So… it’s that time of year again. The time of year that we start to make ridiculous “New Year’s Resolutions” that we fully intend to keep – at least until Australia Day!

We all know this pattern of resolving and then un-resolving every January, but it’s time to break that cycle and finally start working towards your financial goals. Actually start the new year strong with all your finances in order this time around with the below tips:

1. Be honest. The first step is to take an honest, hard look at your finances. Look at your income and expenses without judgement and then it's time to start thinking about a financial plan.

2. Cancel any forgotten subscriptions. When reviewing your bank transactions, you might realise that the free seven-day trial you signed up for in June stopped being free months ago. Cancelling your unused subscriptions could cut your monthly expenses down significantly.

3. Set small, achievable goals. Set yourself SMART goals. SMART is an acronym that stands for Specific, Measurable, Achievable, Realistic, and Timely. Break down your goals into bite-sized pieces, with specific milestones, that you feel you can reasonably achieve in a short amount of time.

4. Set up automatic payments. Take the brainwork out of saving money by setting up automatic payments. Regularly transferring a set amount of money into your savings account will ensure your savings rise consistently without you lifting a finger.

5. Don’t fear using a credit card (responsibly). Credit cards can be a great way to build credit and improve your credit score. Things like timing your purchases to get the most interest free days and trying hard to pay off your balance in full will make life with a credit card so much easier.

Hot tip: follow tip #4 and set up an automatic payment to cover your minimum or maximum repayment every month. Life is beautiful! Read more here to see if a Bank of us credit card is right for you.

Here’s to a financially responsible new year!

 Please note this information is general in nature and does not take into account your personal circumstances or objectives. You should consider this before acting on any of the information contained.