New Year’s Eve is not the only day of the year for
making resolutions.
As the new financial year about to begin, Ipswich mortgage broker Jillian Clifford from Smartline gave Ipswich First her top 5 new financial year resolutions to consider.
Make a plan
The new financial year is an opportunity to sit down and work out your key financial goals, and how you are going to attain them. Talk to the important people in your life and together, work out what you want financially. Are you looking to buy a house? A car? Save more? Spend less?
The more realistic your financial plan, the more likely it is you will realise your goals. Work out your total income, taking your everyday lifestyle and spending habits into consideration. Know that the goals and timelines you set for yourself are achievable.
Implement a budget
If you don’t already have a budget, the new financial year is the time to sort one. Your budget is your assessment of expected income and estimated expenses. Ideally, your budget will tie in with your financial goals.
Planning to buy a new home in the next few years? See if there are any expenses you can minimise to save up that deposit. Looking to do some big renovations in the next six months? Increase the amount of savings you set aside each pay to ensure you can afford them.
Improve your financial literacy
Did the end of the 2017–18 financial year cause you a headache? Make sure the next EOFY doesn’t make your head spin, by improving your financial literacy. There are dozens of handy tools out there to help you out. The Australian Taxation Office (ATO) and ASIC’s MoneySmart websites have valuable tips and information, or consider signing up to a free online course or Smartline blogs.
Boost your super
Consider bumping up your super contributions this financial year. Not only will it mean your retirement savings get a boost, but if you’re a first home buyer you could also be increasing your chances of entering the property market.
The First Home Super Saver Scheme implemented by the federal government last July allows you to make voluntary super contributions of up to $15,000 per year, which you can use to buy your first home. These contributions will be taxed as super rather than at your normal tax rate, which will help you to save. Talk to your tax adviser or the ATO about your eligibility.
Seize opportunities
Whether you’re refinancing your mortgage, getting started on renovations, or taking advantage of the recent first home buyer grants and concessions to buy your first home – seize the day. And if you need some support to help make those dreams a reality, seek professional help.
