Financial To-Do List from CFB’s Advisor Team | 6th January 2016
With time rushing by and the end of 2015 a week out of sight, you may be lamenting that you haven’t accomplished all that you had planned. Even if you’ve had to put off certain goals set throughout 2015, you have a fresh new year ahead of you, and plenty of time to make smart financial decisions.
When you’ve got a lot on your plate, it can be easy to put managing your finances on the back burner, and before you know it, you’re behind on your big to-do’s and you’ve got a mountain of goals to that may seem impossible to achieve. We all know how “pipedream” resolutions go, and we all know it’s easier to set realistic and achievable goals in the first place. One way to help avoid that dreaded pileup is to break down your money tasks into bite-size pieces that you can tackle weekly or monthly.
Not sure where to start?
To help you start out 2016 with a flourish, we spoke with each of the Advisors here at CFB to gather their top financial to-do’s for 2016, given to you in small chunks that are easier to manage.
“Make the most of low interest rates; won’t stay low for ever. “
Record-breaking low interest rates are good news for everyone with a mortgage. Low interest rates provide the perfect opportunity for homeowners to get ahead on their home loans. When rates are low, your repayments are also lower – and, therefore, more affordable – which means you have more money left over than when interest rates are high. Paying more than the minimum will help you pay off your mortgage faster because the extra repayments are going towards the principal of the loan rather than the interest. You’ll be on your way to being debt free, and having the house paid off before retirement.
“Pay attention to your spouse and loved ones. Family relationships are you biggest asset.”
No matter what happens in life, at the end of the day, you can always count on family. They help you weather the daily grind, make holidays a lot more fun and always make you smile.
“Invest in your kids.”
Take the time and make the effort to explain to your children where money comes from, and how it is saved, managed and spent. It’s never too early. If they’re old enough to learn a new language, they can start learning about money too. The Qantas Credit Union website provides some great tips and lessons for teaching your kids about money: Qantas Credit Union Money Lessons for Kids
“Know the difference between luxuries and necessities.”
Knowing the difference between a “want” and a “need” can help you save money. Many of the items we spend money on are things we want. If you don’t have to have it in order to survive, then it is a want. If the item doesn’t fit comfortably into your budget, you need to set it aside until your budget is ready to handle the purchase.
“Plan your holidays for the year well in advance”
In the words of Benjamin Franklin, “By failing to prepare, you are preparing to fail”. To truly enjoy your holiday experience and avoid travel stress, things to take into consideration include:
- Estimate costs and start a savings plan
- Exchange rates & Travel Cards
- Discounts for booking in advance
- Ensure you have adequate leave entitlements and budget for unpaid leave if required
- Get your insurances sorted!
- And last but not least, enjoy yourself and be safe!
Get these to-dos out of the way now and you’ll have that much more time to enjoy the rest of the year. There’s no time like the present!
If you would like to learn more about our Financial Advisers here at CFB, head over to the People Page on our website to find out about each Adviser’s qualifications, experience and personal passions.
This article is for general information purposes only. It has been prepared without considering your objectives, financial situation or needs. You should, before acting on the advice, consider its appropriateness to your circumstances.
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