It's Time For Your Financial Physical

It’s time for your annual finance physical!  Great news, though!  This physical is one you can do from home without having to don a medical robe.  Honest self-reflection and setting clear goals are both included in this physical, though, and asking yourself these three questions will help get you started on assessing your financial health:

1.     How much did I save last year?  Look at your last twelve months and tally up what you were able to save.  Did you touch that savings or let it keep stacking up?  Automatic deposits from each paycheck directly in to your savings can help you stay on track, and keeping a solid budget and savings plan can help you keep that savings growing.

2.   What are my bad money habits?  Doctors can’t help cure you if they don’t know your ailments, and the same goes for your finances.  What are three things you did over the past year with your finances that you would do differently next year?  It could be as simple as keeping a more up to date budget to keep your spending in line.  Budgeting tools, like Honor’s Money Desktop, can help you look at your overall financial picture including what you spend on, what you save, and your total debt.

3.  What is my financial health goal?  Goals are important both in your health and your finances.  Do you want to save more? Spend less? Pay off debt?  Everyone’s definition of success is different, but part of every physical should include looking ahead and setting goals and benchmarks of where you want to be by the time your next physical rolls around.  Once you set your goals, make a plan to get achieve them.  Need help with this?  Stop by your local credit union.  Tell us your goals and we can help you make a plan that fits your situation to get there!

Self-reflection isn’t always pretty, but trust us – if you are honest about your financial situation with yourself, identifying your goals and making a plan to get there will be a lot easier!  Don’t forget to follow us on twitter @honorcu and let us know what you want to hear about next week using #askhonorcu! 

How Long Can You Live On Your Savings?

If you lost your job, could you cover your bills?  When consumers were asked that question in a survey this year by RetailMeNot, the discount coupon site, nearly half confessed that their savings would last for just one month!  The root may be simple…many people just don’t know how to save.  But learning to save doesn’t have to be difficult.  Here are six tips to get you started: 

        

• Create A Budget – Track your expenses, figure out how much you need to cover essentials and identify where you can make cuts.

• Prioritize Your Savings – With your budget in place, calculate how much is left for savings, and set priorities!

• Make A Savings Habit – Pay yourself first with very paycheck by contributing to your savings account!  The easiest way to do so is with automatic deductions. 

• Capitalize On Compound Interest – Put your money in accounts paying interest, leave it there, and watch your money potentially grow.  Honor Financial Group can help you take a look at options that might fit your unique financial situation. 

• Pay Off Credit Cards – Paying high interest rates on your balance is money you could otherwise be investing or saving.

• Save Your Raise – Painful as it may seem, one way late starters can play catch up is to put most of that extra money into savings. 

If you have questions and would like to meet with a financial representative, Honor Financial Group is a great first step.  Give us a call to set up an appointment today.  And, don’t forget to follow Honor on Twitter @honorcu!  Tweet us and let us know what you want to hear us talk about on Mason Jar Monday next week using #askhonorcu!

Securities offered through LPL Financial, member FINRA/SIPC. Insurance products offered through LPL Financial or its licensed affiliates.  Honor Credit Union and Honor Financial Group are not registered broker/dealers and are not affiliated with LPL Financial.