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Boosting Your Finances: Expert Tips for a Prosperous 2025

Boosting Your Finances: Expert Tips for a Prosperous 2025

Financial experts weigh in on how to keep your finances in order in 2025. To start, it's essential to get on a budget and determine your cash flow – how much money is leaving your household and how much is coming in.

"So number one is get on a budget," said Jade Warshaw, financial coach for Ramsey Solutions.

You have to understand your budget and cash flow before you can stick to a new year's plan of getting out of debt. As Leslie H. Tayne, financial attorney and credit and debt expert, noted:

"Until you understand your budget and your cash flow, it would be almost impossible to stick to a new year’s plan of getting out of debt."

Once you have a handle on your finances, figure out how you prefer to track them – whether that's on paper, via spreadsheets, or through apps on your phone. Then, prioritize your debts and assign a task to the money available.

"The big step is listing the debts, prioritizing, and then you know whatever money is there, assign it a task and get rid of the debt," said Lisa Leslie, financial management extension agent for UF/IFAS.

Decide what your goals are, both long-term and short-term. It's also essential to remember that not every method is right for everyone – sometimes, breaking down goals into smaller chunks can be more manageable.

"It is very difficult to stick to long-term financial goals simply because things do change. Finances are dynamic. That means that lots of things can interfere with your cash flow and your budget on a daily basis," said Leslie Tayne.

When it comes to paying off debt, there's no one-size-fits-all approach – whether you prioritize higher debts with higher interest rates or smaller balances first depends on your personal situation. As Leslie Tayne noted:

"You can even use combinations of the two and revisit it and be fluid about your changes so you can stick to your new year’s goals of getting out of debt."

Remember that it's okay if you need to adjust your method a few months into making a plan – the road to becoming debt-free is bumpy, and sometimes you may take one step back for every two steps forward.

"And at times also you might find that you take one step back and two steps forward. That’s really common and normal when it comes to financial planning and when it comes to budgeting and sticking to goals," said Leslie Tayne.

Finally, experts stress the importance of giving yourself grace throughout the process – rebuilding credit and becoming debt-free takes time, and it's essential to be realistic about your progress.

"Sometimes, as long as people can make ends meet because it’s so expensive. So sometimes you just have to take care of the necessities and you can’t take care of the debt. So you know you just have to be realistic," said Lisa Leslie.
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