In this website, we always talk about what’s cool, what’s hot, what’s trendy, what’s in. But right now, we’ll try to talk about the opposite – and this time, it’s to help you set your finances right for the coming year. After all, when you have lesser or no money problems in 2016 – that’s perhaps the coolest thing in the world!
Buying Expensive Gifts
You might think that giving someone the most expensive gift is cool. But if it means maxing your credit card or getting a loan – that’s so not cool. A gift works both ways – it makes the receiver happy and the giver happy, as well. Don’t starve or deprive yourself in order to buy someone the most expensive present there is. People who truly care about you won’t be happy to get an expensive gift knowing how much it impacts your financial life.
Having Wild Parties
The holidays are a great time for merrymaking. But when you overdo parties, that would surely hit you like an earthquake – the first time can be devastating to your current finances and your health, and the aftershocks can be just as destructive, affecting your future. Parties are cool, but not if you end up wasted and broke.
Stacking Personal Debt
Again, slow down on your holiday spending spree. Sure, there’s so many reasons to go shopping, dining at expensive restaurants, traveling luxuriously, etc. But always think twice when it comes to spending money. Again, if you’re spending on credit and loan for this brief stints of enjoyments – that’s not cool.
Not Booking in Advance
The holidays can be the busiest time of the year for travelers and travel vendors. Make sure to book tickets and hotels in advance, so you can enjoy discounted rates. You’ll also spare yourself from the trouble of not being able to travel because of limited flights and no vacancies. Paying for a plane ticket or hotel room that’s triple or quintuple the original price is never cool.
Neglecting Your 401(k)
You might say you’re too young to build your retirement fund. But it’s never too early to do so. Start building your retirement savings plan, so that you can keep your cool and not worry about money even when you’re like 50 or 70 years old.