It’s time to make your resolutions for the New Year, and you’re wondering what you should pick. You know you want to improve your finances, but “save more money” feels like a vague goal to set for yourself at the beginning of the year.
What if you could save money and accomplish another goal at the same time? Read ahead to find out what resolutions can help you do both.
The Benefits of Saving Money
After an expensive holiday season, it’s a good idea to take on resolutions that will put money back into your pockets. You can use the money to pay down your credit card debts and replenish your savings accounts.
Once you’ve accomplished those goals, you could use the savings to put together an emergency fund. It could help you cover urgent expenses outside of your budget. If you do encounter an urgent expense and you don’t have an emergency fund, you should look at these online borrowing options to see whether you’re eligible to apply. You just might be able to access a small personal loan in your state.
And if you get a small personal loan to deal with an emergency, you can use the savings you collect from your resolutions to help with your repayment plan!
What Resolutions Will Save You Money?
1. Quitting Smoking
Quitting smoking will be beneficial for your health and your wallet.
How is it good for your wallet? First, dropping the habit will help you save on the costs of cigarette packs. If a single pack costs approximately $8.00, and you smoke a pack a day, then you could save yourself close to $3000 per year when you quit.
Cigarette packs aren’t the only way that smoking costs you. You may not realize that smokers have higher insurance rates — the rates can be almost four times higher than non-smokers. Quitting the habit can help you lower your rates! This won’t happen immediately. Your insurance company will likely need you to live as a non-smoker for a certain period of time before reconsidering your rate. But, once that happens, you’re bound to save yourself a considerable amount of money.
2. Cutting Out Drinking
Cutting out alcohol is another healthy New Year’s resolution that can put lots of money back in your wallet. Even if you only had one $6 drink per day, you’d be saving yourself over $2000 after 12 months of sticking to this resolution.
Also, think of all of the extra expenses that come with drinking! You can save on these, too. You’ll spend less on taxis/rideshare services, tips, late-night fast food, hangover cures and drunk shopping purchases. A Finder survey found that Americans spent an average of $423 drunk shopping in 2021 alone — this was a significant drop from $768 in 2020.
3. Cooking at Home
You’re inspired to break open those cookbooks that have been gathering dust on your shelves and start cooking more. This is a great resolution to set for yourself! It will encourage you to experiment with different cuisines, try new recipes, reduce your food waste, and of course, save money.
Cooking at home will lower your monthly food costs, especially if you’ve been ordering a lot of takeout or going out to restaurants. You can also avoid additional expenses that come with dining out and ordering in, like delivery fees and tips.
Accomplish two goals for the price of one. Now, that’s a savvy New Year’s resolution!