As we move into the new year, it’s a good time to reflect on our successes and failures over the past 12 months. This is also an opportunity to reassess our priorities and set new goals. If one of your goals for the new year is to improve your financial situation, here are some techniques that can help you get in control of your money.
1) Create a budget you can stick to
Making radical changes to your spending habits might offer immediate results, but they can be hard to keep up over the long term.
It’s much more effective to focus on a range of budgeting strategies that you can stick to.
Automate payments and savings deposits so the money goes where it needs to go before you have a chance to spend it.
Check the progress of your mortgage and savings accounts regularly to stay motivated and reinforce good habits.
2) Use apps to manage your money
There are many budgeting apps available that can make tracking your spending and reviewing your finances easier. Some of these apps include Mint, YNAB, and PocketGuard. If you have had success with envelope-based budgeting in the past, Goodbudget is a digital option that allows you to assign portions of your income to different spending categories. Additionally, some budgeting apps offer the ability to manually enter account balances rather than syncing with bank accounts.
3) Cut back on non-essentials
Is that takeaway coffee really necessary? Try looking at your discretionary spending and see where you can cut back or find a cheaper alternative.
Making your own coffee, meal-prepping lunches and cancelling that streaming service you never use can save you a lot of money without significantly impacting your lifestyle.
There are plenty of free activities and entertainment options available, like walks on the beach, picnics at local parks and family game nights.
4) Consider consolidating debt
Debt consolidation involves taking out a new loan to pay off existing debts. This can simplify debt repayment or reduce monthly payments to improve cash flow. Other benefits of debt consolidation include the simplicity of one payment, potential interest rate and fee savings, and more manageable repayments. We can help you determine if debt consolidation is a good option for you.
5) Talk to us about your home ownership goals
Buying a property is one of the biggest purchases you’ll make in your lifetime and one that could set you up for financial security. Getting in control of your finances can assist in saving for a deposit and qualifying for pre-approval with a lender.
We can help you determine your borrowing capacity, weigh up the pros and cons of fixed versus variable rates and ensure the home loan application process is as smooth as possible.
Whatever financial goals you have for 2023, we’re here to support. Get in touch today.
Disclaimer: The content of this article is general and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal, nor to imply any recommendation or opinion about a financial product. It does not consider your personal situation and may not be relevant to circumstances. Before taking action, consider your circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.