It’s that time of the year again, when many people try to improve themselves through resolutions. This often includes getting more exercise, eating healthier, or quitting smoking. However, New Year’s resolutions are not limited to our physical well-being. Millions of Americans are also considering financial resolutions to get themselves in shape.
A recent survey from Fidelity Investments reveals that 31% of Americans are focusing on money goals in 2015, down from the record high of 43% last year, but still an impressive amount. People who made financial resolutions at the start of 2014 are more likely to report optimism about their current financial position. Unfortunately, making a resolution is easier than keeping one. People typically fall into the same routine just days or weeks into a new year. Even so, 42% of people find sticking to financial resolutions easier than other common resolutions.
“Historically, everyone is optimistic at their starting point, they’re determined. You see this all the time at the gym. People come in but two months later they’re gone. I think people fail at resolutions because they don’t set realistic expectations,” explains Kathleen Hastings, CFP, Portfolio Manager at FBB Capital Partners, in an interview. “I think the most important thing to do is take a look at your goals and make sure they are achievable from the beginning. If you set yourself for failure, you’ll lose interest.”
Let’s take a look at five simple financial resolutions that anyone can commit to keeping in 2015.