By Ryan Velez
When it comes to financial goals, it helps to have a big picture, but not if you spend so much time putting it together that you’re doing more hypothesizing than actual work on your money. This is a trap that many people fall into, scaring themselves away from ever getting to work on their finances. If this is an issue for you, you may want to consider starting small to set the foundations for your larger goals. The Penny Hoarder offers some things that you can get started on today in this vein.
One simple way to start is improving the organization of your finances. Opening a separate bank account can help in this regard. Operating everything out of one checking account may seem like you are making things easier, but it can often be just the opposite, making things murky and difficult to understand where you are spending and on what. Simply open new accounts for dedicated purposes, just be sure to research to find the best fit for your needs.
One thing that may shock you is that 25% of Americans have an error on their credit report that is likely bringing down their score. When we consider how many things actually are influenced by your credit, it’s very important to help keep your score at its best any way you can. Using a free site to check your credit report keeps you in the loop and may let you know if anything seems amiss.
Certain websites are only the tip of the iceberg when it comes to using tech to improve your financial situation. For example, Stash, an app available for both Android and Apple smartphones, provides an easy way to get into investing, even if you don’t have a lot of spare cash on hand. Some websites allow you to start earning extra money each month for very little work, mainly surveys and similar content. These won’t make you independently wealthy, but if you can cover one bill for little work, why not?
In the same vein, rather than paying hundreds of dollars for a financial advisor, you may want to consult opt for a robo-advisor like Blooom. These types of platforms help you manage your 401k, avoiding tons of hidden fees. If you don’t look at your 401k, you may not be getting the most out of it, and the earlier you come up with a good plan for retirement, the better.