Now that all the holiday craziness is behind us, it’s time for a much-needed reset. After all, the spring season isn’t just about warm, sunny weather and blossoming flowers. It’s a season that represents the beauty of starting over, which is something us humans desperately need every now and then.
As the old saying goes, “a clean home is a happy home,” which is why so many of us start off the spring season with a good old-fashion house-cleaning. But home probably isn’t the only thing in need of some tidying up. Your finances most likely need a little organization, too. The best way to avoid the need for an auto title loan or credit card every time an emergency strikes is to make sure your finances are organized with a budget you can stick to. Here’s a few helpful tips on how to properly clean up your finances this spring:
The best way to kick off your financial spring cleaning is by revisiting your current budget plan to see how it is holding up. Is there room for improvement? Are there ways for you to save more money? Ask yourself these questions when going over your budget for the year.
A good way to minimize the clutter in your file cabinet and drawers is to go paperless. To do this, it is a simple matter of contacting your credit card, utility and bank account holders and opt for paperless statements. Not only will this help you keep your finances organized, but it’ll also help the environment and reduce your carbon footprint. Less paper coming into your home will directly equate to less clutter.
Any debt you’ve accumulated over the holidays should be dealt with now because an important part of cleaning up your finances this spring is creating a pay-off plan for your credit cards. Although they can definitely come in handy from time to time, credit cards are usually the biggest culprit when it comes to financial struggles. By eliminating your debt, you’ll be freeing up funds that could be put towards building your savings, contributing to your retirement or making an important purchase.
The best way to know where you’re at from a financial standpoint is to check your credit score. Your FICO score is the measure by which lenders and other financial entities determine your creditworthiness. You pay your bills on time? Your score goes up. Miss a few payments or racked up too much debt? It goes back down. It’s as simple as that. Check your credit score today for free by using apps like Credit Sesame or Credit Karma.
We all have stuff around our homes we could stand to get rid of, and since you’re already spring cleaning, you might as well sell a few unwanted items while you’re at it. Just gather up everything you no longer want or have space for and start posting these items online eBay or Craigslist, or on phone apps like Letgo and OfferUp. You don’t have to be tech savvy to sell stuff online, but many people prefer having a yard sale instead. As long as you can get rid of your clutter and make some cash in the process, it’s a win-win.
After you’ve given the house a good cleaning, don’t forget to give your finances the spring cleaning treatment, too. The year is still young and there’s plenty of time to prepare yourself financially for the months ahead. Happy cleaning!