017 your wallet will be fat and healthy and you’ll be able to flex your financial muscles all over town.
We’re sure you’ve got the “eat-less-exercise-more” new year resolutions covered. You won’t catch us preaching about how much you eat and how little you exercise. We love you (really!) and we want you to be healthy, but our only real concern is for your financial well-being.

We have compiled this very wise list of financial new year resolutions especially for you. Follow them and by the time you get to the end of 2017 your wallet will be fat and healthy and you’ll be able to flex your financial muscles all over town.

1. Save

Save every month. Save R5 or R500 or R5000, but make and keep a resolution to save. Not for a rainy day. Not for a holiday. Not to waste on expensive booze. You do not need a shiny new gadget and you have quite enough shoes, thank you! Save for the sake of having savings tucked safely away in a very good interest-bearing savings account. Make this a lifelong habit and you’ll never end up in real financial trouble. Trust us!

If you’re really not sure how to start saving, why not consider the 52-week challenge – it’s easy, affordable and the returns are outstanding! And if you like the idea, there are free apps you can download for Android and iOS.

2. Budget

No one – NO ONE – who doesn’t budget will ever be truly rich. Budgeting is the only way to get control of your money. You can’t have control unless you know what’s coming in and when, and what’s going out and when. And you certainly can’t make intelligent financial decisions about how to spend less if you don’t know what you’re spending your money on. Makes sense, right? So make a budget and stick to it all year long!

3. Get rid of bad debt

See that? Bad debt, not necessarily all debt. For instance, your bond is not considered bad debt since a bond is the only way that most of us can buy our own homes. The same goes for your car. Few people can afford to pay cash for a car so we generally need a car loan.

We’re defining bad debt as thing like accounts that you don’t really need, funding an expensive credit card habit, money you owe to other people, etc. Close those unnecessary accounts and resolve to keep them closed. And please remember that your credit card is not your best friend. It is your chief enemy! You must pay back anyone you owe money to, even if you’re just paying back R50 a month. You will whittle the debt down over time but you have to start and you need to be resolute about keeping up your repayments.

If your debt is really out of control, you should consider debt consolidation but be sure to choose the consolidator wisely, i.e., pay attention to the interest rate in comparison to what you pay in interest if you don’t consolidate – we’ve got the low-down on debt consolidation for you here.

4. Tidy up and organise your financial papers

This is about getting control – and feeling as if you’ve got control – of your financial life. A few simple cardboard folders kept together in one place will do the trick. In fact these days, when most of our financial lives occur online, you might need only one folder. And if all your stuff is indeed online, make sure it is intelligently filed. Now resolve to keep your papers and online files tidy and organised all year long.

5. Stop spending

Okay you need to pay for your home, utilities, transport, food and groceries. These are your essentials. But that coffee you buy every day? Not essential. That endless stream of new clothes and accessories? Absolutely not essential! Really, nobody needs new clothes every day/week/month. Those gadgets? Nice to have but you’re not a child who can’t resist stuff! Those take-aways? Not necessary.

Keep your receipts for one month and on the last day add up how much money you spent unnecessarily. The total should inspire a resolution to pack your lunches, cook your dinners at home, make going out a treat and give up your shoe addiction.

 6. Make a will

Don’t think about making a will. Don’t say, “Oooh, I must make a will!” Just. Make. A. Will. You don’t need a lawyer; your financial advisor will help you. You can even do it by yourself as long as you have reliable witnesses. It’s not a difficult or expensive thing to do, but if you die without a will your family will face months and months of difficulty trying to resolve your financial affairs.

Go now. Think on these things. Then be brave and act on them. Then be rich!