3 simple financial rules to live by

Happy new year! Here’s hoping you have a prosperous and peaceful 2020, and that all your hopes, dreams and new year’s resolutions come true.

It’s that time of year when a lot of people are picking up the pieces of their budget after the festive season and setting financial goals for the coming year. Because I’m a financial guy myself, I get a lot of people asking if I have any financial tips or advice. I’m not a personal finance specialist, but I’ve got a fairly simple and common-sense approach to how I manage my money: Save, invest, protect.

Save

If you do 1 thing this year, try and shift your focus from being a spender to a saver. Spend less than you earn. And put away some money for the proverbial rainy day. You can even get into the habit of putting all your loose change into a piggy bank in the kitchen – at the end of the year, you’ll have an unexpected little windfall.

Invest

I’m no investment guru. That’s why I have a financial planner, who works with me to make sure that my investments support my broader financial goals. But if your money isn’t working for you, it’s losing value. If you’ve got a lot of consumer debt, 1 of the best investments you can make is to pay off that debt as fast as possible.

Protect

It’s important to have plans in place to not only protect your current assets and investments, but also to protect the financial future of your nearest and dearest if something were to happen to you. Review your short term insurance to ensure that it covers your assets, and that you’re not paying too much. Do the same with your life and income protection policies, to make sure you and yours are covered.

The most important thing is to stop procrastinating and make a start. What are your financial goals for the year? For the next 5 years? If you don’t have a budget, make 1. Remember, a goal without a plan is just a wish. So get out there and smash some financial goals!