Money Matters: Making Smart Financial Decisions
We make many financial decisions every day. From the mundane (buying a cup of coffee or whether or not to eat out) to things that can have a bigger impact like getting a home loan. Whichever is the case, it’s best to be wise when it comes to your finances. And as you’re working towards a good future, you should start making smart decisions as early as possible.
Here’s what you can do to make better financial choices for the future.
Save. This may sound cliché but it’s the smartest financial decision you could ever make. Saving at least 10% of your pay can take you a long way in the long run. Make sure to set aside an amount every month. Make it a habit. You’ll never know when you might need the money.
Think of the future. Thinking long term is crucial to wealth building. Where do you see yourself 5 to 10 years from today? Is there something you want to save for?
Assess your finances. It would be wise to assess yourself financially before making any kind of buying decision, especially major ones. Knowing where you stand may help you weigh your options carefully. With an understanding of your current financial status, you can set up a budget that works for you.
Avoid making decisions in a rush. As with any other decision you make in life, it is best to think things through before reaching a conclusion. A financial decision which can have a major impact on your future should be given enough thought. Take time when making such an important decision.
Know the difference between wants and needs. Many fail to see the difference between wants and needs. This is one of the reasons why some make poor decisions when it comes to money. If it’s not something you direly need, perhaps you can set it aside in the meantime.
Don’t forget to reward yourself. Working towards a financially-stable future doesn’t necessarily mean you have to take the fun away. You can still make the experience enjoyable and rewarding by creating a budget for the things you enjoy and like. This could be a special dinner or a concert ticket. Just remember to stick to your budget.
Are you currently in need of financial assistance?
Intercorp Financial Strategies offers a range of top-rate professional financial services in Perth. With access to 30 lenders and over 300 products, we can provide loans that can be tailored to meet your needs. Call us or you may also directly email Bevon, the Managing Director of Intercorp Financial Strategies, at [email protected].