This year, why not focus your New Year’s resolutions on improving your finances? “New Year’s resolutions shouldn’t be limited to diet and exercise,” says Michelle Meyer, Financial Center Manager with Fifth Third Bank. “Now is a great time to reflect on your finances and make goals for the upcoming year.”

Due to the rocky economy, you might not feel in control of your finances. The reality is, you probably have more power than you think. To help take control of your financial situation, Meyer suggests including one – or all – of the following into your New Year’s resolutions list:

• I will live within my means. To meet this goal, you need an accurate picture of exactly how much money you have and the amount you can afford to spend. Start by building a budget that meets your needs. To learn more about budgeting, read Budgeting Strategies: Get Back on Track.
   

  Learning how to distinguish between needs and wants can also help you live within your means. For example, you need to have money to pay your rent so you have a place to live. However, your daily $4 coffee shop latte is a want. Once you learn the difference, you may find it easier to make the cuts necessary to live within your means. “A lot of people don’t realize how much they are actually spending and how $5 here and there can add up over time,” Meyer says. “You need to be honest with yourself and decide what you do and don’t need.”
   

• I will build an emergency fund. Most financial professionals recommend you save at least six months worth of living expenses. Having this amount set aside will also help you meet your goal of living within your means because you won’t need to resort to credit cards should an emergency arise. Start by opening a savings account and contribute to it on a regular basis, whether it’s saving $10 a week or $100. “A lot of people think they need to start saving large amounts, but small bits can add up over time,” says Meyer. To learn more about savings strategies, read Five Ways to Start Saving Now.
   
• I will boost my retirement savings. The power of compounding interest makes it especially important to start saving for retirement as soon as possible. Start by participating in your company’s 401(k) plan if one is offered. Often, companies match up to a certain percentage of your contribution. It’s in your best interest to take full advantage of this perk because it’s like getting a one hundred percent return on what you’ve contributed. After investing enough to get your full company match, consider opening an IRA or Roth IRA through your financial organization. “I worked with one customer who saved the odd amount from each paycheck, every week. For example, if his check was $785.60, he would save $5.60 for his IRA,” Meyer says. “It was a great way to put a little extra money toward retirement.”

Trying one, or all, of these three resolutions will help put you on track for a secure financial future. To help you succeed and understand your money, Fifth Third Bank offers free financial reviews and online information, including planning for retirement, reducing everyday expenses and setting and sticking with a budget. Financial professional are available to help you evaluate your accounts, determine which areas you need to work on and develop a plan to help you reach your goals. “It always helps to get a second, unbiased opinion from someone who deals with financial matters on a daily basis,” says Meyer.

To learn more about sticking with your 2010 financial resolutions, contact Fifth Third at (866) 475-4201 or visit 53.com.