The hardest part of entering the property market is saving up for the initial deposit. Rent, electricity and gas are more expensive, health insurance is increasing at a rapid rate and flat whites are more than $4.50. That’s why we’ve written up a list of hints and tricks to help you get into your ideal home.
7 Tips to achieve your financial goals:
 Setting savings goals
First, you need to decide what you are saving for and what your goal is. Many banks are starting to incorporate this feature into their online banking and it is a very useful tool. You can set goals such as saving for a deposit for your new home or even planning your next dream holiday. The second step is the commitment to your set goals. In order to do this, your goals need to be realistic and achievable.
 Pay down your debt
Start with the highest interest rate debts and work your way down.
Most credit cards have interest rates of over 20%, making it one of the most expensive debs you can have and accumulate. Pay it down. Cancel your credit cards and stop the debt. Continue to reduce any other debts, such as personal loans. Just by doing this, you can free up cash to add to your savings account, and eventually reach your financial goals.
 Don’t fall for advertiser’s traps
Take a closer look at your impulse purchasing patterns.
Do you really need that new jacket or that 5th espresso martini or the latest iPhone? A lot of people fall into this trap, that’s perfectly laid out by advertisers. You don’t “need” that latest item immediately. Do yourself a favour and be more aware, so that you don’t fall into this trap. Second thinking the purchase might make you realise that you can’t actually afford it right now and it is definitely not what you need.
 See through the bargains
Don’t get sucked up into “sales” and “bargains”.
Often these are just gimmicks. A great deal is not a great deal if you don’t need it.
 Setting a budget
Figure out exactly what you can and cannot afford.
This might seem like a menial and boring task, but it has to be done. Why not make a date night out of it? Set up your budget with your partner and a bottle of wine. If you’re not sure where to begin, some simple budgets can be found on ASIC’s Money Smart website – https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/budget-planner
 Eliminate the luxuries
Although it is not fun, cutting down on the unnecessary luxuries is another effective strategy. Just remember that reaching your financial goals does not take forever. The harder you try now, the quicker you will reach your financial goals. Here are a few suggestions –
Things you can stop doing:
- Stop buying coffee on your way to work.
On average, a regular coffee costs $4.50. So making that coffee at home or work could save you $1,642.50 per year.
- Cancel all your unnecessary subscriptions that are unused.
For example – music apps, gym memberships, magazine subscriptions.
- Stop stress spending and impulse buying.
Swapping to cost-effective options:
- Consider using Netflix or Stan instead of buying DVDs or going to the movies
- Buying generic brands at the supermarkets
- Always comparing prices when shopping
- Swapping a night out for a night in
- Using public transport and avoid paying for parking
Things you can start doing:
- Sign up for rewards cards and receive discounts when you shop.
For example – Woolworths Rewards, Flybuys, etc.
- Pack your work lunch and save.
That’s approximately $75 a week and close to $4,000 a year.
 Review your expenses
Take a closer look at your regular monthly expenses.
Compare providers for all your major bills – think phone, internet, gas and insurances. You may even be able to save more by bundling all your insurances with just one company.
Remember to keep these hints in mind when you’re determining your savings goals. If you need any further assistance with time frames and budget planning, we will be glad to help.
Contact your Pacific Finance Broker on 08 9321 2120 or send us an email via firstname.lastname@example.org for more information on achieving your financial goals.