Resolution 3: “I will save money every month”
I know many of us enter the new year with a goal to save money. I checked in with Mr Devadason Arulsamy, a certified Chartered Accountant and AIA Life Planner who shared his expert opinion on various effective ways to achieve this goal and be better prepared in the long run.
“Generally, the start of the new year is a good time to review our financial conditions – our income, expenditure, assets and liabilities – and shake off bad financial habits. This allows us to have a reality check on our financial standing and develop a necessary action plan.” said Mr. Devadason when asked about the effectiveness of having financial resolutions.
“There is no perfect financial budget or plan. What we design today may need to be reviewed periodically. Having a clear objective is crucial to come up with a realistic budget and financial plan – but keep it short and precise! Life need not be sequential, it can be concurrent but rather than focusing on one goal and neglecting the other, have a simultaneous plan that addresses debts, increasing your savings and setting apart emergency money.” he added.
Tips for cultivating good financial health:
Devadason shared some wise words on shaping good financial habit:
- List down your financial objectives and come up with a savings plan
- Compare prices when you go shopping to find the best deals for you
- Plan your routes and trips well to save on fuel and time
- Have a trusted love one to keep you in check with your financial goals