TAMPA, Fla. — How are your financial resolutions for 2022 holding up? With prices going up significantly on everything from food to gas, it may be time for a reset.
James Di Virgilio is a fiduciary and certified financial planner with Chacon, Diaz and Di Virgilio Wealth Management. He says with the ups and downs of the economy and talk of a possible recession, it might be time to shift your goals a little because things have changed in the last six months and it's likely your budget looks a lot different.
First, he says if you don't have some sort of budget system for your monthly income and expenses, it's time to make one. You need to know where your money is coming from and where it's going.
Second, Di Virgilio says to look at the two things you can control: what you save and what you spend.
"You cannot control global macroeconomic environments. You can't control geopolitical conflicts, but you can control your household budget, what you save and what you spend. Those things will largely determine your success for the future anyway."
Di Virgilio says you should take a hard look at where you can cut your spending. It can be frustrating when it seems like there's nothing to cut, but you can usually find something.
As far as saving, it's recommended you save at least 10% of your gross income in normal times. Right now, DiVirgilo says you should bump that up to 15 or even 20%, especially if you're older and closer to retirement.