www.ParsFinance.com.au

1. 10 Tips To Be Money Smart
Source:
1. Plan a change
A lot of people dream of a better life, spending quality time with their family, travelling around the world, living in their
dream home, driving their dream car, work-life balance, early retirement, being their own boss and many other wishes. But
they don’t know where to start and what to do first. If you don’t know where you are and where you are going you are
probably not going anywhere.
Go for a FREE financial health check and get to know where you are now.

2. 2. Budget and save
By the time you pay all your bills, your mortgage and everyday expenses, including those cups of coffee and other odds and
sods, it can feel like your money’s just been frittered away into thin air. Tracking your money and doing a budget can help.
It shows you what you spend, how much you need, and where you can make savings.
Spend less than you earn and PAY YOURSELF FIRST!

3. 3. Credit card and debt
If you do have a massive debt, getting rid of it should be number one priority for most people. For starters, repay more than
the minimum required each month. Also think about setting up a direct debit to pay a fixed amount into your card debt
every pay day. Credit card debt can be the most expensive and the most destructive debt if you are not an advanced player
in the money game.
Ask for help to reduce your bad debt ASAP or it kills you!

4. 4. Protect yourself
Do not assume that you know how everything works coz it’s not always as simple as your car insurance. Talk to an
insurance broker, reviewing your position, budget and goals to find the best protection strategy and cover level that suits
you not the insurance company. Also always read the fine print!
It’s always worth paying an affordable premium
to protect what you can’t afford to lose!

5. 5. Grow, blow and mojo account
Scott Pape – the Barefoot Investor – often talks about diving income into these three buckets. Grow your concrete savings in
a high interest bearing account. Blow your daily and regular expenses by a normal low/no fees everyday banking account.
Mojo or emergency money account that hopefully you don’t have to use, but it’s always a peace of mind to know that it’s
there.
Re-structure your bank accounts to make the most of your money.
You can also save tax. Talk to your accountant or financial adviser!

6. 6. Superannuation
Super is one of the easiest and tax efficient ways to save money for your retirement coz your employer and your super fund
do all the work for you. It’s still your money and you’d better consolidate them in one place and keep an eye on it.
Do not just watch your super growing.
ASK experts how to make the most of it even before you retire!

7. 7. Mortgage
Keep updated on the interest rates and adjust your strategy accordingly. Keep making extra repayments and save thousands
in interest and cut years of your loan. Offset your savings against your loan and save tax too!
Ask your consultant or broker how you can get the milk out of your mortgage and you will be surprised!

8. 8. Tax planning
Tax planning is one step beyond your simple tax return. You plan how to spend and how to play the game to save more tax
in the future. Do not fly solo as it has to be done absolutely legally by qualified experts. You don’t have to and probably
don’t want to know all the boring accounting stuff. Let someone else do it for you even better, faster and on their own risk!
You don’t have to be a CFA to be tax wise.
Team up with experts, plan your work and work you plan!

9. 9. Buying your first home
Buying your first home is both exciting and nerve racking. It is a major decision that takes planning and research. Your
home is probably the biggest investment in your life, so it may be worth visiting a consultant before you step into the game.
You may have dark corners in your mind about the deposit, employment and saving records, loan options, pre-approvals,
final approvals, conveyancing, settlement, etc.
Spending about half a million dollar on your first home, it makes perfect sense to pay couple of thousand bucks to
ASK FOR ADVICE AND DO IT RIGHT!

10. 10. Start a business or an investment
If you do it right and persist, you will get to a point that you have big savings in your hand ready to do something with it.
This is the real turn that can change your life both in a good or a bad way. This is an area that you need another life time to
try and error things but you can get it right the first time when you ask the people who have already walked the walk.
If you are stupid enough to DIY, you would better not do it!
Instead, enjoy having some great nights by the beach!

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Tel: 03 9717 8186 Fax: 1900 970 848
www.ParsFinance.com.au
Book your visit today and we’ll work on it together!