There’s an old-fashioned saying,
“Take care of the pence, and the pounds will take care of themselves”
William Lowndes (1652-1724)
Former Secretary to the Treasury of Great Britain
Meaning, that if you take care of the little things one step at a time, they can add up to big things; and this is why making small changes and creating good financial habits is important in financial planning, the small changes can make a big difference.
Creating good financial habits
In order to create good financial habits, it can take a little discipline and a change in mindset, setting a goal is often a great way to motivate you into taking action.
Here are a few things you can do to set good financial habits:
- Spending less than you earn is definitely a must if you are trying to create good financial habits. The best way to do this is to work out a monthly budget, incorporate bills, the cost of living and even some fun money, anything left over should go to a different account to be saved.
- Saving is a great habit to get into, there are so many different ways to save money, finding one that works for you is an important way of making sure you stick to it.
- You might be great at saving money but finding ways to grow your money will help build your wealth.
- Even if you get a pay rise, try to live off the same amount you had, all the extra money can go into your savings account.
- Only borrow what you can afford, and only borrow what you need to. Always consider your long-term goals when purchasing anything and ask yourself if it is worth the sacrifice.
- Insurance will help you protect your investments, talk to your financial advisors to see what is needed to safeguard yourself.
A financial plan tailored to you
B & M Financial on the Gold Coast are here to help you build a strong financial future, our approach is to provide you with an obligation-free meeting and discuss your goals and your current circumstances and work out how we can reach your objectives.
For sound financial advice on the Gold Coast, call B&M Financial.