Change is inevitable. We have experienced change for the past few years and have learned to adapt to the world in which we are living. Getting control of your finances is about going back to basics and looking at what changes need to be made.
Know your Income Vs Expenses
If you haven’t already, take stalk of your income and expenses. This is the most basic financial exercise to go through. Review your bank and credit card statements and see what is coming in and going out. Write it down. Start with outgoing non-negotiable bills like mortgage, utilities, loans, childcare or school, and any other financial commitment you have. Then outline necessary expenses like groceries, clothing, gas, sports, and entertainment. Once you see these lists, it becomes clear if you need to make any changes or are finically equipped to continue your lifestyle. Even if you don’t need to adjust, you may want to consider saving more than usual so you have a little extra disposable income if necessary.
Define Your Financial Goals
It is recommended now more than ever to have clear financial goals and be able to work towards those goals. This exercise allows you to participate in where your money is going and, as much as possible, get your money working for you. Creating clarity in your financial life by getting back to the basics of budgets, controlled spending, and making smart choices that will allow you to live within your means. As wallets tighten, it is about finding an alternative to aspects of our lifestyle that will save some money and allow us to live fulfilled lives.
Know Your Options – Work with an Expert
Scotiabank has reported that the average cost of a home in Canada is 7x the average annual disposable income. Do you fit into this narrative, or can you manage your home and mortgage despite the interest rate changes? Working with an expert who can review all your options (even some you may not be aware of) will ensure your money is working for you. At Gail Sylvester Mortgages, we can review where you want to be and how to get you there by getting back to basics!
Give us a call or book an appointment today.