Lunar New Year money tips

Eight money tips for a prosperous Year of the Pig

The Year of the Pig represents wealth and fortune, a great time to assess your finances and make a plan to improve your financial position. Our eight money tips will help you to take the first steps to creating your own prosperity.  

1. Focus on your money goals

Create your own good fortune by setting your financial goals and priorities and have a plan in place to achieve them. Your goal could be to reduce your debt or pay off your home faster, increase your savings and build your wealth, or boost your superannuation. ASIC's MoneySmart website has calculators and tools to help you work out a plan to make it happen. 

2. Take charge of your money

The best way to take control of your finances is with a budget. Your budget enables you to direct your money to where it is needed most, so you can stay on top of your bills and put money towards your future goals. Use the free downloadable budget planner to plan where your money is going. 

3. Create a financial calendar

Stay ahead of your expenses by mapping out when big bills are due (e.g. rates, insurance, car rego, etc.) and when direct debits come out. Note when you may have to buy presents for people (e.g. birthdays, Christmas), or when you want to donate to charity.

4. Change up your spending habits

Small changes to your everyday spending can help your savings grow throughout the year. Try these tips:

  • Avoiding using your credit card for a month and only paying with cash
  • Cancel unused gym or online streaming memberships
  • Buy second-hand when you can to save money on clothes or household furniture
  • Instead of expensive gifts, give gifts of time and labour - such as babysitting, gardening, cooking a meal
  • Make and bring your lunch at home, rather than buying it.

Visit our page on simple ways to save money for more tips and ideas.

5. Track your progress

Keep track of your money goals this lunar new year by setting and tracking your spending. Use an app, write it down or keep track through your online banking transaction history.

The savings goals calculator helps you to work out how long it will take to reach your goal and the steps you can take to put your plan into action.

6. Clean house and clean up your home loan

Cleaning house is a Lunar New year tradition, and it's a great opportunity to tidy up your home loan. Check if you're getting the best deal on your home loan by:

  • Asking your lender if they can do a better deal on your interest rate
  • Comparing interest rates, fees and features with other lenders
  • Working out the costs of switching to another lender, such as exit fees, break fees and start-up fees, to see if it's worth it.

Use our mortgage switching calculator to compare the cost of home loans from other lenders.

7. Plan for your future wealth

It is never too early to start planning for retirement. Whether you are just starting your career, or beginning to think about life after work, our superannuation calculator can show you how much super you're likely to have when you retire. 

8. Become a savvy investor

Smart investors don't rely on good luck; they plan, research and understand their investments and how these fit with their financial goals.

Never invest in something you don't fully understand and consider getting help from an independent financial adviser. Seek to expand your knowledge through such things as reading investment magazines, following investing experts and the golden rules to invest smarter.

Whatever financial plans you put in place this Lunar New Year, make sure you make your money work hard for you. Happy Lunar New Year from ASIC's MoneySmart! 

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Last updated: 02 Aug 2019