2022 is here! While making a resolution is not a requirement, many people feel that it is a good way to start off the new year, and financial resolutions are often among the most popular.

1. SPEND LESS THAN WHAT YOU EARN Budgeting is one of the most basic financial guidelines. Living on less than you earn will help you save, invest, and pay off debt.

2. ERADICATE DEBT For the purpose of this list, let’s ignore the prioritization between “good debt” and “bad debt”. All debt is bad debt and needs to be paid off.

3. MAINTAIN AN ADEQUATE EMERGENCY FUND Emergencies are inevitable in life. Having an emergency reserve can prevent emergencies from derailing long-term objectives.

4. PLAN FOR EARLY RETIREMENT Even if you don't retire early, planning for it provides rewards. Early retirement savings force you to front-load your investment portfolio, maximising compounding and reducing later-life saving efforts.

5. LEAVE YOUR FINANCES AND ESTATE IN ORDER UPON YOUR DEATH Having an estate plan is vital for maintaining your legacy and providing for your dependents, as well as avoiding leaving them with a financial or legal problem. Financial and legal experts can help with an estate plan.

There’s a lot of buzz around the new year about changing your life and your finances.

And we totally believe you can do it, but you need to do it the smart way. Start with actionable, specific steps. Brainstorm and set financial goals for the new year now.