From managing your assets more efficiently to reining in your spending, make 2013 the year of financial well-being
Once the Christmas pudding settles, it is time to consider your financial goals for the year ahead.
Whether you are looking to improve your bookkeeping skills, your property management technique, or reassess your mortgage, we have you covered with our essential checklist.
Effective property management is a skill best learnt with experience, but there are two factors that will help drive the success of your investment:
- Routine inspections
It is a good idea to conduct an initial inspection three to four months into the tenancy period, and then approximately six months thereafter. If it isn’t monitored regularly, the property can become damaged and you may end up re-signing a tenant who is not taking care of the property. Setting a schedule from the start will ensure you stay on track. - Tenancy agreements
Preparing to re-sign a lease should be considered approximately 10 weeks prior to the lease expiring. This gives you the time to re-negotiate rent and advise the current tenant of any rental increases. Planning ahead will also give you plenty of leeway if your tenant decides to move on.
Don’t let your bookkeeping go astray in 2013.
Keeping a tidy ledger of financial records and accounts is a lot simpler than you think – as long as you start off on the right foot:
- Bookkeeping essentials
It is important to stay up-to-date with your accounts throughout the year. In addition, it’s worth scheduling a quarterly check to ensure you are on track. This is a great way to control your spending, and to reduce some of the stress of tax returns when the time comes. - Make copies of your loan statements
After 30 June, keep copies of your loan statements. This will go a long way to creating a simple and smooth tax return, as well as avoiding unwarranted deductions.
Finally, you’d be surprised just how much money you waste over a 12 month period.
Whether you’re blowing cash on your daily caffeine fix, or paying excessive rates on your home loan, 2013 should be the year of better financial management:
- Budgeting basics
Unexpected expenses can arise at any time, so it pays to have a little extra cash stowed away for safe keeping. Prepare yourself a realistic budget that incorporates a monthly savings regime, and open up a high-interest account to grow your nest egg – as a general rule, you should be saving 10% of your regular income. - Home loan check-up
Re-evaluating your home loan annually can save you thousands of dollars over the life of the loan. You may find you can save money by changing the features of your loan or the loan structure.
The start of the New Year is always a great time to reassess your assets and finances. If you would like to discuss your financial aspirations, give us a call today.
