10 Ways to Get Your Finances on Track in 2021

The year 2021 is shaping up to be a big one. Maybe you’re planning a cross-country move, looking to buy a new home, or earning your first promotion. And while you have plenty on your mind, it’s also a good time to start thinking about your money and how to manage it. After all, few areas of your life can greatly impact your future as your relationship with money. So if you want to make sure you’re on the right path for the future, here are some practical tips you can apply right now to make sure you’re set for 2021. 


  1. Track Your Spending (and Try Out Some Money Management Apps) – Whether it’s taking cash out to pay for dinner or swiping credit cards for new clothes, tracking how you spend throughout the month is an important step towards getting your finances on track.
  1. Get to know your numbers. Get familiar with your budget and figure out where you want to spend, and save more money in the new year. You might be surprised by how much you’re spending on items you don’t care about.
  2.  Get your financial documents in order. Your tax returns are a helpful resource for identifying how much money you’re making as well as what your expenses look like. But if you haven’t filed in a while, you might be surprised by how much it impacts your finances. The longer you wait to file, the more you end up owing, and even small amounts can build up over time.
  3. Make a budget. Budgets have a bad reputation for being boring or restrictive, but once you start tracking your spending, you can see where your money goes and how to make adjustments to be more intentional about where it goes. When you’re on a budget, instead of saying, “I don’t have the money to do that,” you can say, “I choose not to spend that money.”
  4.  Boost your credit score. The higher your credit score, the better your chances at getting approved for credit cards with great rewards programs or low-interest rates on loans (if you need them). You can check your credit score for free on Credit Sesame and work on reaching your optimum score of 800 by building credit responsibly and making sure all accounts are paid in full each month.
  5.   Invest in tax-advantaged accounts. If you’re like most Americans, you’re living paycheck to paycheck without anything stashed away for a rainy day. This is especially true as many of us have yet to recover from the economic downturn that began nearly a decade ago. A new year is a perfect time to begin the process of getting your financial house in order.
  6. Digitize: digitize your finances. Most people today pay their bills with checks, credit cards or cash, but those payment methods will soon be extinct. Going paperless is a simple way to save time and money (think no more chequebook and stamps). You can also use a money management app like Digit or Acorns to round up your purchases and invest the change.
  7. Finances without Frills: Many frills can find their way into your finances in ways that are easy to miss. Consider cancelling unused magazine subscriptions or cable TV, cutting back on eating out, and reconsidering other expenses that may add up each month.
  8. Fix Your Debt: Just because you have a high credit rating doesn’t mean you’re debt-free. If you’re dealing with credit card debts that have a high-interest rate, it’s time to pay those debts off once and for all. Create a plan to get your Snappy Loans and debts under control. If there is no plan in place, you could find yourself in a situation where you’re paying high-interest rates on multiple debts and not making progress fast enough to pay it off. Instead, create an action plan that will allow you to tackle your debt head-on.
  9. Pay It Forward: Some people need a helping hand but don’t have the opportunity to get one because they cannot provide something in return. If you want to make a difference, then consider creating opportunities for others to give.