A recent Australian Securities and Investment Commission (ASIC) report, found that 1 in 6 Aussies are struggling under a mountain of credit card debt, with outstanding balances now totalling $45 million.
With the start of the new financial year, now could be a good time to get started on clearing your debt. Help keep yourself on track with these 20 everyday possible ways to save.
- Get your partner on board – If you have a partner then making sure that you’re both communicating and agreeing about your financial priorities is important.
- Reduce your vices – Do you smoke, Drink? Have an addiction to coffee? Whatever your vice, make a conscious effort to cut back. Healthy and wealthy – a double benefit.
- Learn how to cope with stress without spending – Buying things can be an easy way to relieve stress, but it’s not always good for your wallet or your mental state. Find a healthy and sustainable way to relieve stress and both your mind and your wallet will thank you.
- Stick to one shop per week – Doing one large shop rather than several small ones cuts down on impulse buys, takeaway and wastage. Plan ahead and write a weekly meal menu so you can get all ingredients you need at once.
- Use your own coffee machine – According to a businesses.com.au article, the cost per cup from an office coffee machine lies between $0.40 and $0.60. If you compare this to the average price of a cup of café brewed coffee in Australia, which is currently between $5-6 per cup, there are definitely savings to be had by brewing coffee at home.
- Taking a cut lunch to work – Packing your own lunch or snacks a few times a week could save you a whole lot of cash. You will also be more inclined to make healthier choices when you prepare your own lunch and could cut back on your calorie intake.
- Make school lunches at home – If you have children, making school lunches at home rather than using the tuckshop could save hundreds of dollars and give you more control over what your child is eating.
- Pay your bills on time – avoid late fees and grab a discount – Paying your bills on time is a great way to keep your credit record clean. If you struggle with your bills, consider setting up a regular repayment amount to even out the cashflow. Some energy providers will also offer a discount to customers who pay on time.
- Check how much interest you are paying on your credit card – If you owe money on your credit card, check what interest rate you are paying. Credit card interest rates can vary from less than 10% to more than 22%.
- Phone your bank – Even a small discount could save thousands over the life of your loan.
- Shop around for your car insurance – The cost of a comprehensive insurance policy can vary by over one thousand dollars per annum.
- Review your health insurance – Health insurance can be another great place to make savings.
- Review your personal insurance – including your life, total and permanent disability, trauma and income protection insurance. Some of them can be paid via your superannuation fund.
- Update your telecommunications contracts – There are hundreds of different phone plans. Review yours periodically to ensure that it’s cost effective.
- Review your electricity and gas options – Being on the wrong plan could be costing you. Also, consider making small changes such as washing your laundry in cold water.
- Car pool when you can – If you are going to the same destination, get your friends or family together and car pool.
- Track down your lost super – One in three working Australians have lost track of some of their superannuation, to the tune of around $18 billion. Track down your lost super to potentially increase your retirement nest egg by thousands of dollars.
- Cancel memberships you don’t use – If you’ve got a gym membership, sports club membership, or something similar that you’re paying for but not using, look into cancelling it ASAP. You could be throwing money away.
- Check your family is registered for the Medicare Safety Net – If eligible, ensure that you and your partner are registered as a family for the Medicare safety net, rather than as two individuals. This will lower your Medicare safety net threshold.
- Salary sacrificing – In some work places you can salary sacrifice goods and services.
If you are struggling to make ends meet talk to our professional team today on (03) 9744 7144 about how we can help you with your financial situation.