The old adage says you can learn from your mistakes. That may be true, but when it comes to your finances, mistakes can cost you – sometimes big. “While it is possible to recover from your mistakes, you need to be proactive about getting back on track as soon as possible,” says Val Robinson, Mortgage Loan Originator with Fifth Third Bank.

Your time is valuable and you need to make every minute count. So why spend extra time on your finances? “Fortunately, there are several steps people can take to simplify their finances and free up more of their valuable time,” says Ryan Gennett, Financial Center Manager with Fifth Third Bank.

Despite what you might believe, financial matters don’t have to be complicated. The key is taking steps to understand your money so you can take control. Consider the following ideas for simplifying your finances: 

Ben Miller, 24, Cincinnati

The situation: Ben recently graduated from college and now has an entry-level job. He wants to pay down his debt but wants to also start contributing to his company’s 401(k) plan.

Income: $27,000

Assets:
$1,000 in savings

Debts:
Student loans: $23,000
Auto loan: $12,000
Credit cards: $2,500

 David and Lisa Smith, 45, Cincinnati

The situation:
David and Lisa’s son, Matt, is going to college next year. The couple saved money for his education but due to the rocky economy, their savings have taken a hit. Now they’re wondering if they should use their retirement funds to help make up their losses.

Income:
David: $85,000
Lisa: $65,000

Tom and Sarah Williams, 32, Cincinnati

The situation:
Tom and Sarah currently rent, but plan to stay in the Cincinnati area and would like to buy a condo or a house.

Income:
Tom: $86,000
Sarah: $48,000

Assets:
$10,000 in checking
$15,000 in savings
$20,000 in 401(k) accounts
$25,000 in IRAs

Debt:
$20,000 in student loans
$8,000 in auto loans
$2,000 in credit cards

Would you ever consider paying $40 for a latte or $35 for a candy bar? Not likely, but this is precisely what occurs when you are assessed an overdraft fee for exceeding your account limit. The new amendments to Electronic Fund Transfer Act (Regulation E) could change this by placing the future of overdraft fees for certain transaction types in the hands of consumers.

If you’re like most women, you value — and respect — your relationships with others. However, when it comes to money, you may have a love-hate relationship at best. Consider the following important financial statistics:

 By now, almost everyone understands the importance of building their savings. But how can you begin if you are already living paycheck to paycheck? “Take a look at how you are spending your money – there are ways you can cut back to find additional dollars that can be saved,” says Nick Goetz, Financial Center Manager with Fifth Third Bank.

Does the word “budget” make you cringe? The fact is, learning how to work with one is important for building a strong financial foundation. “Budgeting provides you with a financial plan and allows you to manage your money, rather than having your money manage you,” says Andy Johnston, Financial Center Manager with Fifth Third Bank.

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.”