How Australians can save more money in 2018

HOPING to improve your bank balance? There are a few simple things you can do now to get your budget back and cash in your wallet.

FINANCIALLY-challenged Australians will be trying to wipe the slate clean and start the new year in better monetary shape.

While many will have bulging credit card bills and hefty holiday expenses to contend with, new Galaxy research commissioned by financial comparison website iSelect revealed 40 per cent are hopeful they can be smarter with their money in 2018.

Taking stock of your finances in the new year is important to ensure you get on top of your expenses. Picture: iStock

And to do this curbing expenditure on unnecessary purchases is one tactic Aussies are planning to take (49 per cent), while also cutting back on their energy consumption to help lower their bills (32 per cent).

ISelect spokeswoman Laura Crowden said the new year is the perfect time to try and improve your financial situation.

ISelect’s Laura Crowden said making a financial new year’s resolution is easy but it’s important that you make it happen. Picture: Supplied

“Making financial resolutions is the easy part but more difficult is actually following through,’’ she warned.

Record low-interest rates are expected to continue in the new year which is great new for those carrying home loan debt but not good for savers, particularly retirees, who often rely on interest payments.

Consumer finance expert Lisa Montgomery also suggested making “a couple of phone calls to your utility and loan providers”.

“You never know what you may get by way of discounts simply by making a call to your provider and tell them that you are looking for a loyalty bonus or benefit — just a small percentage decrease will mean dollars back in your pocket.”

Consumer finance expert Lisa Montgomery urges consumers to contact their utility providers and ask for a discount. Picture: Supplied

Wage growth has remained virtually non-existent and this trend is expected to continue in the new year — the government has forecast it to grow by just 2.25 per cent in 2017/18 which is down from 2.5 per cent predicted in the May budget.

Rising Tide financial services’ managing director Chris Browne encouraged people to take a few simple financial steps in the new year.

Rising Tide Financial Services’ managing director Chris Browne said Australians should stick to pay with debit and not credit. Picture: Supplied

“Axe your credit cards and start using debit cards,’’ he said.

“Set up a spending bank account because most people get their income paid into a single account and they go bananas until the next payday.

“Set your money aside to pay your living expenses in one account and leave the rest in a high-interest savings account.”

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