Three ways to maximise your savings
There’s really no great time to knuckle down and save money. As a social and spontaneous society, no one ever enjoys tightening their back pocket, declining invitations on the basis of their finances, or saying ‘no’ to the latest fashion trend. Yet, when you’re desperately trying to save for a home, or you’re eager to balance your finances after a property purchase, for most of us, it’s a matter of survival.
Thankfully however, with the recent (partial) lockdowns of many large-scale event venues, shopping centres and entertainment hubs, together with the direct order to ‘stay home’ directed by our state and territory leaders, there’s no better time, than now.
If the idea of tackling a ‘savings plan’ has your ears pricked, or you’ve hit a plateau in your current savings venture, or better still, you have recently purchased a new home (congratulations!!!) and now freaking out about how you’re going to afford your monthly mortgage, then let’s highlight three simple ways to combat your finances and get you on track to financial comfortability!
I know, I’m sorry I have to start here.
No doubt, the moment you mention your goal of buying, repaying or even just saving for a house, everyone asks about your looming budget. It’s the six-letter ‘thorn’ that somehow finds its way into everyone’s side, rearing its ugly head when they navigate a sticky financial situation. And although a gripe with most, budgeting can be the easiest and most effective way of seeing positive progress in your bank account.
When considering a budget, always start by outlining both your in-comings, together with your out-goings, whilst being as realistic as possible. Once you define the costs of your living expenses, including groceries, rent, insurances, daily coffee fix, etc, you’ll highlight a dollar figure that can be added to your savings, without meaning you skimp on your lifestyle.
However, if by completing this budget, you find yourself with a figure that isn’t going to allow you to progress in the time frame you had in mind, then that’s when a juggle of your budget is necessary. Look to find ways that you can increase your savings figure, by deciphering elements of your out-goings where you can be flexible, by reducing your commitment.
This sneaky little tip can often be forgotten when trying to reduce your expenses. Many people look to finding the best rate, or even worse, reducing the usage, and overlook the concept of bundling. If you know your utilities are all linked to the same provider, jump on the phone, and see what they can do, in order to help minimise your outgoings.
When you take the time to call and ask for their ideas and input into detailing the ‘right’ package for you, you can end up saving a stack! You may even find a bundle that offers you more, for less. Try this for your phone and internet, or your gas and electricity, or any utility that spreads across multiple areas. Many utility providers even offer generous discounts if you pay on time, so activate your opportunities and set a calendar reminder to maximise their offering! Even your insurances can be a great place to start, with some providers providing great bundles/savings when you pair your contents and car insurance together.
Give it a go and you may be pleasantly surprised at what you unveil!
Cut costs on entertainment
For many of us across Australia, these recent months have been a forced cut to our frivolous entertainment spending. For the majority of Victoria, suppression of our entertainment and ‘fun-funds’ continue, as lockdown 2.0 currently plays out across the state.
And as the rest of the nation begins to look forward, slowly sprouting from a deep winter’s hibernation, be mindful when re-engaging in this area of spending, remembering, it’s not about completely cutting out, but being inventive about how.
By setting minor guidelines around your non-negotiables, you’ll be able to determine a list of things can you limit and ultimately save on. Again, be careful in not stripping yourself completely bare of these things – we all know you need to let your hair down at some point, just be mindful of how you do it.
How we can help
Budgeting can be hard.
Setting goals and actually sticking to them can be even harder.
Our string of professionals can help you determine a clear end goal, making budgeting even more satisfying than first thought. From our in-house financial experts at Tango Loans, to our extensive network of on-the-ground agents, we can tailor an individualised savings outline together with a guide to securing the property of your dreams. Contact us today!