ADVICE | Savings Plans and Building Wealth
Have you ever calculated your net worth? Although daunting at first, it’s a helpful starting point to see where you’re at financially and to help you decide on some achievable goals. And it’s easy: subtract your liabilities (what you owe e.g. mortgage, loans, credit cards) from your assets (what you own e.g. home, super, savings).
Next, write your financial goal for the year. It might be to improve your net worth by a specific amount by this time next year, or to funnel money towards a specific debt, holiday or your child’s education.
At the end of the day it’s not how much you earn, but what you do with your money that makes a difference. Like most strategies, it involves getting your budget and cash flow system down pat. Once you have identified how much you can save and invest, then it’s about looking at how you best build the wealth.
This is where your adviser steps in and help you through the process.
Financial housekeeping tips and where we can help:
- Making a fresh start
- Sort out your savings
- Get your bills in order
- Be good to your future self
- Create a budget that you can stick to