Articles - Archived Money Matters

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Financial Resolutions for the New Year

A new year is here, welcoming the opportunity to exercise better money management skills. Consider the following recommendations as you set your 2012 financial resolutions.

Create a spending plan.

A practical spending plan should fall in line with your financial goals. This plan serves as a daily tracking system to monitor your cash inflow and outflow. Overall, your plan is subject to minor changes each month for certain expenses (i.e. groceries, utilities, fuel), but it should serve as a guide to control discretionary spending.

Don't compromise savings.

Did unexpected expenses (i.e. doctor bills, taxes, car repair) end up on a credit card this year? If so, consider establishing an emergency fund. Recommended savings should cover three to six months of your household living expenses. Encourage yourself to start with a small amount, and place these funds on direct deposit or payroll deduction for automatic savings. Remember, the key is to make saving mandatory and stay consistent.

Organize your debt.

All debt may seem important, but consider how you will save both time and interest paid to creditors. Excessive fees and penalties are common factors that result in high balances. LGFCU offers cost-effective solutions to assist you with tackling and paying down debt. Be proactive and consider speaking with a financial services officer at your local branch about a home equity line of credit, debt consolidation loan or Visa credit card.

LGFCU's complimentary financial planning services are also here to help you achieve your short- and long-term financial resolutions. Call 877.367.5428 to speak with a financial planner and create your personalized spending plan, savings plan or to organize and pay down debt. We wish you and your family a prosperous new year!