Whether your New Year’s resolution is to start planning your long-term financial future, or you’re wanting to know more about securing your ideal retirement lifestyle and get some aged care financial advice, it’s never too early, or too late to start planning for your financial future.
Here are Wealth Connextion’s top 5 Strategies for planning your financial success in 2023:
Goals
Get Specific.
If you don’t know what you want in your future, you won’t be able to start investing in it. Whether it be planning for a holiday or your retirement, or building your savings or investing, knowing where you want your money to take you is the first step to increasing your financial success.
Setting concrete and tangible goals will help you understand where your money goes, and help you stick to investing in your financial future. There’s nothing like seeing your money working to get you closer to your goals, and to keep you on track.
Goal Example: You want to go on a cruise in Spring, you’ve done your research and you know that the cruise you want to do will cost around $5000. Calculate how many weeks away the cruise is.
Goal cost, divided by time in between, equals investment amount.
($5000, divided by 40 weeks = $125 per week to put aside)
Budget, Burn Rate and Cash Flow
A good budget will consider your burn rate and your cash flow.
Burn Rate
Your burn rate is how much money it takes to sustain your current lifestyle, and how long it would take until you ran out of cash. Burn rates are calculated on the assumption that you are not receiving any paycheques.
Cash Flow
Cash flow is what it sounds like, the flow of money that comes in and out of your finances. Understanding your cash flow, will help you gain a better insight of your finances as a ‘whole picture’.
Cash flow expenses consider:
- Income Streams
- Fixed expenses
- Discretionary expenses
- Taxes
- Savings
Superannuation
Superannuation isn’t just something for people considering aged care financial advice. In 2023, the age of retirement has been increased from the age of 65, to 67, and with most people expecting to live 20 years in retirement, starting your financial plan for retirement should start sooner, rather than later. Your future self will thank you!
You can learn more about superannuation here.
Debt
When left unchecked, debt can creep up and take a stronghold over your weekly cashflow and budget, and will impact your futures financial success. Seeking financial advice to help you create a ‘debt master plan’, is a great first step to help you tackle any debt you may have.
Review and Revitalise
Life happens, inflation goes up and interest rates fluctuate even throughout one calendar year. Revisiting your financial goals at planned, regular intervals throughout the year will mean you are staying on top of your money, and not letting any money go to waste. This is where Wealth Connexion can really help you invest in your future self, and increase your financial success for 2023.
No matter what stage of life you are at, Wealth Connexion can help you plan for your financial future, whether that be giving you aged care financial advice, or setting out a long-term wealth and financial strategy.
