Whether you’ve been affected financially by COVID-19 or not, money is likely to be top of mind for you during this time. You might be rethinking your spending habits or you might be looking closer at where your money is actually going. So to help you out, we’ve put together a few tips to help you make the most of your money right now.
Review your utilities
Your power, phone and internet will have been pretty important during the lockdown, but now that we’re returning to normal, are there changes you could make? Is there another internet provider that’s offering a better deal than you currently have? Even if you don’t want to switch, sometimes just chatting to your current provider about what others are offering might earn you a discount!
Face up to your debt
It’s not something we really like to admit or look too closely at, but if you have debt, it’s important that you acknowledge it and make a plan. There are a few options available to you, such as consolidating your debts or taking advantage of incentives the government is offering for those affected financially by COVID-19.
Check out your KiwiSaver
Your balance may have taken a dip recently, but there’s time for it to build back up again. Especially now, it’s important that you’re in the most appropriate fund for you so that you can have the best chance at growing your savings.
Don’t forget that you can also receive $521.43 worth of free money from the government if you’ve been regularly contributing – if you’ve stopped, make sure to put in at least $1,042.84 before June 30 if you can to automatically get this top up in your KiwiSaver fund!
Figure out your biggest expenses
It could be that all of the little things have been adding up, but more often than not, it’s the big expenses like your mortgage and your vehicle costs that really put a dent in your finances. Do you need to swap your gas guzzler for a more economic runabout? Can you cut down on your weekly grocery shops?
Now might also be a good time to check in on what the interest rates are on your home loan.They’re the lowest they’ve ever been in the market at the moment, but breaking your current loan to take advantage of these might not be the best idea for you. It’s a good idea to engage a mortgage adviser to give you the pros and cons!
Sort your emergency savings
You might have used your rainy day savings already, and that’s totally fine, but make sure to build it back up as soon as you can. Especially during times like these, you want to have that extra cash to fall back on. In case of another financial crisis in your life, such as an emergency or a loss of income, it’s a good idea to get prepared as soon as you can. It doesn’t have to be a lot to start, but even putting $5 or $10 aside regularly will help in the long run!
If you want to take a look over your finances, whether it’s to check out your mortgage, see if your KiwiSaver is right for you, or you’d just like help with putting a budget in place, we can help.