Autumnal Financial Tune Up
Written by Ray Phung
As the end of the financial year approaches, it's a critical time for individuals and businesses to evaluate their financial situations and ensure everything is in order. Whether you're a seasoned investor, a small business owner, or simply managing your personal finances, a few key tasks can help you finish the financial year strong and set yourself up for success in the year ahead. Here is a general checklist of essential to-dos:
Review Your Budget: Start by revisiting your budget to assess how well you've managed your finances throughout the year. Identify areas where you overspent or underspent and adjust your budget for the upcoming year accordingly.
Check Your Tax Obligations: Ensure you're up to date with your tax obligations and deadlines. Organise your financial records and receipts and consider prepaying expenses or making deductible contributions to minimise your tax liability.
Evaluate Investment Performance: Review the performance of your investments to see if they're meeting your expectations.
Assess Debt Levels: Be aware of your debt levels and evaluate whether they are manageable or whether you can refinance.
Maximise Superannuation Contributions: Take advantage of opportunities to boost your superannuation savings by making additional contributions before the end of the financial year. This can help you maximise tax benefits and build stronger retirement savings.
Review Insurance Coverage: Ensure your insurance policies provide adequate coverage for your needs. Review your policies for home, auto, health, and life insurance, and make any necessary updates or adjustments.
Set goals for the year ahead: Start thinking about your financial goals and priorities for the upcoming year. Whether it's saving for a major purchase, investing in further education, or growing your business, having clear goals can help you stay focused and motivated.
Seek Professional Advice: If you're uncertain about any aspect of your finances, don't hesitate to seek advice from a member of the Salt team. They can provide personalised guidance tailored to your specific circumstances and help you make informed decisions. As part of our end of financial year service, our team at Salt offer tax planning to all our clients to provide key strategic analysis and advice with respect to things such as helping you minimise your tax liability within the parameters set by the ATO and assessing whether your cash flow and after-tax profits are aligning with your goals and objectives.
By completing these essential tasks as the financial year draws to a close, you can ensure you're in a strong position to face whatever the future may hold. Remember, proactive financial management is key to achieving long-term financial security and success.