|January 19, 2018||Comments Closed|
The New Year is obviously a great time to reflect on the previous year and make some resolutions to improve ourselves. Lots of people’s resolutions focus on getting healthier, developing their career, or improving their financial circumstances. Now we all recognise how difficult it can be to keep our New Year’s resolutions, so it is vital that you make reasonable, attainable goals that can be accomplished with a specific degree of tenacity and self-discipline.
If you’ve determined that you wish to improve your financial health in 2018, there’s a decent amount of planning and preparation involved. To develop significant financial improvements in your life, it’s crucial that you address only the things you can control and to examine your progress continually. To give you some ideas on how to do this, the following details some suggestions that you should follow if you want to improve your financial well-being in the coming year.
Set clear financial goals
Studies indicates that simply writing down goals considerably increases the probability of you achieving them. In a monetary sense, writing down detailed goals with an anticipated timeline not only increases the likelihood of you reaching these goals, but you’ll additionally understand what is most important to you.
A number of financial goals, like retirement, may require the assistance of a financial planner, but there are many simple, obtainable goals that you can arrange by yourself, such as buying a car, saving for a home deposit, or organising an emergency fund for a rainy day. It is essential that you take small steps to reach these goals, and revising your progress frequently is the key to success.
Increase your savings
Lot of people aren’t sure how much money they save every year, so it’s important that you stipulate an actual dollar amount that you aspire to save for the following year. Whether you accomplish this goal or not isn’t the issue, the fact that you’re creating specific goals and planning ways to accomplish these goals is the most important aspect.
Simple ways to increase your savings account is to increase your superannuation payments (and possibly Government contributions), or schedule an automatic deposit into an emergency fund or high interest savings account each week. Irrespective of how you do this, increasing your savings will increase your net worth and overall financial health.
Track your spending
Understanding how much you spend each month is vital in having the ability to increase your financial health. Keeping every bill and receipt and manually generating a spreadsheet is one way to do it, but there are a couple of fantastic apps that keep track of your spending on the go, providing you with a precise indication of how much you’re spending with very little effort needed.
ASIC’s TrackMySPEND app (https://www.moneysmart.gov.au) is a trustworthy and reliable tool that helps you understand your average monthly and annual spending, so you can better plan and reach your financial goals. If this doesn’t satisfy you, there are lots of other apps on the market, so don’t be afraid to test a few to discover which is best for you.
Revise your home loan and insurance policies
Evaluating your mortgage and insurance policies is a useful way to increase your savings. For example, you should be looking at how your current mortgage and insurance policies compare to other providers on an annual basis. Banks and financial institutions adjust their policy structures frequently, 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 unquestionably worth the effort! If you find a better offer elsewhere, don’t hesitate to ask your existing provider to match it, and in the same manner, don’t hesitate to change providers if they don’t. There’s lots of online resources which can proficiently guide you through this process.
Seek advice immediately if you’re experiencing financial trouble
Improving your financial health doesn’t always equate to increasing your savings and emergency funds. Many people suffer through years of stress from financial turmoil without realising that there are a number of options available to them to boost their financial wellbeing.
If you’re experiencing any financial distress, the sooner you seek professional advice, the better your recovery options will be. For any advice pertaining to your financial circumstances, don’t hesitate to speak to Bankruptcy Gosford on 1300 795 575, or visit our website for more information: https://www.bankruptcy-gosford.com.au/