3 Financial Spring Cleaning Moves That Could Save You Hundreds

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Now is a great time to review your finances. Take a look at three moves that can get you started. [[{“value”:”

Here we are at the official arrival of spring, and that means it’s time to start kicking off your spring cleaning. You probably have closets or garages in need of cleaning out, but don’t forget to give your finances a cleanse, too.

The following three financial spring cleaning moves only take a little time and they could save you hundreds of dollars per year. Add them to your list to see how much they can save you in 2024.

1. Cancel your unused subscriptions

It’s easy to lose track of subscriptions, especially if they renew annually. But there’s no sense in paying for a service you’re not using. You may not be able to get the money you’ve spent so far back, but you can stop yourself from losing any more.

Gather your credit card and bank statements for the past 12 months. Going back this far will help you catch all subscriptions, even ones that don’t renew monthly. Flag every recurring purchase and note what it’s for and how much it costs. Then, decide if it’s worth keeping. If not, log into your online account and cancel your subscription.

Or if that sounds like too much work, you can check out an app like Rocket Money that can help you find and cancel your unused subscriptions with a click. All you have to do is download the app and link your financial accounts. The app then does all the work of tracking down your subscriptions.

2. Review your budget

Now’s a great time to craft a new budget for the rest of the year if your current budget isn’t working for you. The first step is to make a note of all the money you have coming in each month. If your income fluctuates, you can go with an average or you might prefer to plan for a lower monthly income. If you earn more in a certain month, you could always spend the extra money however you see fit.

Then, track your essential expenses, like your rent or mortgage payment, your insurance costs, groceries, utilities, and healthcare. Make sure you earmark money for these items first. Then, think about your long-term savings goals, like retirement or saving up for a down payment on a car. Whenever possible, aim to set some money aside for these goals each month. Finally, you can use the money left over for discretionary purchases, like streaming services or dining out.

Track your spending throughout the month. A budgeting app makes this easy. Then, you can see where your money is going and adjust your spending in each category as time goes on. Check in with yourself every few months to see how you’re doing.

3. Build a debt repayment plan

Those struggling with debt may want to think about creating a debt repayment plan. The right way to approach this depends on the type of debt you have and the amount. The first thing to do is note down:

Who you oweWhat your balance isWhat your monthly payments areWhat your interest rate is.

You may want to keep track of payment due dates as well.

If you have extra cash on hand each month, you could try allotting a portion of this to your debt repayment after you’ve covered your basic living costs. But for most people, extra cash is in short supply.

A side hustle could help you earn more money, and it could even turn into a full-time job in the long run. You could also try refinancing some debts, like a car loan, if you qualify for a lower interest rate than you have currently. This will reduce how much you pay in interest, and it could even lower your monthly payment.

Those with credit card debt could also consider a balance transfer credit card or a personal loan. Balance transfer cards temporarily halt the growth of your balance, but that doesn’t last forever, and there are fees involved. Personal loans give you a predictable monthly payment, but interest rates can still be high.

It’s up to you to decide what approach suits you the best, but keep these suggestions in the back of your mind. And don’t feel like you have to stop here with your financial spring cleaning. If you have any other money-related tasks that you’ve been putting off for a while, carve out some time to take care of them in the next few weeks.

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