|January 19, 2018||0|
The New Year is undoubtedly an excellent time to reflect on the previous year and make some resolutions to improve ourselves. Lot of people’s resolutions revolve around becoming healthier, boosting their career, or improving their financial health. Now most of us realise how tough it can be to stick to our New Year’s resolutions, so it’s important that you make sensible, attainable goals that can be achieved with a certain degree of willpower and self-control.
If you’ve determined that you wish to improve your financial health in 2018, there’s a fair amount of preparation and planning required. To realise considerable financial improvements in your life, it’s essential that you address only the things you can control and to assess your progression continously. To give you some insight on how you can do this, the following outlines some suggestions that you should follow if you choose to improve your financial well-being in the following year
Set clear financial goals
Studies have indicated that simply writing down goals substantially increases the chances of you accomplishing them. In a financial sense, writing down distinct goals with an anticipated timeline not only increases the likelihood of you achieving these goals, but you’ll additionally understand what is most important to you.
A number of financial goals, for example retirement, may necessitate the support of a financial planner, but there are many simple, conceivable goals that you can plan by yourself, for instance purchasing a vehicle, saving for a home deposit, or assembling an emergency fund for a rainy day. It is very important that you take small steps to accomplish these goals, and revising your progression on a regular basis is the key to success.
Increase your savings
Lot of people have no idea how much money they save every year, so it is crucial that you set an actual dollar amount that you wish to save for the following year. Regardless if you achieve this goal or not isn’t the point, the fact that you’re setting specific goals and planning ways to achieve these goals is the most important aspect.
Simple ways to increase your savings account is to increase your superannuation contributions (and possibly Government payments), or schedule an automatic deposit into an emergency fund or high interest savings account each week. In any case, increasing your savings will increase your net worth and long-term financial health.
Track your spending
Understanding just how much you spend every month is critical in having the capacity to increase your financial health. Keeping every bill and receipt and manually developing a spreadsheet is one way to do it, but there are a couple of fantastic apps that track your spending on the go, giving you a precise indication of how much you’re spending with little effort required.
ASIC’s TrackMySPEND app (https://www.moneysmart.gov.au) is a trustworthy and dependable tool that helps you understand your average monthly and annual spending, so you can better plan and accomplish your financial goals. If this doesn’t suit you, there are many other apps available, so don’t be afraid to test a couple to see which is best for you.
Assess your home loan and insurance policies
Evaluating your mortgage and insurance policies is an excellent way to increase your savings. For example, you should be looking at how your current mortgage and insurance policies compare with other providers on an annual basis. Financial institutions adjust their policy structures all the time, so chances are you can receive a better deal if you do a bit of research.
Even small decreases in interest rates can save you thousands of dollars every year, so it’s clearly worth the effort! If you find a better offer somewhere else, don’t hesitate to ask your existing provider to match it, and likewise, don’t hesitate to change providers if they don’t. There’s loads of online resources which can proficiently guide you through this process.
Seek advice as soon as possible if you’re experiencing financial turmoil
Improving your financial health doesn’t always equate to increasing your savings and emergency funds. Many individuals suffer through years of stress from financial troubles without understanding that there are a number of options available to them to improve their financial wellbeing.
If you’re encountering any financial suffering, the sooner you seek professional advice, the better your recovery options will be. For any advice relating to your financial situation, don’t hesitate to get in contact with Fresh Start Solutions Adelaide on 1300 818 575, or visit our website for further information: Bankruptcy Adelaide