Each New Year brings the promise of a fresh start. A clean slate. A new chapter. Likewise, the New Year can also bring about reflection of years past, and offer a potentially harrowing look at whether or not we’re any closer to our long-term goals.
The fact remains: financial goals often take a hit because we — as humans — are in the business of instant gratification (it’s the reason you’re constantly reaching for your phone). Plus, road bumps like 2020 don’t make it any easier.
Saving, investing, and becoming a more conscious shopper overall takes discipline and consistency to see results.
Ready to make 2021 your best financial year yet? Get on board with our top New Year’s Tips and Resolutions designed to help crush your financial goals.
- Evaluate your Cards
When was the last time you evaluated your cards? Chances are, you signed up for your credit card fresh out of University without having done much research (we’ve all been there). Take stock of your card(s) and ask yourself: is this product working with or against my lifestyle? Consider a card that has no annual fee, unlimited cashback, rewards on your essentials like groceries. When your rewards accumulate automatically, so you don’t have to keep track. If you can’t list your card’s benefits and how it fits seamlessly into your lifestyle, it may be time to reevaluate.
Need a recommendation? Check out RBC Cash Back Mastercard
2. Divide and Conquer
Try the 80/20 rule on for size. Allocate 20% of your take-home income towards savings, and 80% towards everything else. So you’re not tempted to dip into your savings, set up an automatic withdrawal every time your pay cheque is scheduled to roll in.
3. Leave investing to the pros
Investing not your bag? No problem. Rather than fit a square peg into a round hole, why not enlist the help of investing experts? A robo-advisor might be the solution. It’s automated investment, that use computer algorithms to build and manage a client’s investment portfolio. It’s a great low-cost option especially if you only need investment management rather than comprehensive financial planning. All you have to do is answer a few quick questions, and they’ll recommend an investment plan in a ready-to-go, professional portfolio. Then, you can sit back and watch your money grow.
Want to learn more about Robo-advising ? Consider RBC InvestEase
4. Go digital
Count yourself within the digitally-savvy camp? It’s time to start using your strengths towards your financial goals. Banks that have a great mobile app connected to their personal banking account can help make managing money, and paying bills faster and easier. Extra features like depositing cheques with the snap of a photo, or that let you deposit cheques by pay your bills automatically. Take a moment to explore your different perks from different banks.
Learn more about the RBC Personal Banking Account
5. Save on flights
Let’s face it: a big chunk of your paycheque and overall savings often goes directly towards unwinding via your once-or-twice-annual vacation. Are you maximizing your travel rewards? Earning points from everyday purchases on a travel rewards credit card can be an effective way to travel sooner without breaking the bank. Many rewards programs have lots of hidden restrictions and extra fees. Look for a card that offers easy redemptions with no blackouts or seat restrictions, and lets you fly during peak seasons.
Why not check out the RBC Avion Visa Infinite Credit Card
6. Memberships: are they worth it?
Do a tally of your monthly and annual membership fees — then trim the fat. Do you need two Netflix accounts in your home? What about Spotify? Do you have club fees? A website that’s collecting dust? Get serious about your commitments and where you (actually) spend your time.
7. Earn every day
Points: they add up! Make sure you’re getting the most out of your credit card with everyday earning and flexible redemptions. Look for a card that lets you earn on essentials purchases like groceries, and gas, and lets you redeem for a wide variety of rewards like gift cards and travel is ideal.
Check out the RBC Rewards+ Visa
With discipline, consistency, goals, and a little elbow grease, you can reach your financial goals in no time.
