Year End Financial Planning Tips

In this episode of The Good Cents by Payactiv Podcast, host Eric Rosenberg and guest Jen Smith, budgeting expert and author, share practical strategies for effective year-end financial planning. As the year winds down, it's the perfect time to reflect on your financial habits and set the stage for a successful new year. Here are the key takeaways:

• Conduct a 90-day transaction inventory to identify patterns and spending triggers.
• Use tools like Google Sheets to categorize expenses by frequency or amount.
• Focus on modifying small habits, like limiting emotional support purchases, to reallocate funds effectively.
• Prioritize high-interest debts and create a manageable repayment plan based on seasonal spending trends.
• Break goals into quarterly milestones to maintain momentum without feeling overwhelmed.
• Review all recurring bills and subscriptions, negotiate better rates, or cancel unnecessary ones.
• Spread these tasks throughout the year for a less daunting process.
• Set inspiring short- and mid-term goals, such as saving for vacations or family milestones.
• Automate retirement savings through employer plans or IRAs, ensuring contributions are actively invested.
• Visualize goals with tools like dream boards to maintain focus on the bigger picture.
• Balance financial discipline with fulfilling immediate aspirations to stay motivated.