How to plan to pay expenses at the beginning of the year?
Learn how to plan to pay your expenses at the beginning of the year with this guide!
Announcements
Making a plan to pay your expenses at the beginning of the year is essential to start 2022 with more financial peace of mind.
In fact, this is one of the main mistakes people make at the end of the year: spending all their money without worrying about the bills that start to appear in January.
It's normal for people to spend more on parties, gifts and travel at Christmas time. Just be careful that these expenses don't compromise your finances at the beginning of the year.
This means that the ideal is to make a plan and organize financially, so that year-end expenses don't become a real headache.
And to help you start 2022 with more health and financial peace of mind, we're going to teach you how to create a plan to pay your expenses at the beginning of the year. Check it out:
What are the main expenses at the beginning of the year?
Below, see some of the most common expenses during this period.:
Property tax
The property tax (Tax on Urban Property and Land) is an annual tax levied on property and land owners in Brazil.
As it is the responsibility of each municipality to collect this tax, the amounts and due dates vary according to the region.
IPVA
IPVA is the acronym for Tax on Motor Vehicle Ownership.
The IPVA must be paid to license the vehicle. Some states offer discounts for payments made in cash or by a certain date.
Car licensing
There are states that offer the option of paying the license fee together with the IPVA.
Licensing is an authorization for you to drive the vehicle.
School expenses
For those who have children, school expenses are part of the budget.
Among the main expenses, we can mention school materials, registration and uniform.
Regarding these expenses, especially school supplies, it is important to talk to your children to decide what needs to be purchased and what can be reused from last year.
Insurance
Insurance policies are renewed annually and, therefore, it may be necessary to make payments at the beginning of the year.
Keep an eye on your policies to see if any payments are due soon. If the expense is expected to occur in the first few months of 2022, include it in your planning to pay your expenses at the beginning of the year.
Bills and financial issues from the previous year
At the beginning of the year, invoices for purchases made in December start to arrive.
Set aside an amount to pay them at the beginning of the year by the due date (or even earlier, if possible).
Regarding financing and loans, see if there is a possibility of negotiation.
Step by step guide to planning to pay your expenses at the beginning of the year
Now that you know what the main expenses are that people may have at the beginning of the year, it's time to learn how to put together a plan.
Just look:
1. Map out expenses
Mapping out the expenses that need to be paid at the beginning of the year is very important for organizing your finances.
Make a list of expenses that apply to your reality.
For example, if you don't have children, you won't have to pay for school expenses. However, you will need to pay for other expenses that are part of your reality, such as the IPVA (vehicle property tax) if you have a car.
Record the amount of each expense, even if it is just an estimated amount.
This way, you can plan better and set aside an amount to pay all these expenses by the due date.
These expenses can be recorded in an Excel spreadsheet, application or in a finance notebook.
2. Have control over your budget
As we have already said, it is normal for people to spend more on leisure time at the end of the year.
There is absolutely no problem in doing this. After all, rest is essential.
The problem is when you go overboard and compromise your income on non-essential expenses.
To prevent this from happening, set aside an amount to spend on gifts, parties and other important expenses at this time of year.
But don't forget to create a reserve for the bills at the beginning of the year. That way, you can start 2022 with more organization and financial peace of mind.
The ideal is to include all expenses (from the smallest to the largest) in your expense planning at the beginning of the year.
3. Try to pay in cash
When you pay for something in cash, you are free from that financial burden.
Additionally, there is the possibility of obtaining discounts.
IPTU and IPVA, for example, are expenses that have a discount when paid in cash.
4. Take advantage of your 13th salary
Those who work with a signed employment contract (CLT) are entitled to receive the 13th salary.
It is usually paid in two installments (November and December) and helps ease the budget.
If you receive this benefit, take advantage of it to save part of it and thus pay your expenses at the beginning of the year.
If you already have a separate right for these expenses, you can use the 13th salary for your leisure, create an emergency reserve or, invest the installments.
If you put your 13th salary in a CDB or Treasury Direct bond, for example, your money will yield more than in traditional savings.
5. Leave some expenses for later
January is a month that comes with several bills.
For this reason, be careful with early-year promotions, as they can take some of your money away with things you don't actually need.
If this happens, you may find yourself without money to pay bills and buy things that are really necessary.
Analyze your needs and purchasing desires.
This way, you don't compromise your budget on non-essential expenses in January.
Conclusion
Making a plan to pay expenses at the beginning of the year is essential for those looking for more financial organization.
Take advantage of the end of the year to plan your finances and start 2022 more peacefully!
