Put in the effort now for a brighter tomorrow.

Each year, especially in recent times, as New Year’s Day approaches, there’s a common sentiment of bidding farewell to the previous year. While it has become somewhat of a tradition, it won’t be an exaggeration to say that as we head into 2021, this customary sentiment of “good riddance” carries a deeper truth. 2020 has been a remarkably challenging year for almost everyone, and although 2021 may not be as tough, it’s wise to take proactive steps.

The tumultuous events of 2020 may have caused your financial situation to be a bit tangled. To safeguard your financial well-being, aim to make 2021 a year free of debt. The objective is to prevent acquiring any new debts while diligently working to clear any existing debts. Initially, this may pose challenges, especially with the economy likely to remain uncertain during the initial months of 2021. However, as the COVID-19 vaccine becomes more widely available and businesses start to reopen, the path should become smoother.

How can you commit to a debt-free year? You need to live within your means, and if possible, below your means. Tighten your budget, eliminate unnecessary expenses, and minimize essential costs as much as possible. Any money saved should be allocated towards paying off current debts. While this process may not be enjoyable, and you might not completely eliminate your debts, reducing your existing debt will provide you with breathing room and more financial flexibility for future savings or expenditures. Remember, investing in the future is always a worthy cause.