2011 Resolutions, Goals, and What-have-yous Part 1: Must be the Money!

No matter how much I make, I seem to spend even more. Sound familiar? I want to be in a better position, financially, at the end of my 30th year than I am now. Here are my 2011 resolutions that will make Susie Orman proud. Some of this may be TMI- people aren't in the habit of publicly sharing their money woes. I feel like I need to shed some light on this issue that has plagued my 20s, stop feeling ashamed, and git-r-done.

1) Do not charge anything unless it’s an absolute emergency. Seeing Willie Nelson at the Greek does not count as an emergency.

I am proud to say that I broke my charging habit in 2010, also with a NY resolution. I was fairly successful at not charging much of anything last year, save for two or three times when I tooled out, left my debit card at a bar, and couldn’t get to a bank because I was en route to an out-of-town wedding and trying not to throw up in my friend’s Prius. Okay, that was only once, and to be fair, it was on my 29th birthday. Most of the year, I lived like Americans did before I was born, and waited until payday to pay my bills, buy my plane tickets, go out to happy hour.

Because I always have a balance on at least one of my cards, I need to permanently let go of the lofty notion that I can eventually “earn points” by charging everything I buy and paying off the balance each month. Although I know I am a repeated failure at this scheme, I still hang on to the hope that one day, I, too, can fly to Paris for free just because I charged my groceries and GEICO bill. I can leave that sort of thing to my fiscally responsible boyfriend, who has accumulated so many Starwood rewards points that he could live in a bungalow on stilts in the Maldives for a month.

This could be you.

2) Create a separate savings account for Christmas gifts.

Christmas is always a kick in my finance’s sack. We are a family that is heavy into gift-giving, and on December 1, 2010, my anti-charging diet flew right out the door and I merrily swiped my way to conspicuous consumption. Not this year. My credit union (more below) is so awesome that they have devised a way for people without discipline, like me, to save for the holidays. They have a savings account that matures in November and charges you a fee for early withdrawal. Brilliant!

3) Break up with Chase. 

Did you know that Chase (formerly WaMu) is going to start charging for “Free Checking Accounts?” It wouldn’t effect me, but still; it’s the principle. I’ve been wanting to extricate myself from Chase for awhile, and this year, I’m going to flash the big evil bank the deuces and commit 100% to my locally run, not-for-profit credit union. This is more of a pain in the ass than it sounds, as it requires changing my automatic deductions and account information for everything I pay electronically, from student loans to Netflix. It will be well worth it, though, as I can feel better about where I'm storing my money when I'm not spending it.

4) Eliminate all credit card debt except for my Credit Union Visa.

I want to be in a position where I don’t have to panic or clean houses if I get laid off. Also, in two years, I want to take time off in a serious, around-the-world kind of way, so it’s imperative I pay down as much debt as possible. Herewith, I share with you my grueling pay-down schedule. Note that most of these balances are a result of my Christmas binging.

o      1/12/11 pay off Chase Visa card in full ($796)

o      1/26/11 pay Macy’s Card in full ($300?)

o      2/9/11 pay half of Amazon card ($750)

o      3/9/11 pay other half of Amazon card ($750)

o      4/6/11 pay entire balance on Jet Blue Amex card ($700ish).

Once these unseemly beasts are tamed, I will tackle the biggest balance I have, which is fortunately on my low-interest credit union card. It's about $5,700 right now, and I want to knock that bitch down to $3,000 by the end of 2011. Si se puede!!

This is a strict schedule, yes, but I’ve learned that if I pay my bills on pay day, I live within my means for the next two weeks, even if it requires fewer dinners out and avoiding DSW. 

Just say "No."

 Next up, resolutions for my soon-to-be 30 year-old body.