Set some goals today to get your money in great shape for 2014.
If last year is anything to go by, Australians will be keen to take control of their finances in 2014.
According to the Australian Securities and Investments Commission (ASIC), the top three financial resolutions made by Australians at the start of 2013 were cutting back on wants, shrinking the mortgage and spending wisely.
They’re all worthwhile goals, and just as resolutions to lose weight or exercise more can improve your physical health, a few financial resolutions can boost your fiscal health.
To make sure your New Year pledges become realities, set clear, measurable goals. For instance, aiming to save $50 each week into a high interest savings account is a far more concrete goal than just aiming to ‘save more’.
Resist the temptation to overload yourself with reams of goals. It’s easier to focus on one or two and work on these until you get the result you’re looking for.
Next, make your goals achievable by starting out small. Sadly, not many of us will make a million dollars in 2014 but we can all pay an extra $20 off our home loan each month.
Remember to share your New Year financial resolution with the people close to you. ASIC’s Robert Drake notes, “If you share your pledge with family and friends, you’ll have a band of supporters who’ll help you stick to it. It also gives you a sense of ‘we’re all in this together’ and a reason to celebrate at the end of the year.”
If you’d like to get your finances in better shape in 2014 but you’re not sure where to get started, take a look out the ideas list below.
In a competitive mortgage market it’s a fair bet you could secure a lower rate or improved loan features. Or, if you’ve got some big changes coming up in 2014 – like the arrival of a new baby or a new job, think about arranging a free home loan health check with your Aussie broker. It’s an easy way to know if your loan continues to be the right choice for you.
Save on credit card debt
Take a look at your latest credit card statement to see the rate you’re currently paying. Some cards charge 20% or more. A simple way to save money – and get ahead with card debt, is by switching to a card with a cheaper rate.
Protect what matters
Give your personal insurances a thorough check. Your most valuable assets – your home, possessions and car, should all be adequately protected with a competitively priced policy. Take a look at the value of your life cover too – it should keep up with your family’s needs.