Here are some budgeting tips for Australians who are trying to look for ways to save money on a tight budget. There are many of them we could talk about, but these five are pretty key:
The first question is, are you planning to sell your property or aren’t you? This may surprise some of you, but sometimes the best way to reach a financial goal is to cash out on recent gains in the real estate market and downsize, or move somewhere less central (but nicer), and take advantage of the resulting liquidity.
Regardless of whether you want to or are in a position to sell or not, here are some other tips to keep your finances in good general order:
– Define your financial goals in the short and long term. Talk it through with all concerned. Commit it to writing.
– Start small and commit to it. Real wealth takes time to build. There is a long set-up period and then it snowballs, just like construction seems to move at a snail’s pace until the foundation is done, then it goes like crazy.
-Have an accountability partner you can talk about money with. Nobody can do it entirely alone. You need a support network of at least one other person to give you outside perspectives. It’s really mind-blowing the things that one person can miss that even two people can catch, working together.
-Reduce your bank fees. There are better deals out there. Don’t be a sucker for the convenience of the huge banks with the massive networks of machines etc. Think outside the box.
-Find savings on food, electricity and water. This sounds like the hardest item on the list, but it’s really the easiest. Use LEDs if you’re not doing so already for substantial savings, for instance. Take quick cold-water showers every second day for enormous savings on the water bill. There are lots of options here.
If you do decide to sell and take advantage of current market conditions, don’t be afraid to seek help in preparing for a sale. Real estate agents are not cheap, but a good one is worth his or her wait in gold. Their expertise will get you a better price for your place, but even more importantly, they will get it for you much more quickly, and time is money in this business as it is in any other.