Heading into a new year is a good time to assess your financial situation and plan for a prosperous year ahead. Whether you’re aiming to buy a first home, pay down an existing mortgage, or simply improve your financial wellbeing, being proactive about reaching financial success is a sure-fire way to accomplish more with your money. Follow these three steps to help build more wealth and improve your financial stability in 2024.

Step 1: Do a Comprehensive Financial Check-up

Financial success begins with a holistic view of your current financial situation. Beyond simply scrutinising your mortgage, it's essential to assess your current income, debts, budgeting, investments, insurance cover, and retirement savings. Conducting a thorough review of your finances will help you prepare for any unexpected financial challenges that may arise this year.

• Revisit your budget by assessing your income and expenses and setting your financial priorities for the year ahead.
• Check in on your emergency fund. An emergency fund can help keep you financially afloat during tough times. As a general rule of thumb, saving three to six months’ worth of living expenses is ideal.
• Consider taking steps to help reduce or consolidate your debt. Reducing the number of loans you’re carrying will simplify your finances and ease money stress.
• Review your insurance and get advice from an insurance broker to check you have the right level of cover for your current circumstances.

Step 2: Explore Refinancing Options

Fluctuating mortgage rates and changing market conditions could signal an opportunity to refinance with a view to enhancing your financial standing. By leveraging cash contributions from new lenders and securing lower interest rates, you can potentially unlock significant savings over the life of your loan.

• Position yourself favourably for refinancing by demonstrating responsible financial behaviour.
• Avoid unarranged overdrafts, prioritise paying debt on time, and regularly check your credit report for any discrepancies.
• Consult with a financial adviser to explore refinancing options that fit your financial objectives and free up extra funds for other financial priorities.

Step 3: Boost Super Savings

Superannuation is a cornerstone of retirement planning in Australia, offering a powerful means of accumulating wealth for the long-term. By actively managing your superannuation, you help maximise its potential to secure a comfortable retirement.

• Consider increasing your contributions, taking advantage of employer contributions and leveraging government incentives to bolster your superannuation savings.
• If you’re selling your family home to downsize, get advice about Downsizer Contributions to ramp up your Super with up to a $300,000 contribution.
• Get financial advice to ensure you're investing in the right fund with the most suitable provider for your circumstances.

Preparing for Financial Success

Achieving a financially successful year takes careful planning and considered decision-making. By prioritising financial check-ups, exploring refinancing options, and maximising Superannuation, you’re helping prepare for a prosperous year ahead.

Connect with a Mortgage Express broker in your region today, to get personalised advice tailored to your unique financial goals. Our team is dedicated to helping Australian homeowners and would-be homeowners navigate the complexities of mortgage management and financial success.

While all care has been taken in the preparation of this publication, no warranty is given as to the accuracy of the information and no responsibility is taken by Finservice Pty Ltd (Mortgage Express) for any errors or omissions. This publication does not constitute personalised financial advice. It may not be relevant to individual circumstances. Nothing in this publication is, or should be taken as, an offer, invitation, or recommendation to buy, sell, or retain any investment in or make any deposit with any person. You should seek professional advice before taking any action in relation to the matters dealt within this publication. A Disclosure Statement is available on request and free of charge.

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