Top financial regrets - Here's how to avoid them!

Have you seen the Disney movie ‘Up’? While created for families and children, it certainly has strong messages for adults. Especially when it comes to financial regrets.

Carl and Ellie created a beautiful life together and lived happily in love. But Ellie had a dream - she wanted to go on an adventure together. They tried to save up for their adventure, but ‘life happened’ and they kept using their holiday savings to pay bills. By the time Carl managed to buy the ticket, they were both in their final years and for Ellie, it was too late. She passed away before getting to experience her dream come true.

Financial regrets are hard to accept. When looking back on these decisions, people usually think ‘Why didn’t I? I should have! It was just money!’ We don’t want you to experience similar financial regrets so we’re going to share some of the common regrets when it comes to money. And if you haven’t seen it yet, we highly recommend watching this gorgeous family movie.

1. Not saving enough money.

The Financial Planning Association of Australia conducted the Live the Dream Survey, asking Australians for their top financial regrets. More than 1 in 3 people said they regret not saving more money. Saving money is vital for financial health and success! If you’re someone who ‘isn’t so good at saving money’, it’s time to make a change. With clear goals and a set budget, anyone can become a great money saver. It can definitely be done and you will not regret it!

2. Poor financial planning.

More than 20% of the Live the Dream Survey respondents said poor financial planning is their greatest financial regret. Even if you choose not to seek advice from a certified financial planner, it’s still important to at least have a plan for your financial future. Your present budget and spending, your goals, your future financial plan and needs, investing your money - these are just a few of the areas that need to be addressed. Don’t assume that you need more money before you can plan, that you’ll be better equipped to sort it out later or that someone will save you. Take charge of your financial plan now so that you don’t regret it in the future.

3. Not studying enough.

While this regret might not seem strictly financial, we all know how great of an impact study can have on our salary! The Financial Planning Association of Australia‘s Live the Dream survey showed that almost 25% of Australians regret not studying more. The Australian Bureau of Statistics found that getting an education after leaving school can increase your average full-time weekly salary by $813 for men and $504 for women. If you’re considering further studies, it definitely seems to be worth going for it.

4. Not investing enough.

Almost 20% of Australians wished they had invested more money. One of the major reasons why people find it tricky to invest is a feeling of fear and not knowing enough about investment options. However, once these are addressed, your investments become another asset and income stream for yourself and your family. You’ll no longer be relying solely on your salary, and instead of sitting in a bank account or as cash, your money can grow.

5. Investing in the wrong things.

10% of the survey respondents said they regret their investment choices. Even once you know what you want your investment time frames and risk levels to look like, it can be hard to know where to put your money. As with the previous financial regrets we talked about, this is another one that a certified financial planner can help you with. We can match your goals with the right investment options to ensure you won’t regret it.