4 money moves to make in 2024
Want to put yourself in a great financial position this year? Here are four ways to supercharge your money goals!
👋 Welcome to the latest issue of How To Money by Kate Campbell – the newsletter that talks about all those money things you wish you learnt in high school.
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Dear How To Money Reader,Â
A very happy New Year to you and your families 🎉
The 1st of January is often the date when we start reflecting and resetting after a busy year. Of course, we can make changes to our finances at any point during the year, but there’s something special about this particular day.
With the cost of living challenging us all over the past year (or at least 92% of us, says research from Aware Super), there’s been no better time to focus on our finances and set ourselves up for success this year.
So with that being said, what should we be doing with our finances over the next year?
🎧 Prefer to listen to podcasts? My co-host and I on the Australian Finance Podcast recently unpacked these four things you can do to put yourself in a better financial position this year.
Automate the good things (like saving & investing)
How can we use technology to reduce decision fatigue in a world where we make up to 35,000 decisions daily?
Automating my finances has been a game changer.
I don’t have to make additional decisions every month when I’ve got a lot on my plate.  Â
Here are some of the things you could consider automating:
Money into your savings account after you get paid
Money into your investment account (or into your portfolio if your broker offers automated investing)
Money into your super fund
Your credit card to be paid off in full each month
Your mortgage or rent payments
Your bills like electricity, gas, water, health insurance & NBN
Regular calendar reminders to review your budget and financial goals
Review ALL of your regular payments
On the flip side, companies can use automation against you.
You know those free 7-day trials that require your credit card or those sneaky subscription renewals that happen with no warning?
Set aside an hour to go through all your regular expenses and identify what can be cancelled, downgraded, renegotiated or switched to a better deal.
Remember, in the world of money, loyalty doesn’t pay, so be savvy!
Create a cash buffer to get through unexpected expenses
If you’ve got your emergency fund sorted (this might be 3-6 months of essential living expenses), it’s worth building up a separate cash buffer (e.g. $1,000).
I can’t tell you the number of times a ‘surprise expense’ has popped up that, while not an emergency, doesn’t fit into my budget.
Having a cash buffer makes it easier to budget and prepare for the chaos of life.
Set yourself a north star to work towards
Look, I get it. We’re not all goal-setting diehards.
For some people, making progress is enough, and that’s awesome!
But I think it’s really important to work out what your north star is, the thing you’re doing it all for.
Maybe it’s for financial freedom or a backpacking trip around Europe when you finish uni.
So pick something to work towards this year.
✅ Over to you
As we run head-first into the new year, I thought I’d leave you with a few questions to reflect on regarding your finances.
Remember, you don’t have to make a drastic change on the 1st of January.
Rather, taking small steps every day will lead to meaningful results by the end of 2024.
How did you feel about your finances during 2023? How do you want to feel about them in 2024? What changes (if any) do you need to make to start feeling better about your finances?
What actions are you taking to set yourself up for success this year? Can you break this down into monthly, weekly and possibly daily mini-goals?
Think ahead to this time next year. How do you want your life to feel? What financial goals do you hope you’ve achieved? What can you do now to make sure you don’t run into too many roadblocks on your way this year?
Cheers to our financial futures,
Kate Campbell
Thanks for reading
Thanks for reading today’s issue of How To Money. If you enjoyed what you read, I’d really appreciate it if you could share it with a friend, family member, or colleague who you think might like it too.
✨ If you’d like to support my journey, the best ways are to:
Buy a copy of my book, Buying Happiness: Learn to invest your time and money better through Booktopia*, Amazon or order it through your local library.
Subscribe to my podcast (The Australian Finance Podcast) and leave a review.
* Please note: I will receive a small payment if you use my Booktopia affiliate link to place your order.