From keeping a close eye on where you’re spending your money to making sure your superannuation is managed properly...
SugarMamma.TV and Sass Financial founder and mother Canna Campbell shares her three simple but effective financial tips for busy mothers. Photo: Grace Alyssa Kyo | Go to www.sugarmamma.tv
1. Know what it costs
I don’t dare use the B word – budget in case you were wondering – but it is important that you know your family’s honest cost of living. Food, utilities, childcare, health insurance… even those family holidays and date nights out. We all conveniently downplay how much we spend and what our family’s lifestyle really costs. But the truth is, when we know and understand the cost of keeping our unit in the manner that we are accustomed to, we have a greater sense of our priorities and what we value and we then can make improvements that can further our financial security. So your first step is to do a budget (you can access a complementary one from my website). Once you see how quickly everything adds up, you can then assess each expense and decide what changes you want to make.
2. Emergency money
Financial stress is one of the biggest causes of anxiety and pressure on relationships, not to mention our physical health. But having a lump sum of cash saved up in either a separate savings account, or offset/redraw facility where you can readily access the money, can provide a much better quality night sleep and less need for that glass of wine. Of course the reality it is, saving can be a slow, boring and a painful process. However don’t aim to save a substantial chunk of cash overnight. Break it down into small manageable amounts and slowly add it to your emergency savings fund when you can. Slow and steady is better than nothing at all and you will feel the benefits very quickly.
3. Super mum
As busy, selfless mothers, juggling it all, our superannuation accounts get pushed to the bottom of the priority list and often vanish until 20 years later when we contemplate retirement. However this is seriously damaging and foolish (sorry to be harsh). Ideally you need to make sure that your superannuation accounts are consolidated into one account, the funds need to be invested in line with your retirement goals and you should be reviewing regularly to make sure that you are actively investing in your long term financial future. Investing in your superannuation today is a foolproof way of investing for your future lifestyle. According to research, one in three women retire with no money for their lifestyles once they cease work, which is definitely a worrying figure. Furthermore, women tend to retire on average $92,000 less than males due to the fact that they’ve had to take a career break or more flexible roles to accommodate looking after children and family but it doesn’t have to be this way. By taking care of your superannuation, contributing to it when you can and using the benefits of time with compounding interest, can really change your outcome. For more information, check out the SugarMamma.TV YouTube channel or subscribe to the website for a complementary budget.