It’s hard to believe that the first quarter of the year is nearly over and many of us are still feeling the cost of Christmas debt. Add into this the school donation, activity fees for the kids and the holiday excess and it’s easy to understand how some people lose track of their finances.

Now is a great time to get back on track and plan for the rest of the year. Set yourself some achievable goals and stick to them. Make sure you allow yourself some fun and have things to look forward to but make sure you can afford them!

Here are 3 ways to get back on track financially:

Stay within your limits

In today’s ecommerce world it’s easy to buy things that you can’t really afford. A good example of this is AfterPay. Afterpay allows retailers to offer their customers the facility to buy now and pay later without requiring traditional credit, upfront fees and interest. Thereby enticing the customer to purchase something  they cannot really afford. Payments are split into 4 equal amounts and paid off over the same amount of months.

This all sounds ideal if you can pay the funds back but if you fail to do so then the penalties are quite high. Remember if you are going to use facilities such as these only do it if you know you can pay it back or better still save your money and buy it when you can afford it!

Set a budget that is realistic

It’s really easy to set a budget but setting a realistic budget is something much harder. It’s fair to say that most people enjoy spending money whether it’s their yearly holiday or grabbing a coffee before work we all like to treat ourselves. But in order to spend money we must first have the money and this is where so many people go wrong. That’s where setting a budget really helps. Often we don’t realise how much we are spending until we write it down, and then it is often a huge shock to the system!!

So when it comes to setting a budget make sure you involve everyone that will be following it and agree on realistic targets. Make sure you leave enough funds to be able to treat yourself occasionally and use a tool to help you like this one.

Think about the future

When we talk about money it usually falls into 3 categories (i) the money we earn,  (ii) the money we owe and (iii) the money we save. The latter one is probably the one that gets neglected but is one of the most important especially when it comes to retirement age. Starting your planning early is key and speaking to an adviser will help you understand not only the importance of saving but will also help you put some goals in place for your future. An adviser can also help explain what you have currently got in place such as a Kiwisaver and what other forms on investment you may want to consider. Even if you are on a budget, planning for the future should be part of this!

The only person that can stop the train and get back on track is you, so don’t continue along your journey if you know it’s the wrong route. Stop, seek advice and plan your financials.

If you would like to speak to an FDG adviser then please contact our office on 09 486 6528 or drop us an email info@fdgl.co.nz