There's no need to cut back on small, everyday expenses.

The Christmas and January holidays represent a peak in household spending. Given this reality, the key is not only to have planned ahead, but also to take advantage of the start of the year to establish a solid monthly budget. We're often told to cut back on "small expenses"—like coffee at the bar—but the goal isn't to deprive ourselves of little pleasures, but rather to better manage the big picture. To improve our financial health, there are only two paths: increase income or reduce expenses.

A good budgeting strategy is the 50/30/20 rule: allocate 50% of your income to fixed expenses, 30% to leisure or unexpected expenses, and the remaining 20% to savings. To increase your income independently, investing is your best tool, whether through bank deposits or dividend-paying stocks. However, you can't do this without prior savings, which I recommend setting aside at the beginning of the month, not the end, because otherwise, you'll never have anything left.

Where we really have a lot of room to maneuver is in our financial expenses. We often don't know what interest we're paying on our credit cards, car loans, what fees the bank charges, or how much we're paying for our insurance. Since interest rates have fallen compared to two or three years ago, refinancing existing loans can drastically reduce your monthly payment. It's also vital to review the monthly subscriptions we pay without even realizing it and check if your credit card payments are actually reducing your debt or just covering interest.

Taking control today, by reviewing those contracts and services that we have on "autopilot", will allow us to continue enjoying the small, everyday expenses.