There is always some excitement associated with ending the calendar year. Even though it might not make much logical sense, turning the page from December 31st to January 1st brings a new sense of energy, enthusiasm, and optimism to many people.
It can feel like a fresh start in a number of ways, including in your financial life. If you have been struggling through the current financial year, you might be excited to turn the page into January in order to get yourself back on track.
However, before you get too far ahead of yourself and start thinking about January, you will do yourself a big favor if you focus and finish your year off well. After all, a dollar is a dollar, meaning any money you are able to save in the current year will only put you in a better position for the year to come.
Here are some reasons?why you should focus and finish your year off well from a financial perspective.
Avoid Holiday Disaster
Of course, the end of a calendar year coincides with the holiday season, meaning you will likely be doing some spending in the final few weeks before January arrives. There is nothing wrong with enjoying the holidays with your family, but you need to be smart at the same time. Don?t go overboard with presents, and be sure to budget out your purchases well in advance. By staying on budget even through the expensive holiday season, you will feel much better about your accounts when January hits.
Tax Considerations
The end of the year not only is important from a symbolic perspective, but it also represents the end of a tax year. When you get ready to file your taxes in a few months, everything that has happened during this current calendar year is going to impact your final bill (or, hopefully, refund). Be smart as the year ends in order to position yourself properly for a reasonable tax filing.
There is No Time Like the Present
One of the common problems faced by people who are in a touch financial situation is the fact that they tend to put off trying to improve their condition. By looking forward to the new year, you could be wasting time now that could be spent working your way closer and closer to a brighter future. Instead of putting off things that need to be done, get down to work and change your life one day at a time.
Build Momentum
It is hard to completely change your habits once January 1st arrives ? just ask anyone who has tried to start a new diet or fitness plan on that date. If you would like to make some resolutions or changes in the coming year, start by making small changes now to get yourself moving in the correct direction. Baby steps can lead to big changes, even if they don?t feel important at the time.
What do you plan to do to finish your year off well? Have you made any mistakes in the past by overlooking the last part of the year?
Photo courtesy of: Myriams-Fotos
Wise Dollar
Latest posts by Wise Dollar (see all)
- 8 Investing Tips That All Beginners Should Know About - May 11, 2021
- 5 Reasons Why Freelancing Should Be Your Next Career Move - March 9, 2021
- 5 Ways to Improve Your Sales Pitch and Get Funding - February 22, 2021
Great tips John!