1. Focus on what you have, not what you don’t have.
2. Recognise that every dollar you save today and every dollar of debt you pay off today, is an important step to the future you deserve. As long as you are moving in the right direction, and making progress financially you are in control of your future. Be patient. You will get where you want to be.
3. If you have credit card debt, pay off the highest rate debt first. And be sure to make at least the minimum payment due on all your credit cards. Look at a balance transfer where they are able to give you 0% interest for 18 months. Do NOT use the NEW card – all your new debt goes to 16% interest instantly!
4. If your employer offers you a salary sacrifice, be sure to contribute, even if it’s only a few hundred dollars per month (pre-tax money).
5. If people come to you for financial help throughout the year, say no out of love rather than yes out of fear. You should never loan someone money, unless you are certain it will actually help that person (not just enable more questionable behavior), and you can truly afford to offer help.
6. If you are buying a car – No F-leases! Don’t take out a car loan for something that drops up to 70% in value in the first 4 years; it’s a ploy car companies use to get you to buy more expensive cars. Cash for cars is best.
7. If you don’t yet feel like you are “good” with money, make it a priority to build your personal finance IQ in 2016. Ask for help/ guidance from us for any question you have regarding your finances. We have seen thousands of peoples’ financial situations over the past decade and from that valuable experience will be able to help guide you forward financially.
8. Check all your superannuation and insurance beneficiaries. Can’t remember who you named? That’s exactly my point! Make sure your money will go exactly where you want in the event something unforeseen is to happen.
9. Start measuring your net worth each month. We have found that what gets measured, gets improved. We have some fantastic and simple software solutions to help you with this.
10. Live below your means but within your needs. Follow this rule and you will always be powerful with money.
11. You are never powerful in life until you are powerful over your own money and how you feel, think and act with it. May 2016 be your most powerful year yet.
12. Don’t lose any money! That is Warren Buffet’s #1 rule about money. His #2 rule? Never forget rule #1 🙂