Fixing your money problems in just one year is possible with focus and commitment.
The initial move is a month of no unnecessary expenses. Cut luxury spending and focus solely on needs, such as groceries, shelter, and travel expenses. This reprograms your financial mindset and provides money to address liabilities and build savings. Use this energy to build a money allocation strategy, assigning a purpose to each dollar.
Next, look for additional revenue. Engage in freelance work, sell unused items, or upskill to get a better-paying position. Every additional bit of income should be used for your priorities, like saving for emergencies or paying off debt. Speaking of debt, adopt the snowball or avalanche method—starting with the smallest debts or focusing on high-APR debts, depending on your preference.
Acknowledge minor achievements along the way to keep your momentum. Whether it’s eliminating a debt or hitting manage money your initial savings goal, each success shows that you’re on the path to financial success. With consistency and careful planning, a money turnaround in a year isn’t just a wish; it’s your achievable success.