These are your top 3 financial goals for 2020 – Start working now

These are your top 3 financial goals for 2020 – Start working now

The year 2020 has begun. 2019 is past now. This means 90% of Americans have started listing their financial goals to manage money like a pro. After all, money is everything. It can give people what they cherish and desire.

In this post, we will discuss the top 3 financial goals of Americans in 2020 and what can be done to achieve them.

Top 3 financial goals for 2020 – Tips to achieve them

Here are the top financial goals for Americans in 2020 and a few tips to achieve them.

  1. Save dollars for better financial stability: This is an important financial goal for many reasons. If you don’t have enough money in your savings account, then it will be difficult for you to cover living expenses and emergency expenses.

    Recession is expected to hit in 2020. So this year is expected to be full of financial uncertainties. Anything can happen this year. Some people may lose their jobs. Some people may not get a pay hike even after giving their best performance. Some people may not get a job for a long long time. This is why saving money is the number 1 financial goal of Americans.

    An emergency fund is the need of the hour. It can help people survive difficult times. According to financial experts, people should build a fat financial cushion for 2020. It should have enough money to cover 3-6 months of expenses.

    Tips to build an emergency fund in 2020

    (i) Set aside 10% of your paycheck for building your emergency fund

    (ii) Set up a budget to reduce your unnecessary expenses and trigger savings

    (iii) Lead a frugal life to reduce the wastage of money and generate savings
    See also: 12 Amazing tips to live a frugal life as a single

  2. Clear your debts to reduce financial stress: There are 2 types of debts – good and bad . A few examples of good debts are mortgage and student loans. Credit card debts and payday loans are bad debts. Now, it takes time to pay off home loans and student loans. But the same thing can’t be said about credit card debts and payday loans. These are bad debts and have extremely high-interest rates. This is why the second most important financial goal of the Americans is to get rid of debts.

    Tips to pay off your debts

    (i) Set up a budget and reduce your expenses to generate extra cash. Use this money to pay off credit card debts.

    (ii) Set up an effective debt payoff plan to eliminate your debts one by one. Know how to consolidate debts in the most effective way.

    (iii) Increase your income to have extra money for repaying your debts.

  3. Get yourself a second job to increase income: Since recession will hit the country in 2020, so it’s assumed that the job market will be dicey. It’s best to look for a second job before the recession hits the country. If you’re a web developer, then you can do freelancing. You can develop and design websites for various clients on weekdays and weekends to make extra money. Even if you don’t get a pay hike in 2020, then also you won’t suffer financially in this year.

Conclusion

Saving dollars, clearing your debts, and increasing your income are the 3 most popular financial goals of the Americans. If your retirement savings account needs a boost, then it would be best to add it to your list of financial resolutions as well.

author Valentina Wilson profile pic

By Valentina Wilson on September 22, 2020

Valentina Wilson is a writer and blogger who specializes in personal finance and positive change and associated with BestDebtConsolidation. She has a master’s degree in financial journalism and seven years of experience in personal banking and believes that small behavioral changes are the key to achieving financial freedom.

Follow her on Twitter: @valentinailson