Life gets so busy and the months soon roll into years when suddenly you find that your finances are off track and you’re nowhere near achieving your goals. Instead of thinking it’s all too hard take a few moments to review the following tips.
Set your goals using the S.M.A.R.T. principle:
- Specific: What exactly do you want and how are you going to do?
- Measureable: If it can’t be measured, you can’t manage it.
- Attainable: Can it be achieved in your situation?
- Realistic: Is the goal beyond your capacity?
- Timeline: How long will it take to achieve the goal?
Learn from The Richest Man in Babylon
The foundation of this time-honoured book is to pay the most important person first – you! Preferably save at least 10% of your earnings, more if you can.
Manage your debt
Not all debt is bad, so make sure you know the difference. Manageable debt that helps you improve an asset or increase income can be a better choice.
It’s time, not timing
It is impossible to know when it’s the “right time” to invest. Start now and invest regularly to benefit from market ups and the downs.
Spread it around
Invest your money in a variety of assets. This can help to reduce the risk and increase the benefits.
Try not to focus on daily financial reports. Worrying as your investments seesaw is not conducive to smart money management. Invest well and for the long term.
But stay focused
Regular reviews, say half-yearly, are a good idea. Revisiting results after a set timeframe reduces knee-jerk reactions that you may regret later.
Don’t become a statistic
Fraudsters are getting smarter. If you are promised something that seems too good to be true, it probably is. Always check with us before investing.
Refer to a professional
Managing money is an emotionally-charged exercise. As licensed financial planners we can help you to reduce your stress, so you can relax and enjoy the whole experience. If you need a hand, give us a call.
This article 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.