Tag Archives: finances

4 Ways to Make Adulting Less Difficult Financially

adulting

Even if you don’t want to admit it, you’re an adult. Some parts of adulthood are fun and exciting, while others are not. Part of being an adult is to become financially independent and embrace some of the less adventurous tasks. We’re here today to help give you four simple ways you can make adulting less difficult when it comes to finances. 

Create a Budget

You’ve heard this before and you’ll hear it again, but it really is important. Nowadays, there are so many apps out there to make budgeting a breeze. Use them – don’t think you’re keeping a good eye on what you’re spending. You have no idea how much those trips to Starbucks or sweet deals at Target are adding up to be. Mint, Acorns, Pocket Guard, Albert and Wally are all great options if you’re looking to start budgeting now.

Pick a Meal Plan

Going to the grocery store randomly and not having a set budget and list can hurt you financially. It’s really easy to miss that money slipping away as you walk down the aisles throwing items in your cart. A meal plan helps you decide what you’re going to eat to keep things healthy, as well as figuring out exactly how much you need for the week so you don’t spend too much on extra food or snacks. Check this article out to see how to design your perfect meal plan.

Tackle Debt

Having debt is no joke as an adult. Start chipping away right now at your credit card debt. By having missed payments or too much debt, your credit can start to slip. This will impact you immensely when it comes to getting a home loan or a higher limit on your card. Figuring out a plan of action for each month’s payment is your first order of action. Take note of all debt and start finding the perfect plan to pay it all off.

Start Saving

You need to save for a wedding, house, car, kids, retirement and so on. That’s a lot to think of all at once and how will you ever do that AND pay the bills each month? Take it step-by-step to know what’s most important. Start by saving a little for your retirement and finding accounts that help add money to the pile.

We hope you can adult your way through your finances easily with these four tips. We also offer different accounts to help you store your savings and continue to grow your finances to be the responsible adult you are. Check them out!

4 Ways to Spring Clean Your Finances

finance

As you begin to write your to-do list of cleaning your home this spring, it’s time to add another section to your list: finances. You wouldn’t believe how helpful it is to do a deep cleaning of your finances every spring. It can contribute to increased feelings of determination and confidence in all areas of your life. Here are the 4 best cleaning moves to add to your list!

Review Your Debt

Unfortunately, too many people try to turn away from realizing their total amount of debt. If you have gotten into a bad habit of spending more money than you can you can truly afford, it’s time to come to terms with the reality of what you owe. Going through the numbers of credit card and student loan debt can be a shock. However, it’s important to know your numbers so that you know what you have to work with. You can’t conquer your debt if you never face it!

Dust Off Your Budget

It’s normal to drift away from your budget. This may mean your budget just wasn’t working for you. Review what your original budget contained and think about what worked and how you can improve upon it now.  Can you do better with your savings? A great trick that can help is to automate your savings. Decide on a percentage and have that taken portion automatically transferred to your savings account.

Go Green

This one can hit two birds with one stone. Are you still saving your paper bank statements? Clean out your home by shredding these important documents and set up an online banking account. Another option would be to simply make copies of your papers and upload them to a cloud drive. You should save your tax documents for no more than seven years. Most everything you’ve received by paper you can get with an online banking account. This will keep your information secure and your house clean.

Spot Check Your Credit

Your credit score can be checked without penalty one time from each of the three credit reporting agencies for free. This is important to not only know what you owe but to go through the report with a fine-tooth comb. Mistakes can happen on your credit report and why let that hold you back financially when all it would take is a quick check?

With these simple cleaning tips, you can go into this spring feeling refreshed and responsible. Spring clean your finances by seeing what products we can offer to help!

6 Steps To Improve Your Finances

finances

Staying on top of your finances can prove challenging, especially when bills, debt, daily expenses and saving come into play. Finding your way to financial freedom takes time which is why Timberwood Bank has compiled a few steps you can take to improve your finances.

Coupon Like Crazy

Some people always pay full price for items. Nowadays, there should be no reason to empty your wallet to that extreme. You can go old school and buy extra newspapers when the coupons are good. We also recommend that you utilize the clearance rack, sign up for free trials and collect rewards cards. Technology also gives you the capability to search coupon sites and download coupon apps, which gives you a plethora of options to save!

Increase Your 401(k)

Even if it is just by 1%, increasing the amount of money you are putting into your 401(k) can change the end results dramatically. It’s always important to think about your future, as you’ll need those funds to support you and your family. Employers may also match your 401(k) to a certain amount, so be sure to know what your company offers and use that to its fullest.

Add To Your Emergency Fund

Now that you are a little more established, a few hundred to a thousand dollars won’t cut it anymore. Your house may need reroofing, you might have to buy a new car or your deductible won’t cover a certain emergency or procedure. These unexpected events will cost a pretty penny, so upping your emergency fund will protect you.

Make An Extra Payment Towards A Debt

If you were able to cut expenses this month, put that saved money towards a debt. Pay off a little extra of your car payment or student loans. The Snowball Method teaches you to start by paying off the smallest debts first while paying the minimum on larger debts. Then keep snowballing to the biggest one as time goes on. Always utilize this tip when extra money comes your way, as becoming debt free is the ultimate goal!

Create A Will

According to AARP, “78 percent of millennials (ages 18-36) and 64 percent of Generation Xers (ages 37-52) do not have a will.” This is a crucial step in your financial life to not have planned out. No matter what age, you have finances, dependents and property that will be left unattended if something were to happen to you. Be sure to get a will put into place, so your assets can be handled correctly.

Get on track with your finances and tame your budget with these simple tips! If you need any assistance with a savings account or future planning, give us a call or stop in. Aiding you through your financial journey is what we’re here for.

Ways You Can Teach Your Kindergartner About Finances

kindergartner

Finding ways to make money fun can be difficult when working with your little one. However, starting money management off right when they’re small is a must! Use these tips and tricks to teach your kid to be a successful money master.

Utilize Clear Jars

Use a clear jar to allow your child to see their money grow. Just talking about how their dollar from yesterday is two dollars today doesn’t click for them. Let them put money into a place where they can continuously see it grow larger and it will maintain their interest in the saving lesson. Show excitement when they add to it because if mommy or daddy is enthusiastic, they will be too!

Start an Allowance

Help your child learn that time is money. Unloading the dishwasher could be worth a dollar while folding all the laundry could be worth two. If one job takes longer than the other, show that with the amount they obtain. Increasing the amount as they age can also show them how you grow with the jobs you get because of your new level of education. Help them see that money is earned, not just given.

Make It Visual

Your youngster will not understand the concept of saving by simply discussing it. Their short attention span calls for some innovation. Make a chart for chores to help them stay on task by coloring in a square next to the chore when it is complete. Different colors can help classify the item as more money or higher importance.

Teach Them to Give

Generosity is also an important lesson to teach at an early age. Have your child pick a cause they are excited about – pet shelters, for example, are a great choice! Your child can see where and what their money is going to. Helping others is a great quality to establish for the future. If they don’t know where to donate to, give them options such as the donation plate at church or a local food shelter. You can also find a place to volunteer their time if money isn’t an option.

Introduce a Side Job

If your kid wants a LEGO set, and they want it now, show them additional chores to do as a side job. Giving them extra ways they can make money here and there can teach them to have a high work ethic. Sometimes you need to work a little more to get the money you need. Setting up a “For Hire” board can help your kindergartner pick up some extra cash by sorting dirty laundry, emptying trash cans or picking up their toys before mom or dad mows the lawn.

These ideas will help aid you in teaching your kids that money doesn’t grow on trees. If you’re looking for other financial lessons and ways your child can learn about saving, stop on in. We’d love to set up a savings account for your youngster!

How to Adult: Financial Starters

adult

It’s been said that youth is wasted on the young, but let’s not let that be true of those of you who are fresh into the adult world. We get it, many adults feel underprepared and overwhelmed at the amount of responsibilities that snowball after college or high school. Don’t fret! The fact that you are even taking the time to read this says that you are going to be okay. We have compiled a list of basic adult financial musts that will help you navigate this new terrain.

Build a Basic Budget

Many who have been in the adult world for years still do not have this down. Training yourself to say no to the short lived pleasures will translate to accomplishing your goals faster in the financial world and in other aspects of your life. You may finally be out of school and making a consistent income. This is exciting and scary as you see that the longer you are in adult world, the more expenses you have. This is why keeping a budget is crucial.

There are many different ways to budget, but one of the simplified ways is to break down your take home (net) pay and divide it by percentages. Dedicate 50 percent towards your living expenses such as rent, insurance and food. Allocate 20 percent towards savings and 30 percent towards good ole’ guilt free fun. This will help to ensure you are covering all of your bases no matter what your salary increases to.

Protect Yourself

While there are many new expenses being thrown at you, one crucial payment you can’t forget to make is that of insurance. Making sure you have quality auto, home and life insurance will help to provide cushion from a setback that could put you in the whole for years to come.

Automate it!

We already mentioned allotting room for savings in your budget and the easiest way to do this is to take the decision making out of the equation. Make savings automatically come out of your paycheck, and not only will you start building up an emergency savings, which is a crucial first step, but you will quickly accumulate savings for fun things like vacations or a down payment on a house. You’ll be surprised how fast it adds up!

Educate Yourself

Just because you’re out of the schoolhouse doesn’t mean you should stop learning about the less exciting topics like finance. Take time to read influential financial books, talk to a trusted banking partner, or to a friend or family member whose financial habits you admire. Do you really have a grasp on what credit means and how to best use it? Simply ask and seek for answers, and no, we don’t mean just Googling your questions. The financial world doesn’t have to be intimidating, just start digging in!

Habits of Financially Mature People

maturity

If you take a look around, you may notice that a majority of people from a variety of income levels seem stressed about their finances. Seventy eight percent of Americans are living paycheck to paycheck and debt is creeping up more and more every year. So what’s the secret for those who aren’t wealthy enough to be financially independent, but still manage to live the life they desire? We believe the difference is financial maturity and have collected top habits for you to integrate into your life.

Educate Yourself: Financial Literacy

Financially mature people take time to educate themselves about money. They realize money is a tool that they have efficacy with. Unfortunately, public schools aren’t preparing students to be financially literate. Set yourself apart by having a basic understanding of financial areas such as: investing, insurance, real estate, retirement and tax planning.

Pay Yourself First: Save!

Achieving financial stability means having enough in your account to pay cash. It means understanding that a financial crisis such as losing a job happens, and realizing that it’s important to have money prepared for that misfortune. There are so many things to save for such as retirement or a down payment on a house, and irresponsible spending can quickly eat away at your savings. Don’t let savings be an option, set up an account with us today at Timberwood Bank.

Say No to Shopping Sprees

The financially stable realize that spending money for the sake of spending money will not help them get where they want to be. If you go shopping for fun, you’ll end up buying items you do not need, a hallmark of the financially unstable. Plan ahead for the items you need to purchase.

Use Credit as an Investment

They don’t use credit as a fall back for when they cannot afford to pay a bill. They only have a couple of cards, and pay them in full at the end of every month. They always pay their bill on time to reap the rewards that come with their use.

Know Your Numbers

A financially mature person has a budget, no matter if they have a lot, or little money. They know what’s in their account, what they owe, what they earn, what they spend and what they have invested. They put themselves in environments that encourage them to keep their budget. They also review their budget monthly to see if there is any fat to be trimmed. There is a realization of the difference between spending less and saving. Even if they are spending less, if their savings aren’t increasing, they haven’t gained anything.

The most important idea to realize is that financial maturity is up to you. If you need help navigating your process, reach out to a member of the team at Timberwood Bank.