The Financial New Year's Resolution Study released by Fidelity reveals much more in its recent findings. Seven out of ten Americans are confident of handling their finances quite well and are hopeful of experiencing an improvement in their money matters in 2022. This confidence is shocking, given the recent economic downturn the country went through during the COVID-19 pandemic.
According to the National Endowment for Financial Education, Americans are a lot more optimistic about their finances today. However, everyone has had to face the music, be it rich or poor. Things are looking brighter. However, it doesn't imply that you will go easy on your financial responsibilities. Below is a list of things you should not waste your money on in 2022.
The list of things you should not overpay on is long, and one of the major ones is money. Money shouldn't be costly. However, if you have availed of a loan quite a while back and haven't done proper research, you could end up shelling out high-interest rates. You probably have a student loan with your parent's signature on it but are now repaying it all independently.
However, you need to remember that the original monthly payment was according to your parent's earnings. If the payment amount is much less, you can look for a lender who will refinance for either a lower interest rate or a longer repayment plan. If your credit card balance is on the higher side, you can transfer the balance to another card. But make sure you do it to a card with a lower interest rate or zero APR for the first payment year.
You certainly wouldn't believe your eyes if you come across an attractive dress or an adorable sweater online for just $10 to $15. It is hard to imagine this as a lot of fast fashion tends to deteriorate after you wear those clothes once or twice or give them a wash in the washing machine.
If you have to replace your clothes repeatedly, there is no use in striking a great deal by buying cheap clothes. Making an investment in clothes with quality material implies that you would be able to wear them for a longer period and, of course, save money. Thrift shopping is not only good for your pocket but the planet too.
The Final Drink
Suppose you are enjoying your cocktail and feeling perfect. After all, one or two drinks seem to be fine. You had planned to stay within limits to avoid facing any issues while driving. All you had to do was drink plenty of water and cut the drinks short before things got out of hand. But you couldn't resist having one more. In that situation, you won't be able to drive home but take a cab to return. That means you will have to spend extra on the cab.
Moreover, you get a hangover that cuts down your productivity for the next day. This would eventually lead to more loss of money. And that is not a great thing for your health or bank balance.
Too Much Food
Cooking at home is a viable option in comparison to take-out foods. That is because home-cooked food is not only hygienic and healthy, it saves you a lot of money. You buy too many groceries but forget to eat them in time. As a result, the stuff will expire, and you will waste all the money you had spent on them. If you want to eat at home and save money, the most effective way is to buy groceries frequently. You buy just what you need. You can buy more after you finish the stuff you have just bought. Go to the grocery store only when you need something. Never waste your money on things unnecessarily.
Staying connected to the world through social media round the clock is a must for youngsters these days. As a result, they tend to spend money on bigger data plans because they fear getting disconnected. If you can connect to the Wi-Fi connection at your workplace, home, or friend's home, that will save you a lot of time.
Other things you should never overspend on are useless insurance plans, rideshare services, and your credit and checking account fees.