Take a simple financial health check-up
19 August 2021
5
min read
This spring, give yourself an annual financial health check, including your superannuation, to make sure you’re on track to achieve your ideal retirement.
Just like regular checks to maintain your health, the start of a new season may be an opportunity for you to review how you’ve done money-wise over the past 12 months and plan for the year ahead.
How to check your financial health
As a result of the coronavirus pandemic, a lot may have changed in the past financial year for you. It may be helpful to start your financial check by analysing where you have come from and where you are heading financially.
Identify your goals
You may have made significant progress on your financial goals in the past year. Perhaps your goals have changed. You could analyse how your finances have performed against your goals and what may have impacted your success.
Evaluate changes in your personal situation
You might consider if there have been changes in your personal situation in the past year, or if there may be some in the near future? This may include getting a new job, getting married, growing your family, buying a house, getting a divorce, or retiring.
You may need to adapt your goals as well as your spending, saving and your investments. Giving yourself the opportunity to revise your goals as your life changes, and time to adapt to any changes, may help you feel confident about maintaining your financial health.
Steps that may improve your financial health
Just as you may commit to make changes to improve your health in your traditional New Year resolutions, committing to small steps has the potential to help you improve your financial situation all year.
Here are 5 steps that may help you feel more confident you are keeping your finances healthy
A large goal may seem too difficult to reach, so you could break down your savings into small, bite-sized chunks. Many people don’t realise just how small changes can add up over a year. Saving $10 a week means you have more than $500 extra by the end of the year.
Here are 10 ways to save money.
Whether it’s boosting your super by an extra $10 or $20 a week above the compulsory contribution employers make, or starting a small investment portfolio outside of super, investing a little money can be a way to improve your future financial health.
Inside super, depending on your circumstances, salary sacrifice may be a beneficial way to save because of its tax benefits.
Superannuation rules may change, so it’s vital to know how they may impact you. There’s also plenty of free super information available. The Australian Securities and Investments Commission’s moneysmart website1 has information and calculators to help you predict how your nest egg will grow. You can also access our calculators and seminars to help you get the most out of your super.
Professional guidance can give you the knowledge you need to help you make confident choices today so you’ll have the finances you need to live the life you want in the future.
As a QSuper member, you have access to online advice or over the phone advice2. Learn more here.
5. Check your progress regularly Show content
Once you’ve set your financial goals, you can help ensure your financial future stays on track by setting aside a small amount of time regularly to check your bank and super accounts, spending and progress.
There are a couple of ways you can check if your super is on target, such as comparing your super balance with the average of other people of the same age, or by looking at the estimated balance you should have at each age to achieve a comfortable retirement.
1. ASIC, Moneysmart, Free calculators, tips, and guidance, accessed 8 June 2021
2. Deciding what is best for you will depend on your personal circumstances and you may want to seek personal financial advice to get the most from your superannuation. You can find out more about financial advice options at qsuper.qld.gov.au/advice