12 Personal Finance Tips to Help You Achieve Financial Freedom

1. Make a plan

Set reminders about when to pay bills to avoid risking late payment and high interest fees, ideally in order of which will rack up the most interest the longer you wait – usually your credit cards. Our Vancouver Licensed Insolvency Trustees can help.

2. Budget your net worth, not income

Your salary and extra sources of income, less the money you need to pay bills is a more realistic perception of your actual take-home. After all, you can only save what you have. Debt solutions in Vancouver are available as needed.

3. Set financial goals

To stay on track, it will help to map out what you want to achieve. Make small goals, splitting them up if necessary to simplify them and avoid getting discouraged. You will benefit by planning out where your money will go in a realistic timeline.

4. Treat yourself well

Generally, people who follow a good health and fitness regime will extend this practice to their finances. Adopting a positive attitude and friends with similar good habits can also help you improve the financial aspect of your life.

5. Avoid any debt

If you already owe money, focus on paying it down immediately. The more debt lingers, the more it will grow. Paying off even small amounts at a time adds up. However, if you feel as though your debt is becoming uncontrollable, consult a Vancouver Insolvency Trustee.

6. Do not co-sign

It can be hard to say no to friends or family members who ask for help, but co-signing a loan puts you in a vulnerable position. Essentially, they are responsible for your credit score, which will be negatively impacted if they miss any payments. Instead, suggest they meet with a bankruptcy trustee in Vancouver.

7. Investigate before getting a loan

Avoiding private loans for your education is a good idea because governmental sources afford greater flexibility to pay them off. You should also try to negotiate mortgage payments so they are less than 28% of the income you make each month.

8. Shop smart

Simply spending less to save money makes sense, but poor quality items can end up costing more in the long run. Shabby events or vacations, likewise, feel unsatisfying. An item you wear 100 times, or an experience you thoroughly enjoy, is a better investment.

9. Retire smart

Most people dream about retiring, but not everyone plans accordingly. Saving money is an integral part of the process – without it, the reality of not working is worrisome. Avoiding any prior withdrawals from your RRSP can be vital.

10. Keep track of your credit

Spending well below your limit each month, paying bills on time and not accumulating debt on your cards should give you a good credit score. Either way, it is necessary to be aware of your standing and how you appear to potential lenders. Debt solutions are available in Vancouver if you discover any problems.

11. Get more insurance

Your employer likely provides a basic life insurance policy, but adding more is helpful if something should happen to you. Home, content or even renters insurance also protect against natural disasters, robberies and other incidents.

12. Separate chequing and savings

Keeping money allotted for spending and saving in different accounts will help distinguish between the two. This is even more effective if they are at different institutions, making the money harder to transfer.

Require Assistance?

At Crowe MacKay & Company, we have over 60 years of experience and offer free initial consultations. If you have any questions regarding the information above, contact our office today and start your debt relief journey.

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This article has been published for general information. You should always contact your trusted advisor for specific guidance pertaining to your individual needs. This publication is not a substitute for obtaining personalized advice.

If you require corporate or personal Insolvency services, Crowe MacKay & Company provides custom solutions for clients, allowing them to live debt-free.

by | Nov 27, 2016 | Debt Relief Canada

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Our Licensed Insolvency Trustees are experienced and qualified to answer all your questions about personal and corporate debt. From identifying imminent financial trouble to providing commercial and personal debt relief options, we are committed to educating you so you feel confident and informed. Depending on your income, the amount of debt you have, your monthly financial commitments, and your future goals, we can recommend the best way forward and assist you with all legal and documentation processes.