Spring is in the air!
Here’s an opportunity to make a fresh start for your financial future. Make the most of this spring and summer holidays to sort out your finances.
We’ve broken it down into five bite-sized, manageable steps for you to tackle over the holidays, because real change takes time!
Below is a suggested path to a New Financial You, however, you can choose your preferred order and pace.
𝐎𝐜𝐭𝐨𝐛𝐞𝐫: 𝐆𝐨𝐚𝐥 𝐒𝐞𝐭𝐭𝐢𝐧𝐠
What is it that you want? I mean REALLY want?
As with any goal, your financial goals should be SMART – Specific, Measurable, Achievable, Relevant, and Timely.
Whether you’re wanting to build an emergency fund, get out of debt, or save for a specific goal, write down your goals in detail and then revisit these regularly to remind yourself of what you’re working towards.
𝐍𝐨𝐯𝐞𝐦𝐛𝐞𝐫: 𝐒𝐞𝐭 𝐲𝐨𝐮𝐫 𝐁𝐮𝐝𝐠𝐞𝐭
A budget helps you see what’s coming in, what’s going out, and most importantly how much you have to allocate towards your goals.
There are plenty of free templates online so find one that works for you and add in your personal income and expenses.
Tip – Go through your last three months’ bank statements to get details of your spending.
𝐃𝐞𝐜𝐞𝐦𝐛𝐞𝐫: 𝐒𝐞𝐭𝐮𝐩 𝐚 𝐒𝐚𝐯𝐢𝐧𝐠𝐬 𝐏𝐥𝐚𝐧
You can do this by working out how much money you need for a particular savings goal and by when, then breaking it down into regular amounts to be set aside.
Example – If you want to save $2,000 for Christmas by December 1st, you’ll need to set aside $154/week from September 1st.
Tip – Automate savings by setting up a regular transfer.
𝐉𝐚𝐧𝐮𝐚𝐫𝐲: 𝐒𝐮𝐩𝐞𝐫 𝐂𝐡𝐞𝐜𝐤
It’s time to health check your superannuation:
✅𝐂𝐨𝐧𝐭𝐚𝐜𝐭 𝐃𝐞𝐭𝐚𝐢𝐥𝐬
Make sure your contact details are up to date to ensure you’re not missing out on important correspondence.
✅𝐁𝐞𝐧𝐞𝐟𝐢𝐜𝐢𝐚𝐫𝐲 𝐍𝐨𝐦𝐢𝐧𝐚𝐭𝐢𝐨𝐧
Do you have a current beneficiary nomination in place? A valid beneficiary nomination will direct your super fund on how you would like your super benefits to be paid if you were to pass away.
✅𝐅𝐞𝐞𝐬
How much is your super costing the future you? There is a whole range of fees that might be funded from your super, including administration, investment, and adviser service fees, all of which will have an impact on your retirement savings.
✅𝐈𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭
Do you know how your super is invested? Is it Conservative or Growth? How well has it performed over the long term? Some important things to consider when choosing an investment option include your life stage, investment horizon and comfort for risk.
𝐅𝐞𝐛𝐫𝐮𝐚𝐫𝐲: 𝐈𝐧𝐬𝐮𝐫𝐚𝐧𝐜𝐞 𝐑𝐞𝐯𝐢𝐞𝐰 & 𝐄𝐬𝐭𝐚𝐭𝐞 𝐏𝐥𝐚𝐧𝐧𝐢𝐧𝐠
There is a range of insurances that offer financial security for you and your family, including:
- Life
- Total & Permanent Disability
- Trauma, and
- Income Protection
This month, get to know your current insurances and consider whether the types and amounts are suitable for your needs.
Estate Planning involves documenting what you want to happen in the event you pass away or become incapacitated. It might include Wills, Powers of Attorney, Health Directives and Guardianship nominations.
If you don’t have these in place already, it’s time to build out your Estate Plan. If you do, it’s time to dig these out for a review.
𝐂𝐨𝐧𝐠𝐫𝐚𝐭𝐮𝐥𝐚𝐭𝐢𝐨𝐧𝐬, 𝐲𝐨𝐮 𝐦𝐚𝐝𝐞 𝐢𝐭!
If you’d like some extra support on your journey, reach out to a Financial Adviser today for help with achieving your financial goals!