Category: Money Matters
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Sub category: Saving
7 March 2019

Spark joy with your finances

If you’ve recently been folding, sorting and questioning the things that you own, you too have discovered the joy of a minimalist lifestyle.

It’s no wonder that with wardrobes packed full of last season’s clothes (and the season before); tidying up and decluttering has become a new obsession.

While organising every part of your home gives you a winning feeling, could you use the same approach to neaten your finances? We say, yes you can.

Here’s how you can tidy up your finances:

Organise your accounts

Managing your spending and saving can sometimes feel messy, but multiple accounts can be a great way to organise your funds, and handle your day-to-day spending.

Your spending

Your everyday spending can be  managed using your transaction account. They almost always come with a debit card allowing you to withdraw cash, set-up regular payments as well as tap and pay when you’re out and about.

Most people get their salary paid into this account and simply transfer their savings into a savings account each month. Elizabeth Warren, a Harved Bankruptcy expert  suggested that depositing 20% of your salary or pay into your saving account is a great way to achieve your savings goals.

Your saving

If you’re saving, you’ll certainly know the feeling from seeing your savings grow. To help you feel joyful more often with your savings, simple follow these tips:

Many people don’t have just one savings goal, there may be a long-term goal to save for a house deposit and a short term savings goal for that European holiday.  A great way you can keep track of your savings and keep your goal front of mind is by creating two separate savings accounts and naming the accounts after your goals. To learn how to make savings more personal read this blog.

Neaten and categorise your money

 Now that you’ve spruced your savings, you can also get your monthly budget in-line.

Handy budget calculators can help you to work out how much money you have, and where you’re spending it each month. Look at your transaction history for the past month to work out where you’re spending your money.

Think about your outgoings such as:

  1. Rent
  2. Monthly bills
  3. Insurance and medical costs
  4. Transport
  5. Car costs
  6. Food shopping
  7. Lifestyle

Once you have these costs, deduct these along with your savings payments, and Voila you now have your monthly budget. This is when you can look at your overall spending and work out if there are some things you can reduce your spending on so that you can reach your savings goals sooner.

De-clutter and get specific with your goals

Your accounts and goals may be set-up and organised, but every good goal needs a plan.

The first step, is to know when you want to achieve each goal. While some are long-term, some can be reached sooner, and organising your time frames allows you to plan how much you need to set aside.

A saving calculator helps you work out your payments, and once they’re transferred each month you can sit back and watch the amounts grow.

As a little helping hand, you can also turn on Everyday Round Up on your Orange Everyday, which automatically rounds-up what you spend on card purchases to the nearest $1 or $5, popping the additional amount directly into your Savings Maximiser account from the Orange Everyday. 

Tidy-up your spending

Finally, when your finances are as organised as a perfectly folded wardrobe, you don’t want to be cluttering either up again. The best way to achieve this is to reduce your spending.

Stick to your list

Before you hit the shops, try and put together a list to keep you on track with your spending. Meal planning before a big food shop may help you reign in any food cravings on the way around, and helps you to minimise any leftovers at the end of the week.

Don’t stray with sales

Even the best list-maker can stray slightly when the sales are on. It may be tough, but even those new season shoes at 20% off, aren’t a bargain if you don’t need them.

If you spot something that you want when you’re out and about, make sure you’re not impulse purchasing by thinking it over for at least a day. You don’t want it to be on the ‘no’ pile two months later.

Finally, with a new de-cluttered account set up and some streamlined savings plans in place, you’ll have finances you can be proud of.

Everyday Round Up

Feature applies to card purchases only. Customers must opt in to Everyday Round Up and select to round up to the nearest $1 or $5. When you spend with your Orange Everyday card, we’ll transfer the extra amount from your Orange Everyday to your nominated Savings Maximiser. A round up will not be debited if doing so would reduce your Orange Everyday balance below $20. Full details at ing.com.au.

 

The information is current as at publication. Any advice on this website does not take into account your objectives, financial situation or needs and you should consider whether it is appropriate for you. Deposit products, savings products, credit card and home loan products are issued by ING, a business name of ING Bank (Australia) Limited ABN 24 000 893 292, AFSL and Australian Credit Licence 229823. ING Living Super (which is part of the ING Superannuation Fund ABN 13 355 603 448) is issued by Diversa Trustees Limited ABN 49 006 421 638, AFSL 235153 RSE L0000635. The insurance cover offered by ING Living Super is provided by Metlife Insurance Limited ABN 75 004 274 882, AFSL 238096. ING Home and Contents Insurance is issued by Auto & General Insurance Company Limited (AGIC) ABN 42 111 586 353 AFSL Licence No 285571 as insurer. It is distributed by Auto & General Services Pty Ltd (AGS) ABN 61 003 617 909 AFSL 241411 and by ING as an Authorised Representative AR 1247634 of AGS. All applications for credit are subject to ING's credit approval criteria, and fees and charges apply. You should consider the relevant Product Disclosure Statement, Terms and Conditions, Fees and Limits Schedule, Financial Services Guide, Key Facts Sheet and Credit Guide available at ing.com.au when deciding whether to acquire, or to continue to hold, a product. Before interacting with us via our social media platforms, please take a minute to familiarise yourself with our Social Media User Terms https://www.ing.com.au/pdf/Social_Media_User_Terms.pdf.

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