Jul 01, 2018  | Tags: financial review, financial advice, financial adviser

Our Insights

Any time is a good time to review your financial performance. But it is particularly front of mind at the end of the financial year, or end of the calendar year. 

A review will give you a better picture of where you stand financially and how to increase your wealth. 

Take this opportunity to give your finances a checkup with the following tips.

Take a Look at Your Goals

Did you reach any of your financial goals this year? If not, can you identify the obstacles that got in your way? What can you do to try to reach more next year? Should you set more realistic or more challenging goals?

Reassess Your Budget

It’s ok to keep living on the same budget you set for last year. But from here on out, you may need to reapportion the funds within your budget. For example, if the cost of fuel rose this year, then you may need to rework your budget so that you have more cash for fuel and thus spend a little less on new clothing.

Review Your Spending Habits

Even if you’re doing well at sticking to a budget you may still be able to identify some negative patterns in your spending behaviour. Can you save those stray dollars instead of spending them on impulse buys?

Replenish Your Savings

Did you successfully save up enough for a new car or the deposit on a home? That’s great if you met your goal. But just remember that life doesn’t end there. If you had to tap into your savings this past year, try to think of ways you can build it back up as soon as possible so you’ll always have something for a rainy day. Set some new short-term and long-term savings goals.

Refresh Your Investment Portfolio

There’s no need to take hasty action every time the market fluctuates, but it makes good sense to adjust your investment portfolio at least a couple times per year. Assess your risk tolerance at this point. You may realise that you either can take on greater risks or want to switch to safer investments. Refresh your portfolio accordingly at the end of each financial year.

Check on Your Insurance Cover

Will you be protected if you lose your ability to work? What will happen to your money if the worst happens to you?

Making sure your life, health and disability insurance coverage is up-to-date and sufficient for your circumstances will prepare you for whatever the next year may bring.

Get a Credit Report

A lender can recommend certain advice and products and put money in your hand just like a doctor can recommend advice and put medicines in your hand.

But a doctor won’t just give you powerful medication without first assessing your health. Likewise, a lender isn’t going to simply give you money without understanding your financial condition.

Understanding your credit situation means understanding your financial health so getting a credit report is the responsible thing to do. It will also help you find out how much you can borrow towards buying a home or some other new pursuit.

Analyse Your Super Fund

How is your super doing? Make sure that you don’t have multiple super accounts in your name. Consolidate your accounts into one fund and make sure it’s healthy.

Don't do this alone

For a truly expert and independent review, with added advice to help you make the right moves, talk to Calder Wealth Management.

Call us on (08) 8373 3333 to schedule your free initial appointment.

Written by Ben Calder, Private Client Adviser at Calder Wealth Management.