With 2017 now in full swing, it’s time to check in on your new year’s resolutions. You most likely have already started eating better, exercising more, taking time for yourself or self-improvement – yes? But what about your finances?
Regardless of what you have or haven’t achieved you still have time to make a difference. Where finances are concerned it’s never too late to start.
Here are five ways to make an impact on your financial situation this year and every year.
All good financial plans should start with goal setting. Understanding what you are trying to achieve will make the process easier and a lot more fun. Instead of using goals as a way to restrict you, use them as motivation.
Look at your current lifestyle and ask yourself, “what would I like to be different” and “what’s most important to me”. It might not be the bigger house or car. Instead it might be downsizing, having more free time or reducing debt.
Creating your goals and reviewing them regularly will ensure that you are staying on track. They say that millionaires write their goals daily and billionaires write their goals twice per day.
To help you move towards your goals quicker and with more ease, it’s vital to ensure you create good habits around your financial situation.
Habits are when actions become almost automatic, so you don’t have to think about them. It’s just done. Habits are why some people can work out every morning (while you are still snoozing) or why you need that 3pm sweet treat to get you through the rest of the day.
Starting small with positive habits can make a big difference to your future financial situation. It might be as simple as setting aside a small amount into automatic saving or skipping the morning latte on the way to work for a coffee in the office.
Without even realising, it’s very easy to be spend too much money. Whether it be from unnecessary purchases (like that morning latte) or things you no longer use but are still paying for (gym membership).
Track your spending over 30 or 60 days, look through your credit card and bank statements. You will be surprised how much you can cut back on unnecessary expenses.
Use this opportunity to shop around for better deals on phone, internet, utilities, interest rates, credit cards, insurances (home, car, health and life), and saving accounts.
A simple call can be all that’s needed to get a better deal and save you in the long run.
Super. Your future. No longer can we rely on the government to fund our retirement. And it’s never too early to get smart with your super. Make this year the year you are going to start investing in your future self and your superannuation. Along with your employer’s contribution, look into options such as salary sacrificing, consolidating your funds, personal contributions and government assistance. Speak to a Camori Investments superannuation specialist to discuss the best options for you.
One of the best ways to continue to achieve your goals is to make sure you take time to not only enjoy the journey but celebrate your successes. When you celebrate what you have achieved, you are motivated to keep going. Celebrate all the wins, no matter how small. To ensure that you aren’t negatively affecting your financial future, match your reward appropriately for what you achieved. If you set up a small savings fund, then spending most of your savings on a night out isn’t going to be beneficial.
What are some of your new year’s resolutions? We would love to hear from you.