Take control of your money
A common question we often get asked is “how can I be better with my money and get ahead?” It’s certainly a relevant question with a recent Galaxy Research poll finding that 52 per cent of Australians say that they are not confident managing their money.
Everyone’s situation is different however there are a few key concepts which form the cornerstone of taking control of your money, feeling secure about the financial decisions you make and achieving your financial goals.
These concepts will assist regardless of how much you earn:
Track your spending
Where is your cash going each week? Tracking your spending helps you get a complete view of your money that will help you understand where you really stand. In years past this was a rigorous exercise involving keeping receipts and recording every little expense. However in today’s tech age, applications like MoneyBrilliant automatically record all your expenditure and categorise transactions, allowing you to get a real time snapshot of how and where you spend your money.
Set some goals and create a budget
The best way to achieve that goal or objective that is important to you is to create a budget. Once you’re clear on your goal and you have placed a dollar value on it, you can then use a budget to ensure you achieve the goal. A budget helps you decide where to spend your money and creates a framework to keep you accountable.
As a financial planner our primary aim is to assist clients to achieve their goals and objectives. More often than not, we find that by starting with the basics of budgeting and ensuring you understand how you spend your money and where you want to end up, we can formulate strategies that allow you to take control of your money and be in the best position to achieve what’s important to you.
Of course, for this all to work, budgeting requires discipline. By partnering with a financial planning professional you are engaging a coach to keep you accountable to the goals you have set yourself. Together we can help change your spending habits and progress financially, whether that’s reducing debt, saving for a house or building your investment assets.
The benefits of managing your cash flow
Did you know that if you paid an extra $100 a month towards a $500,000 mortgage at 4.00% p.a. you could potentially save $29,041 on interest payments and 2 years off your home loan? Using the latest tools with MoneyBrilliant we can assist and help you find the extra cash to achieve your goals.
*Example based on a $500,000 home loan for 30 years at 4.00% p.a. with original monthly payments at $2,387.
Speak to a planner at PFG today about how we can help you find extra money to achieve your goals
PFG Financial Services Pty Limited (ABN 23 052 977 189) and PFG Global Pty Ltd (ACN 161 691 103) trading as PFG Financial Services (Global) is an Authorised Representative and Credit Representative of AMP Financial Planning Pty Limited ABN 89 051 208 327 Australian Financial Services License 232706 and Australian Credit License 232706.
‘This blog contains information that is general in nature. It does not take into account the objectives, financial situation or needs of any particular person. You need to consider your financial situation and needs before making any decisions based on this information.
If you decide to purchase or vary a financial product, your financial adviser, AMP Financial Planning Pty Ltd and other companies within the AMP Group may receive fees and other benefits. The fees will be a dollar amount and/or a percentage of either the premium you pay or the value of your investment. Please contact us if you want more information.’