Happy Father’s Day
Many Australians observe Father’s Day on the first Sunday of September which this year fell on Sunday 2 September. We hope you enjoyed the celebration and spent the day with family and loved ones. As a parent, you would know from your own experience the cost of raising children from birth through to adulthood is significant and quite overwhelming!
So, at this time, it reminds us that we all should be reviewing our finances and ensuring that our savings plan is geared toward our financial goals.
No matter if you’re saving for an education for your children, a new car, a holiday, your retirement or just a rainy day, saving for a goal is a great way to try and avoid getting into debt and giving yourself the best chance to lead your desired lifestyle. With the suitable advice and an investment strategy in place, you could reach your savings goal sooner.
Accelerate your savings goal
Getting your finances in order can be an onerous task, however with a little guidance, this can be a rewarding experience. One way you can accelerate your savings goal is by talking to your Financial Adviser about making more of your income and assets. You could consider the following four steps as the starting point for your savings goal:
- Set a savings goal – what do you ultimately wish to save for and how much is your end target?
- Set a budget – know the amount you need to save and break this into an amount per pay you need to set aside to reach your goal.
- Choose an investment option – once you know how much you are going to save, you should consider the investment vehicle that will balance investment return with your risk tolerance and the timeframe in which you will need to access the funds.
- Who should own the investment – whose name should the funds be invested in to achieve a return on your investment and allow you to access the funds when needed?
There are several different investment vehicles for savings and the preferred option, along with who will own the investment, will vary based on your savings goal and budget. Options include:
- Insurance Bonds
- Term deposits
- Managed funds
- Direct shares
- Education plans/Scholarship funds
- Family trust
- Child maintenance trusts
There is no right or wrong investment solution or preferred structure. It depends on many variables including your personal financial situation, your tolerance to risk and your individual savings goal. Aim to start saving early, to save regularly and to enlist professional advice to help you navigate through the maze of options.
If you feel you, or a member of your family, would benefit from getting your finances in order and perhaps starting your investment and savings plans, why not contact our office and make an appointment to discuss your individual situation and options? We would love to hear from you!
If you enjoyed this article please feel free to share it.