After such a strange year in 2020, can you learn from the experience and turn 2021 into your best year ever?
Take all the good bits from lockdown and use them to propel you to a better life next year.
You can spend less
We all discovered during lockdown that we can cook seven nights a week, exercise without the gym, and find cheap and cheerful ways to entertain the whole family. Hold onto some of those habits in 2021 to keep your expenses down and boost your savings, says Michael Cave, AFA, and director of Cave Financial.
“I discovered I could work out at home and walk, and it also improves my mental health,” says Michael. “All those activities you did that were free or cheap? Keep them in rotation and you’ll benefit financially and maybe in other ways, too.”
Think about your values
Lockdown was a time for reflection. Connections with family and friends felt more important, while overseas travel fell off our radar. Make sure you know what your values are so you can make smarter decisions for a better life in the year ahead, “instead of wasting money on stuff that doesn’t bring you true value,” says Michael. “Remember not to fall into the trap of ‘spending money you don’t have, on stuff you don’t need, to impress people you don’t like’.”
Whether you want to consolidate the gains of 2020 or put yourself in a stronger financial position in the future, 2021 is a great time to take action. It might be putting money into an emergency fund. Or finally investing for the future. Or maybe you can start saving more aggressively for property investment.
“You’ve had a chance to pause and reflect – now take some action,” says Michael. “If you need some advice to give you the confidence to commit to investing, talk to an adviser. When life returns to normal, you can use the lessons you’ve learned and the funds you’ve got to create future wealth.”
Don’t forget, all our property owner clients are entitled to a free one-hour appointment (online or in-person) with Cave Financial each year – get in touch to book yours in.