| steps have you taken to improve your financial | | | | account. |
| picture for this year? When looking to improve your | | | | 4. Opening a Roth IRA. This is something you can do |
| personal financial situation for the year, it is never too | | | | if you qualify. You don’t have to pay tax on |
| late to begin taking action. Saving more money is at | | | | any gains you receive if you follow the rules |
| the top of everyone’s New Year’s | | | | correctly. Start a Roth IRA for the kids by hiring |
| Resolution list each year, yet only a handful of us put | | | | them when they’re working age, paying |
| our ideas into motion. Whether you have started to | | | | them $5,000 a year, and then investing that money |
| take action or are just getting started, these 10 | | | | in the IRA. |
| financial tips will enable you to improve your financial | | | | 5. Pay off credit cards. Don’t keep open |
| situation before the end of the year. | | | | balances on any of your cards. |
| 1. Don’t spend more than you make. It is | | | | 6. Set up a trust or a will. Only 50 percent of |
| better to live below your means than right at or | | | | Americans have wills. Set up a trust account for your |
| above. If you make $200,000 per year or more and | | | | family and make a will to properly divide up your |
| you spend every bit of it, you are not well off | | | | assets. |
| financially. | | | | 7. Open a life insurance policy. If you love your family |
| 2. Create a savings plan. You need to come up with a | | | | and/or you have debt, you will get a life insurance |
| system that works for you. Many people | | | | policy. There are many options. Only you can decide |
| don’t believe that they can save hundreds of | | | | the right one for you. |
| thousands of dollars – but these are the same | | | | 8. Take advantage of all tax breaks. Many individuals |
| individuals who believe that they are going to grab | | | | do not know what tax breaks are available to them. |
| that one in ten million chance of winning the lottery. | | | | Because of this, business owners tend to be the |
| This usually means that the money they could be | | | | individuals who overpay their taxes the most. Be sure |
| saving is spent buying lottery tickets. If you would | | | | to review all existing and new tax breaks that come |
| invest $50 every week for 40 years with 9% | | | | about each year. |
| interest, you could have yourself over a million dollars. | | | | 9. If you tend on living in your area for a while |
| If you still fell you’ll have a hard time saving, | | | | – buy a house. Not only do you get to enjoy |
| it may be a good idea to have money automatically | | | | your home, but you are able to build equity. |
| withdrawn from your paycheck and deposited into a | | | | 10. If something sounds too good to be true, then it |
| savings account. | | | | probably is. In this case, it pays to trust your instinct. |
| 3. Invest in mutual funds. The annual return on | | | | If it is too good to be true, then it is. If something |
| investment can be up to 12%, which is the return | | | | makes perfect business sense, then go for it. |
| that the S&P 500 has averaged. Obviously, that | | | | Don’t hold back. |
| is better than your average passbook savings | | | | |