4 simple tricks for reducing your expenses
Adhering to money-savvy tips doesn’t mean you have to turn into a penny-pinching master. Leave the coupon cutting to the scrimpers and savers in favour of these four simple practices to help reduce your everyday expenses and keep your money right where you like it – in your nest egg so you can enjoy the things that are important to you – like travel, activities and time with family.
1. Sign up for customer reward programs
It may seem like a hassle but once you get through the sign-up process, reward programs can really pay off. As well as earning points and reducing your shopping bills, you’ll be notified of discounts, sales, and at times be rewarded with gifts. Woolworths and Coles are great examples – at these supermarkets you can accrue points by spending money on petrol that goes towards your weekly shop. Another great resource to continually check is website, Weekend Notes, as it lists the very best loyalty programs in Australia so you can make the most of freebies.
2. Make your home more energy efficient
At one point most of us have been shocked that our energy bills continue to creep up, however, there are many ways to soften the blow. For example, if your home isn’t insulated, every time you use the air conditioner money is leaking through the cracks. Apply some weather stripping around doors and windows and watch your usage lower. Also, consider switching your light bulbs. According to The Simple Dollar, switching CFL and LED light bulbs adds up to at least $15 to $20 in energy savings over the lifetime of the bulb. Other handy hints include using cold water to wash your laundry and avoid leaving your devices on charge for longer than needed.
3. Evaluate your subscriptions
Have a good think about all of the things that you pay for on a weekly basis. You could be paying for Foxtel because you’ve always had it, but you now stream everything on Netflix. You may also be subscribed to a magazine you no longer read, or pay monthly membership to a club you barely visit. This exercise of cutting back could end up saving you around $20 here or there – which will add up fast.
4. Review your superannuation accounts
When was the last time you had a good look at your super account? As you begin to think about leaving the workforce and tick off the final to-do’s on your retirement checklist, it’s the perfect time to check what super accounts you have and if it’s right for you, roll them into one account – at the very least, think about the fees you’ll save. It’s a good idea to hunt around for a fund with low fees and strong long-term investment performance to see you through your golden years.
AustralianSuper financial adviser, Julie French, also suggests that retirement is also the time to consider speaking to an expert about your super. The main focus should be to evaluate if your account is still the most suitable choice. Consider looking into account-based pension, which allows you to draw an income from your super, and could offer some attractive tax savings. “Having a regular income means that members can meet their ageing needs, and plan to control and maintain the retirement income stream that they need,” Julie explains.
This article has been sponsored by AustralianSuper Pty Ltd ABN 94 006 457 987, AFSL 233788, Trustee of AustralianSuper ABN 65 714 394 898. The views expressed are those of Over60 and the interviewee and not necessarily of AustralianSuper. For more information about AustralianSuper, please visit australiansuper.com.