Watching Your Wallet: Financial experts share tips for starting the new year with a strong budget

FRESNO, Calif. (KFSN) — As the new year begins, financial experts say it’s the perfect time to reassess your budget and focus on financial wellness.

“Regardless of where you are in your financial journey, it’s good to pause and assess,” said Bryanca Colvin, assistant vice president at Amica Insurance.

Colvin recommends starting with essential expenses such as housing, food and transportation before considering discretionary spending.

“If you can hone in on your needs – housing, food, transportation – get that squared away and then maybe look at whether you can afford your wants,” she said. “Perhaps you’ll have to adjust and be creative with how you go about vacations or shopping, spending time with friends.”

For those carrying debt into the new year, Colvin suggests tackling high-interest or large-balance accounts first.

“You may not be able to handle everything at the same time, but maybe if you go for that particular item that has the highest interest rate or that has the largest outstanding balance,” she said.

Paying minimums on other accounts while focusing aggressively on one can help ease stress, she added.

Colvin also emphasizes the importance of creating a written budget and plan. “Face it, have it written down, have a written budget, have a plan,” she said. “And with that plan, make sure that as you’re making progress, you’re protecting your assets and your interests.”

Protecting major purchases with insurance is another key step. “If you think you can’t afford insurance, that means you absolutely can’t afford to have a loss,” Colvin said.

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