The New Year will be here in a few short weeks. With finals and the busy holiday season approaching, the New Year will be here before we know it. Around the end of the year we start to reflect, wondering if it went as planned. Maybe 2015 brought some unexpected financial hardships, maybe you ended up spending more than you earned, and maybe your student loan debt grew and grew this year. All of these situations can seem overwhelming. That is why PFC is here to help. Remember, you can always request an appointment at www.ksu.edu/pfc for personalized help. But below are a couple generalized tips to keeping your financial goals, or New Year’s Money Resolution for 2016 in line.
What if I am happy with my finances?
You may be thinking you don’t really need to change any part of your finances. But it is important to remember that the unexpected could always happen or things may not go exactly according to plan. So if you are one of the lucky students who have little, or no student loans, maybe you could work on building your credit. Or if you have an excess amount of money each month, instead of splurging on a trip to the mall, put it into an emergency savings account fund. The point is that even if your financial situation seems great, there is always something to work on to make it that much better.
What do I do if I need to start up a new and improved budget for the year?
Although it is difficult to change the things of the past, you can always plan for the future. 2016 may bring many obstacles and your financial stress could be at an all time high. If this is the case and you need to vamp up your budget, you can visit our website at www.ksu.edu/pfc/budgeting for some information on budgets. Don’t get discouraged if 2015 didn’t go as planned. Sometimes it can be hard to stick to a budget. Try to get a fresh start for 2016 and push yourself to stick to a realistic budget that allows you to spend money where you want. Remember, sometimes it doesn’t always seem this way, but budgets are your friend. They help you stick to a plan, which can be essential for you to reach your long-term financial goals.
How can I build my credit throughout the year?
Credit can be a scary thing. Just remember, that like a budget, credit is your friend. A good credit history can help you get a lower mortgage rate or a higher credit limit, as well as benefit you in other ways. If your goal for the New Year is to gain some good credit history but you don’t want to change much about your spending habits a credit card might be for you. There are other ways to establish credit like: auto loans, secured credit cards, and student loans. Visit our website, www.ksu.edu/pfc/credit to learn more about the various types of credit and find out which one may work for you. If you are making payments currently on your student loans this is helping to build your credit history. If you want to build existing credit make sure you are always paying your bills on time, and using your credit wisely- we recommend about 30% of your credit limit. Another important tip to remember is to check your credit report for discrepancies, if there is incorrect information on your credit report, clearing this up can dramatically increase your credit score immediately. You can check your credit report at www.annualcreditreport.com 3 times a year, one per credit bureau, for free.
Finally, no matter your financial situation, do not get discouraged. A year is a long time and a resolution is in fact that, a resolution, a goal, something you are aspiring towards. So if it doesn’t go as planned immediately, or if you have a couple hiccups throughout the year don’t give up! Just check in on yourself periodically, or have a friend or family member hold you accountable if need be. Good luck! And happy (almost) 2016!
Hillary Williams
Peer Counselor I
Powercat Financial Counseling
www.k-state.edu/pfc
