Empower Your Financial Future: Essential Steps for 2024

As we welcome 2024, it’s the perfect time to align our finances with our aspirations. Just like resolutions for health and well-being; financial planning is key to a prosperous and stress-free life.

Here’s how you can take charge of your financial future in 2024:

1. Reassess Your Budget: The cost of living has risen in recent years. Begin the new year by reviewing your budget with a fresh perspective. Gain a clear understanding of your income and expenses and prioritise your financial objectives for the year ahead. This is crucial in times of high inflation which affects everyday expenses.

2. Evaluate Your Emergency Fund: In an ever-changing economic landscape, ensure you have sufficient emergency savings. Typically, this means having three to six months’ worth of expenses in an accessible account. This fund is your safety net against unexpected life changes. You can use an offset account for this as well. The key here is to have access to cash.

3. Strategise Your Debt Management: Start the year by reducing and consolidating debt. Utilise any additional income, like pay increases or bonuses, to pay off high interest and non-tax deductible debt. Consider consolidating your debts to simplify your payments and potentially lower interest rates.

4. Review Your Financial Goals: Regularly check your progress towards key financial milestones, especially retirement savings. Seek advice to implement strategies to stay on track or set new objectives, such as increasing your retirement contributions and accumulating growth style assets.

5. Revisit Your Investment Allocation: Align your investments with your life stage and financial goals. As retirement nears, consider a more conservative approach. Periodic rebalancing is crucial to maintain your desired asset allocation and manage market volatility risks.

6. Update Estate and Insurance Plans: Begin the year by ensuring your estate plan is current and reflects your wishes. Also, review your life insurance and income protection coverage to match your family’s needs and your financial situation. If there have been significant changes in your life or assets, it’s time to update these plans.

Remember, it’s easy to lose sight of resolutions as the year progresses. Stay committed to your financial goals by regularly consulting with your financial adviser.

If any of the above resonates with you, feel free to reach out to ST Wealth. Kristian and Andrew are available to discuss how they can assist you in accomplishing your financial goals in 2024.

Kind Regards,
The ST Wealth Team