Resolved -- to Keep Money from Becoming a Liability

For many years, I have not made resolutions for the New Year, but this year the economy forces me to resolve to make money a help instead of a liability. I am not an investor, nor do I have enough money to be considered a "high roller." I only have a small annuity with a few thousand dollars in it and a couple thousand in savings. I just started on Social Security and have a small income from speaking engagements and projects I am involved with -- nothing steady.

I have developed 5 principles to guide me in the money resolutions for 2009. Maybe sharing them will help someone else to make the same kind of resolution and carry it out. It seems that making the resolution work is harder thqn making the original resolution.

Keep careful records. It will not be enough to wait until taxes are due and catch up on the Money or Quicken records or to put some important papers we obtained over the year so they are all in once place. Keeping records carefully (spending time at least once a week) is an important task. For one thing, it allows us to know every minute where we are financially. Handling money well requires diligence in keeping records.

Check the retirement account often. Always know where the retirement account(s) stand. With the volatility of the stock market and international economic system, money for the years ahead will become more and more important. Resolve to keep good control of retirement money. More people than ever will need to retire earlier than before. Vigilance is the key to being able to get there at any time.

Make yourself indispensable at your work. Don't sit and wait for word on whether your business will need to downsize or their money runs out. It will be more of when than what. When downsizing takes place or demotions are in order, the person who produces quality, makes money for the company, will be the one who will always have a place in the business. If the company goes under, you'll want a strong recommendation. Yesterday is the time to start becoming "The Most Valued Employee", not when references are run by your prospective employer.

Make small investments. It may be as simple as putting a few dollars in savings, or buying a CD or putting a few more dollars into your retirement, but over time, the small accounts grow into larger accounts. For years, our family has put pocket change in a jar. Amazingly, every year, we have had a vacation with that money. Whether money continues to be tight or becomes plentiful, small things will make the difference.

Refresh the network. It is always a good idea to start the New Year with a refreshing of the network. It becomes even more important now. Money comes with successful networking. It may be necessary to make contact with those who have been ignored for a while. Resolve to make contact with each of them during January. Then remain friends with all of them over the year. It will pay off throughout the year.

Many of us will never be rich, but most of us will need to make money a big part of our resolutions for 2009.