Financial Resolution for 2021-2022

Now that we are facing circumstances like never before, this is the right time to manage your money. This crucial situation also means we are holding on to the thread of hope and waiting for this pandemic to end so that we can finally start living normally, channeling our finances in the right direction.

Managing your money is very much important right now. So that you don’t run out of funds when you need them in an emergency and also to enjoy lavishly when all this ends. But what will add a cherry on the top is, simply by managing your money You can get rich too. Wondering how that will happen? Let me walk you through it.

1. No more Loan/EMI

Pledge to not take any loans this year. If you don’t have sufficient funds, wait. But this isn’t the right time to go into depts. You don’t know how bad the situation can get. Hold your wallet tight. Decide for how long you can manage to go on without a loan. Make plans for your next luxury buy beforehand so that you are well prepared.

2. Invest money from your savings.

Don’t just let your money sit in your savings account. Be wise, think before others and invest AT LEAST 30% of your savings. You have many options for investment. If you are confused about where to invest your money, research! You will find great Youtubers who will explain with ease where you should be investing your money in 2021. Personally, I follow CA Rachana Ranade and Neha Nagar. They explain everything with too much ease; you don’t need to have a commerce background to understand finance.

3. Use Credit Cards.

Now you must be thinking while the rest of the world is against using credit cards because it can easily put you in debt if you have no control over your splurging, why am I suggesting it?

Now you must only spend the money you know you can pay the bank back by their time period. But the money that you did not spend in the same month can be invested. Even for a short period of time but at least by investing you will be getting some money out of it.

4. Learn more about Stock Market and Cryptocurrency.

While the rest of the world is moving ahead and making money by investing in the stock market, why should you be left behind? They are a great place to be making money. But don’t buy blindly just taking anyone’s advice. Learn what parameters you should be monitoring in a company to invest in. If buying stock can make you rich, it can also land you square one so invest wisely. Cryptocurrency is undeniably the ultimate future of the money-making industry so don’t just sit behind and take action that can actually lead you to results.

5. Learn new Skills.

Nothing can improve your finances if you are not constantly learning more. Upgrade your skills and sharpen your abilities. Adopt habits and hobbies that will ultimately help you in growing. Join masterclass or get business coaches to guide you and improve your business.

6.. Tax Planning on time.

Time is money, now this saying is well applicable to filing your taxes in time. Rather than rushing everything at the last minute, sit with your CA and do your taxes on time. Don’t just leave everything on them, rather participate in understanding your own taxes so that it will help you in the future.

7. Make Financial goals and resolutions

The money that you will be spending on the latest videogames can be actually saved so that later on you can buy even more expensive products. Promise to yourself that you won’t spend more than 10k at a time on any luxury items this year. Set goals for your weekly spending. Go Monica with your list and calculate everything. Every week decide on a no-spend day where you won’t be spending any money.

8. Donate on Charity

If you have enough, help those who are less privileged than you. Support a cause. The hand you give to others in need will come back to you. The happiness you will get out of it will make you feel the richest of all!