A new year has come once again and once again it’s the time to start working on the resolutions that you might have probably made by now. In all possibility, owing to the financially not so happy times, a firm resolution to improve your financial status must be top on the agenda. Improving financial status to most of us means curtailing our expenditure or improving our bank balances. Though, improving finances essentially involves these two activities, just these are not enough. There are more activities that you’ve got to do in this year which will help you in improving your finances. Here are some of them:

• Postpone your plans to buy property- Don’t buy a house now. The housing markets are not really encouraging and mortgages are really high. Wait for a more favorable time. If you’ve saved for purchasing property, just push that money into your retirement saving or into your bank accounts. Spend the money on a nice vacation instead. You don’t have to save up separately for a vacation.
• Contemplate converting your traditional IRA into Roth IRA. Ask your tax guy if that will be beneficial for you. You might have to pay taxes, but that you’ll have to pay over a stretch of two years so you can make those payments comfortably.
• Work towards getting a pay raise/ inherited money etc.- If you want to improve your financial status think about improving your performance in office so that your boss considers a pay hike for you. Also just watch out if you are entitled to get any money on inheritance. An aunt of mine passed away after nominating me an inheritor of her property and I did not even come to know about it. Her lawyer contacted me and made me aware of the wealth later on.
• Gear up for any emergency- I don’t want to sound like a pessimist in the fresh year, but you should make it a point to save up for any emergency if possible. Don’t take good times for granted. Did you expect the recent economical disaster to happen a few years ago? Many people who never dreamt of unemployment are out on the streets now! Health problems, natural calamities and a lot of other problems are not unheard of in recent times. I wish that these things don’t happen to you ever, but we always make the blunder of thinking that bad things happen to only other people and not us.
• Start a small business or make a side investment which is tax advantageous. This will also serve to supplement your main income, if you happen to discontinue with your job for any reason.
• Hold a junk sale. This will not only help in disposing household crap but will also get you some income which you can save up and use for a good purpose.
• Deliberately save up small amounts of money. Start off with even as little as $5 a week. You are going to make a good saving which you can use for a good purpose.
• Make your Will especially if you are middle aged or old. Your family will thank you for it.