It’s easy to think that improving your finances requires a major change like reallocating an investment portfolio, paying down a large amount of debt, or taking a new job with higher earning potential. While all three can help, some of the biggest financial improvements often come from small, overlooked decisions.
The “low-hanging fruit” isn’t flashy, it’s usually simple, high-impact actions that are easy to implement but often ignored. That’s the focus for this article.
Maximize Your Employer Match
The first action is to make sure you’re getting your full employer match if your company offers a retirement plan. Each plan is a bit different, so it’s important to understand whether a match is offered and what’s required to receive the full amount.
If you aren’t getting the full match, you’re leaving part of your paycheck on the table. There are few financial decisions that offer an immediate return like this.
Prioritize High-Interest Debt
Credit cards, personal loans, auto loans, and other high-interest debt can quietly slow your financial progress. Often, people focus on investing to generate returns, but paying down high-interest debt can offer a better return than most investments.
Make Your Cash Work for You
In today’s interest rate environment, your short-term savings should be earning interest. However, many people still keep their savings in accounts that earn little to no interest. A simple switch could put more money in your pocket.
Automate Your Savings & Investing
Setting up automated savings is a simple move that removes guesswork and friction. It allows you to save before you spend, making it easier to spend with confidence knowing your savings are already taken care of.
This approach also applies to investing, setting up a periodic investment plan can help you stay consistent.
Increase Contributions Gradually
It can be difficult to start investing 15-20% of your income right away. Instead of immediately straining your cash flow, start by contributing enough to get your employer match, then increase your contributions by 1-2% each year.
Over time, you’ll reach that 15-20% range without it feeling like a major adjustment. Small increases like this can make a significant difference over the long run.
Review Your Beneficiaries
No matter your age, it’s important to have beneficiaries listed on accounts that allow it. By designating a beneficiary, you determine who receives those assets upon your passing.
It’s also important to review your beneficiaries periodically to ensure they’re up to date, especially after major life events like marriage, divorce, or the loss of a loved one.
Build & Maintain an Emergency Fund
Unexpected expenses aren’t a matter of if, but when. While we all hope they don’t happen, they’re inevitable. That’s why building and maintaining an emergency fund is so important.
An emergency fund reduces the need to rely on debt or disrupt long-term plans when the unexpected occurs.
Revisit Your Insurance Coverage
This next one isn’t the most exciting, but it can be critical: reviewing your insurance coverage. Make sure your policies provide adequate protection and align with your current life circumstances.
It can also be worthwhile to periodically shop your insurance to see what other options are available.
Clean Up Subscriptions
It often feels like there are a few unused subscriptions that could be cleaned up. From time to time, review your bank or credit card statements to identify subscriptions you barely use.
If you cancel any, consider redirecting that money to savings since you’re already used to spending it.
Name Your Accounts
The last piece of low-hanging fruit, and one I’m personally a big fan of, is renaming your accounts based on their purpose. For example, instead of labeling a savings account “Savings,” you could name it “Emergency Fund,” “Down Payment Fund,” or “Sinking Fund.”
This small psychological shift can make saving more intentional and motivating, since you know what you’re working toward.
None of these steps require perfect timing or complex strategies, but together, they form the foundation for strong financial progress. Real progress isn’t built on complexity; it’s built on consistently getting the simple things right.
-by Jacob Young, AAMS®
Financial Advisor, RJFS
313 East 10th Ave
Bowling Green, KY 42101
Phone: 270-846-2656
Securities offered through Raymond James Financial Services, Inc., member FINRA/SIPC. Investment advisory services are offered through Raymond James Financial Services Advisors, Inc. Ben Smith Life Compass Financial is not a registered broker/dealer and is independent of Raymond James Financial Services.
Investing involves risk and you may incur a profit or loss regardless of strategy selected. Every investor’s situation is unique, and you should consider your investment goals, risk tolerance and time horizon before making any investment. Prior to making an investment decision, please consult with your financial advisor about your individual situation.
This content was created with the assistance of artificial intelligence (AI). While efforts have been made to ensure the quality and reliability of the content, it is important to note that AI-generated content may not always reflect the most current developments or nuanced human perspectives.
Raymond James and its advisors do not offer tax or legal services. You should discuss any tax or legal matters with the appropriate professional.
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