Devil in the detail
Picture: BRADEN FASTIER TEMPTATION abounds and the urge to spend now and worry later is tough to beat.
Indulging in drinking, dining out, holidays, fashion, footwear or even cars are all great pleasures but most of us live beyond our means and fall prey to financial vices.
Rather than succumb to money’s seven deadly sins, repent and you willw save. MOST of us will never know hunger or deprivation deprivation, w with the opposite more likely.
Every year we throw away up to $ 10 billion of food — one in five bags of shopping or $ 1036 a year in each household, food rescue charity OzHarvest says.
You wouldn’t toss that sort of cash in the bin so take control of your shopping budget, write a shopping list, plan meals and don’t buy more than you are likely y to eat. MANY of us desire material possessionsns but while buying the latest smartphone or another pair of designer shoes might make you feel good at the time, spending more than you earn will soon land you in debt.
We owe $ 51 billion on credit cards with $ 33.4 billion accruing interest. While cash rates have fallen 2.75 percentage points since 2011 and mortgage rates are lower, the cost of using plastic has not fallen. So save yourself.
Switch to a balance transfer card and divide your debt by the number of interest free months, then make sure you pay those amounts religiously and switch to a debit card so you can’t overspend.spen LAZINESSL will le leave a hole in anyone’san hip pocket.pocket It may s seem tedious but everyone is capable of setting a budget.
Once you start paying attention to your daily, or weekly, spending habits you’ll soon see where to take action.
The classic example is the daily coffee. Cutting out just $ 4 a day will save you nearly $ 1500 a year .
Emma Blake
UNCONTROLLED D desire can lead to disastrous financial l decisions.
Acting impulsively or emotionally when it comes to money has caused many to lose their shirts - or worse.
A good rule of thumb is : If it looks too good to be true then it probably is.
Australians have lost $ 45 million so far this year, on scams ranging from false lottery prizes to fake charities and dating dupes, according to the ACCC.
“Scams succeed because they look like the real thing and catch you off guard when you’re not expecting it,” says ACCC acting chair Delia a Rickard. DON’T blame oth others for your financialfi problems or misfortunes, take control.
Financial feuds cost a fortune in legal bills.
And losing your temper at work will kiss goodbye to bonuses and promotions. omotions. WISHING you had a boat like James Packer iss not going to makek it happen happen.
Create your own path to wealth by starting an investment plan, even if this is salary sacrificing to your super fund to ensure a more comfortable, or early, retirement.
Another way to be better off sooner is by clearing your mortgage. Paying an extra $ 20 a week off a $ 300,000, 30- year loan could clear the loan three years sooner and save more than $ 37,000 in interest. An additional $ 100 a week can cut the loan by more than 10 years and save you more than $ 122,000 in interest st charges. TH THINKING yo you know ev everything is a mistake mistake. S Seek k fi financial advice, especially ahead of major life changes such as starting a family, buying a house or retiring.
If you feel out of control and drowning in debt, seek financial help from your creditors or speak to a financial counsellor.