Five Ways to Make Smarter Financial Decisions This Year

Caroline Moses
Caroline Moses 12.01.2021

As we enter 2021, many people’s goals are to move closer to financial freedom. In the past, many of us have made great progress in January, and by the time February (and let’s be real, Carnival) rolls around, we forget all about our goals.

This year, life looks a little different – and we’re sharing some of our go-to tips for making smarter financial decisions this year.

Set a Budget:

The best way to set yourself up for financial success this year is by being clear from the get-go on what your budget is for the year. Setting boundaries for your spending – breaking down each category from bills, shopping, food, entertainment, health and others – is a guaranteed way to ensure that you control your spending for the year. Setting, and following, a budget allows you to allot a certain percentage of your income to each category of your spending – and allows you to assess where your spending can become an issue.

Avoid Mindless Shopping:

The easiest way to blow through a significant amount of money is by buying a lot of small, meaningless items. Take for example $10,000. You’d typically not spend $10,000 mindlessly. But spending just $27.40 every day in a year is enough to blow through $10,000 easily. So imagine all of the times you’ve picked up something unnecessary at the drug store, spent a little extra on delivery one month because you were too lazy to cook, you were contributing to an excess of $10,000 being wasted. Now imagine what you could have done with all of that money..

Avoid Panic Purchasing:

We all know this situation quite well. You’re in need of a new appliance as yours is on the outs – and you desperately purchase the first item because the price is right. Well, only one year later, this purchase is also on the outs, and you’re forced to spend the money all over again. This is a panic purchase – and spending more than 10 minutes, and potentially spending a larger investment initially, can save you lots of money in the long run. While it may require a larger lumpsum up-front, this is definitely a smarter financial decision that we recommend utilizing going forward.

Save, Save, Save:

With any big travel plans and let’s be real, all Carnival plans, being cancelled in the upcoming future, we have plenty opportunities to save our money! Taking just 10% of your salary each month can make a huge difference in building your savings account. So where you typically would have delved out thousands of dollars on costumes and fetes, or flights and souvenirs, be sure to re-allocate these funds into your savings or investments. That’s called preparing for a rainy day.

Use to Buy Insurance

Possibly the smartest financial decision you can make this year is saving thousands of dollars on your car or home insurance policies by comparing quotes and coverage in just a matter of clicks. takes only three minutes to compare and purchase car and home insurance policies – allowing you to choose the best (and cheapest!) insurance policies that fit your budget and lifestyle! Saving time and money on purchases you already have to make is definitely considered being smart with your finances!


Good luck on your financial goals for this year!