Say Something Real
Annual Financial Fitness Resolutions Needed
By Michelle Bryant
Michelle Bryant
Elections have consequences and last November was no exception. Now that the holidays have wrapped up and we are preparing to settle into 2025, our attention is turning towards our desired New Year’s resolutions and the pending change in the White House. What many of us have figured out is that the two are not mutually exclusive. Political shifts and policy changes impact our bottom line.
With Donald Trump returning to the presidency, there are several economic factors to consider. Tax cuts and deregulation, which he tends to favor, could stimulate economic growth or lead to increased national debt and uncertainty in various sectors. He may as well be yelling “tariffs baby tariffs,” reminiscent of his “drill baby drill,” with many of the same pitfalls of those chants.
If implemented, tariffs on imports could lead to increased prices for basic goods and services. Everyday items such as electronics, clothing, and food could see price hikes, directly impacting our finances. With a number of Americans living paycheck to paycheck, this change in political leadership underscores the need to make sure our financial house is in order. By understanding your budget and planning for possible price increases, you can mitigate the financial strain on your household.
The incoming administration could impact taxes, inflation, social security, investments, inflation, and more. Additionally, the ideology of elected officials and their appointees often affects social programs, public spending, job markets, and can have a direct impact on everyday citizens. It’s wise to stay informed about potential changes in economic policy. It is also necessary to reflect on our financial health to ensure a sense of economic stability.
Having your financial affairs in order not only reduces stress but also positions you to make informed decisions about your money. When you clearly understand where your finances stand, you can prioritize your spending, create a realistic budget, and work towards your financial goals. Moreover, organized financial records can help you spot trends, identify areas for improvement, and ensure you’re on track to meet your objectives.
One crucial aspect of financial health is your credit score. This 3-digit number significantly impacts your ability to get a loan, obtain favorable interest rates, and even secure housing. This is an ideal time to check your credit report and ensure everything is in order. And you can do that for free! Access your free credit reports from each of the three major credit bureaus—Experian, TransUnion, and Equifax—once a year at annualcreditreport.com.
We can’t plan for every contingency with the incoming administration, but we can prepare ourselves. Whether the price of gas, health care, student loan debt, or any other basic, every facet of our lives could be impacted. We should resolve now to prepare our financial house to weather the coming storm.