We make resolutions as initiatives to work towards self-improvement, with the intent of fixing the problematic areas in our lives. For many college students, this problem area is the state of their finances; most of them want to resolve their issue, but don’t know what is required to do so. Well here goes: the first step is to make a resolution based on your areas of focus; the second step is to follow through with your resolution, which is where we come in to guide you. In order to successfully navigate your sojourn to financial self-improvement, follow these tips and guidelines to make sure that once you set out, you continue down the right road and attain your end goal.

Set a Goal (And Know Why You Want it)
It is not uncommon for the enthusiasm that once fueled your motivation for financial self-improvement to fizzle out over time, but there is a strategy to fight the fizzle; instead of simply setting a goal for yourself as a means to an end, you should really understand your motivation for setting this goal.

In the first steps of goal-setting, knowing why you want this one thing so badly is even more important than knowing exactly how you will get it. Do you want to increase your low credit score within the next year? Why? Because it will allow you to sign a rental lease on a new apartment? Because it will improve your job prospects for a promotion or new position? Because it will help you become a better candidate for a much needed school loan? All of these are significant motivating factors for wanting to increase your credit score. Once you understand your own reasons, it will be easier to formulate a strategy for achieving your goal and the probability of success will be higher.

Create an Organization System
If you really want to be successful in achieving financial health you must incorporate some organization into your life. Many people who’ve found themselves in bad financial shape claim to not have realized the extent of their troubles until it had gotten completely out of control; this is due in part to a poor money management system. There is simply too much paperwork involved for you to not have some sort of organizational strategy in place. 

You should keep your important documents (social security card, marriage or birth certificate, passport) separated from the paperwork you reference on a regular basis. The former should be kept in a secure lock box or cabinet; the latter, which would likely include bank or utility statements, receipts, investments, credit reports, loan information, and budget sheets, should be kept in a binder with categorized sections for each respective type of paperwork. By arranging all of your paperwork and important documents in a systematized filing system you will be much more equipped to stay on top of your finances.

Use Your Banks Financial Tools and Resources
Banks offer some great resources to help its clients manage their money better. The advent of internet technology has made online banking a convenient, useful tool for consumers who now have much more accessibility to their banking activity. For example, you can view your statement online at any time, making it easier to monitor your spending and keep tabs on your budget. 

Another useful feature is automatic account transfers, which are helpful if you want to establish a savings fund. Once you’ve set up a prearranged amount of money you would like to be moved into your savings account, you are no longer accountable for remembering to set aside money each month; the bank will automatically take care of it for you. In some cases, it is also possible to set up an automatic transfer from your paycheck into your savings account. (Ask your employer if this option is available.)

Start Sensibly Saving (For Real, This Time)

There are a few ways to get started doing this.

First, use small change to create big change. Literally. Empty out your pockets or purse at the end of each day and stash your loose change in an empty jar. Once the jar has reached capacity, take it to your bank and deposit it in your savings account. You would be surprised at how much it will add up to—think a few hundred dollars each time.

Second, set up the auto transfer feature for your bank account that we mentioned earlier. It is an easy, long-term, low-impact way to start a savings fund. Putting just 10% aside each month will go a long way.

Third, rethink any surplus. If you have extra money coming in from somewhere—be it a raise, a bonus, a tax return, some rebates, anything at all—resist the impulse to splurge on the frivolous. Instead of treating yourself now when you might not need it, elect to treat your future self, who might actually need the money for something important down the road, and put the money directly into your savings or emergency fund.

Improve Your Credit
The significance of your credit score cannot be stressed enough. This number is essentially the determinate for everything important in your life: it affects your chances of getting hired, your ability to rent a home, and the price of your loans, mortgage and insurance rates. To stay on top of your credit (or to rectify a current delinquent rating), it is imperative that you submit regular, punctual credit card payments and that you disassociate with any activity that could otherwise compromise you’re credibility.

Take advantage of your free annual credit report which you can get at AnnualCreditReport.com. By law, you’re entitled to one free copy of your credit report every 12 months from each credit bureau: Equifax, Experian and TransUnion. Look closely for any errors that could be negatively impacting your score; if you find one, immediately inform the reporting bureau.

Today’s guest article is brought to you by iGrad.com, an industry leader in providing solid financial advice and tools for college students.