2016 could be the year that you pay off your home loan, or free yourself from debt – or purchase your first home or investment property. Why not make your New Year’s resolution to be better with your budget and save some money?
These tips are designed to help you make the most of your budget and gain your financial goals for the year to come. Try and see how many of these hints you can accomplish yourself and who knows what financial doors you’ll be able to unlock?
By introducing some eco-friendly and power saving measures in your home you could shave hundreds of dollars off your quarterly energy bills – especially during summer and winter when the cost of cooling and heating is sure to skyrocket. You can do simple things like turning appliances off at the wall when they’re not in use, using cold water on your washes or going all out and getting some solar panelling installed! You could even end up selling the energy you create back to the grid.
LPG as an automotive fuel often costs less than half the cost of standard unleaded petrol. While the initial cost of getting an LPG tank installed in your car may be high – you’re going to save more money on fuel in the long run. That money can then go straight to your mortgage or help you to get out of debt. While you’re at it, the more relaxed and laid back your style of driving the more fuel-efficient your car will be. Ease up on the accelerator and save even more money!
Do you have wildly different rates on every source of debt that you have? Maybe your mortgage is at a reasonable interest rate, but you have an out of control personal loan? Or your credit card is costing you more on repayments than you’d prefer? A simple solution to this is debt consolidation. All of your debts can be lumped together in one easy to manage and easy to pay account – this means less money to keep track of, and sometimes even a lower rate, which will free up your finances.
It’s surprising how many people don’t follow this ages old, simple piece of financial advice. Sit down and figure out how much you earn (your income), and then factor in your fixed expenses (phone and internet contracts, mortgage repayments, rent etc.) and an average of your variable expenses (bills, groceries, travel, fuel). The leftover figure is what you can afford to either spend or save as you see fit! Following the theme of this blog – it’s pretty highly suggested that you save the excess for something like a home loan or put it towards paying off your already existing debt, rather than buying that jet ski or guitar you’ve been eyeing off.