5 Financial Habits for 2024
As the new year approaches, I’d like to offer a friendly reminder of timeless advice that can be useful at any time!
I promise this isn’t one of those, “new year, new me” posts.
This is more about reinforcing healthy habits that will lead to long-term financial independence.
Real financial success is achieved with consistency, timing, and discipline.
Today, we will discuss 5 financial habits to maintain in 2024.
1. Financial Education
This is my favorite one.
If you spend all your time constantly learning new things, you will become a better person personally and professionally.
According to the Federal Reserve’s Survey of Consumer Finances in 2022, around 77.4% of U.S. families reported having some form of debt, up from 76.6% in 2019.
Yes — most of us have faced several economic hardships in our lifetimes but we can’t control that.
However, we can control what we feed our minds.
Reading books, taking courses, or seeking knowledge from various sources broadens your horizons and sharpens your mind.
Depending on your financial knowledge, it’s important to educate yourself before investing or moving money that won’t benefit you or your family.
Below are two books and one course that I learned so much from:
- “Rich Dad Poor Dad” by Robert Kiyosaki
I love this book. The mindset difference between “Rich Dad” and “Poor Dad” is the perfect place to start because it describes the “I’m going to work a 9–5” mindset vs. the “let your money work for you mindset”.
Robert Kiyosaki also does an excellent job describing basic financial terms in a storytelling manner based on his experiences with two father figures.
2. “The Total Money Makeover” by Dave Ramsey
For those that haven’t heard the name … Dave Ramsey is a financial guru. He preaches a simple financial methodology that tackles debt head-on. This book and Financial Peace University (see below) both describe his famous, “Baby Steps” approach to achieving financial success.
3. Financial Peace University
2. Establish a Budget
A budget is your financial road map.
It allows you to track and manage your spending, allowing you to make better financial decisions.
Take time to consider your income, fixed expenses, and savings goals.
Create a budget that is consistent with your priorities and lifestyle, and make sure you save enough for long-term goals like emergencies, retirement, and investments.
But Brandon, how do I start a budget?
Lucky for you — there are several free budget Excel templates online and budget apps such as YNAB or EveryDollar.
3. Define Annual Goals
Aspirations thrive when there are clear goals in sight.
Set realistic and measurable financial goals for 2024 (and do so every year!).
Whether it’s paying off a debt, saving for a down payment, or investing in education, these goals will serve as motivation and guidance throughout the year.
Celebrate each milestone on your journey to financial success.
4. Retirement Thoughts
It’s never too early to plan for retirement.
Maximize the benefits of retirement accounts like the Thrift Savings Plan (TSP) and Roth IRA.
Continue to support and use employer forums — you’ll thank yourself in the future when you can enjoy a comfortable retirement lifestyle.
Remember, compound interest is your best friend!
5. Avoid Buying Right Away
Before you buy, take a step back, and look at how much you need the item and its long-term value.
Create a waiting period (24 or 48 hours) for unnecessary purchases — this will help separate your real needs from immediate desires.
Put your money into investments and experiences that maximize your financial growth.
Okay, y’all! Hope these 5 habits (Financial Education, Budget, Annual Goals, Retirement Savings, and Avoiding Impulsive Spending) will help you stay consistent and disciplined in 2024!
Best of luck,
Brandon
Disclaimers:
I want to be transparent about affiliate links on my blog, which may result in earning a commission from purchases made through those links. Rest assured, I only recommend products and services I have used or believe in. Your support through these affiliate links is greatly appreciated and helps me continue providing valuable content.
Originally published at https://brandonseyl.com on December 24, 2023.
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