POSTED: Thursday, January 2, 2014 - 1:00pm
UPDATED: Thursday, January 2, 2014 - 1:09pm
A new year, a fresh start, and for many, big plans for big changes. Karin Caifa has tips for those resolving to improve their finances in 2014, in our Consumer Watch.
A study from Fidelity Investments found more Americans will consider financial resolutions than ever before, but you don't want to see it go the way of the exercise bike or the new diet. In other words, the experts say, don't do too much too soon which can lead to frustration and abandoning goals early.
Financial website Bankrate suggests making a short list of manageable money resolutions to help you get financially fit.
For those looking to keep more money in the bank, America saves, an effort coordinated by the Consumer Federation of America, suggest saving with a purpose.
So they recommend that consumers pay off high cost debt, reducing the amount of interest paid on credit card balances and other loans.
- Build an emergency fund to pay for unexpected expenses, that way, you avoid high interest, high cost loans when that rainy day comes
- Bulk up retirement savings by contributing to a 401K or IRA.
- Saving for anything can easier with an automatic transfer from checking to savings. Many employers can set up direct deposits to savings accounts. Banks and credit unions can also make the arrangement for a regular transfer.