Although I want to keep my personal finance resolutions as aggressive as they were last year, I know that this is not feasible and it will most likely only serve to punish me and make me feel bad come end of 2012.
Therefore, because I like baby steps (and achieving these baby steps makes me feel better about myself, thus making me want to try harder to achieve more), I’m going to try and make my financial resolutions realistic, given my recent move to working at 50% of my previous income and going to graduate school.
Without further delay, here are my 2012 New Year’s Resolutions. I’m looking forward to reviewing them in June and again in December to see how I do. Nothing compares to blogging for the world to see in order to keep yourself accountable.
2012 Personal Finance New Year’s Resolutions
- Contribute $5000 to the TFSA– I plan to sell some of my Canadian non-registered stocks in order to put money into my Tax Free Trading Account. With the remaining amount, I may use my RRSP tax refund (provided I got one lol) to top it up to the $5000, for a total of approximately $20,000 total contribution in the account.
- Max out RRSP allowed contributions- I set out $200 a month automatically to an RRSP TD e-series and top up the rest before the year ends. Next year will be the first year where I have to start repaying my Home Buyers Plan withdrawal. I believe I will be paying back into my RRSP at a rate of $150 a month. The remaining $50 contributed per month can be used towards offsetting taxes.
- $5000 baseline for Emergency Fund: I would like to save $3300 before year end for my emergency fund, in case I need to repair my car, or pay for a veterinary bill since I don’t have any pet insurance, and other unplanned necessities.
- Save up $3600 total for Travel Fund- I plan to climb the highest peak in Africa in 2013 and will need some cashola for that (not to mention get in shape)…I will try and set aside $100 a month for this travel fund (automatically). I have an ING savings account for that. This should be doable as long as I keep the $100 a month contribution to this account. It currently sits at $2600.
- Pay down the Mortgage extra $200/month- We just started this before the end of the year. If it were completely up to me, I would be paying this down very aggressively and sacrificing many things for this. However, my boyfriend lives in the same roof as me and I need to make sure he’s on board with the aggressive pay down plan, and he wasn’t. I’ll need to work on him … 🙂
- Slowly change most of my equities into dividend paying equities– Organize DRIPs for more investments if possible, and also arrange for a TD e-series fund for a TFSA account (though this means I would have to apply for a mutual fund TFSA account, which can be a pain in the behind).
- Write down what I spend my money on daily– I’ve been terrible at remembering to do this last year- though I think I was pretty good at it up until September. I need to continue to remember to do this in order to keep track of my spending. Let’s just say December was a bit of a gong show in terms of trying to keep track of my spending, what with Christmas presents and all.
Readers, what are some of your 2012 Personal Finance Resolutions?