Managing the Rising Cost of Living: Tips from a Financial Planner

It’s no secret that the cost of living in Australia is rising. In fact, it’s been consistently increasing over the past few years.

This is a problem that affects many Australians, particularly those starting to think about retirement.

However, there’s good news.

If you’re starting to think about taking a step back from work, there are a number of ways to manage the cost of living. And with the help of a financial planner, you can find solutions that work for your unique situation.

Our financial planners, Mark, Daniel, Prue, and Joseph share a few simple tips on managing the rising cost of living.

  • Review your current expenses and identify what you will and won’t need in future years. Consider making changes now rather than later. This may include cutting back on unnecessary costs, such as entertainment and dining out.
  • Make a budget and stick to it. Do this for your current lifestyle as well as your future lifestyle. This will help you keep track of your spending and ensure that you’re not overspending.
  • If you are not already, then consider investing in income-producing assets*. This could include property, shares or managed funds. These investments can provide you with an additional source of income, which can help offset the cost of living and support your retirement.
  • Save for unexpected expenses. It’s always a good idea to have some money set aside for unexpected costs, such as medical bills or car repairs. This will help you avoid going into debt if something unexpected comes up.
  • Seek professional advice. A financial planner can help you assess your situation and develop a plan to manage the cost of living now and into your retirement. They can also provide you with guidance and support, which can make a big difference when it comes to managing your finances.
How can a financial planner help

As financial planners we understand the financial pressure being put on families and individuals and the current challenges being faced. Particularly the rising cost of living.

Many think of financial planners as focused on providing advice to help people build a nest egg for long-term goals, like retirement.

However, a financial planner is so much more. Alongside helping you plan for the future we can help you manage your finances and make sure you are getting the most out of your money – now and into the future.

For example, if you’re finding it hard to manage the increasing cost of living, we can help you develop a plan and find ways to save money. We can also offer advice on how to invest your money so that you can build wealth over time.

A financial planner can provide peace of mind and help you navigate through these difficult times.

If you are concerned about the rising cost of living and the impact it may have on your retirement, contact one of us today. As qualified financial planners we will be able to offer guidance and support so that you can make the most of your money.

Email: Mark Reidy
Traralgon Office
Email: Daniel Bremner
Moe Office
Email: Prue Cox
Drouin Office
Email: Joseph Auciello
Moe Office
Wealth for life

Remember, wealth is more than just money. It’s about financial freedom.

Wealth for life means having the flexibility to change your financial planning as your life and circumstances change.

If you’re like most people, your cost of living will continue to increase as you get older. At the same time, your ability to earn an income may decrease. That’s why it’s important to have a financial planner who has your interests at heart and can offer the flexibility to change your financial planning as your life and circumstances change.

Make the most of your money and ensure that you’re always prepared for whatever life throws your way. With our help, you can navigate future changes and enjoy financial freedom and peace of mind.

We offer a wide range of services, including retirement planning, estate planning, investment advice, and more. Contact Mark, Daniel, Prue, and Joseph today to learn how we can help you secure your financial future.

Email: Mark Reidy
Traralgon Office
Email: Daniel Bremner
Moe Office
Email: Prue Cox
Drouin Office
Email: Joseph Auciello
Moe Office
Phone Mark Reidy
Traralgon Office
03 5120 1400
Phone Daniel Bremner
Moe Office
03 5120 1400
Phone Prue Cox
Drouin Office
03 5120 1400
Phone Joseph Auciello
Moe Office
03 5120 1400

We can help you find solutions that work for your unique circumstances and ensure that you’re on track to meet your financial goals.

* This information is general in nature and does not take into account your personal goals, objectives or financial situation. Personal advice should be sought prior to making any investment or strategy decisions. RGM Financial Planners Pty Ltd ABN 36 419 582. AFSL 229471.

Material contained in this publication is a summary only and is based on information believed to be reliable and received from sources within the market. It is not the intention of RGM Financial Planners Pty Ltd ABN 36 419 582 Australian Financial Services Licence Number 229471, RGM Accountants & Advisors Pty Ltd ABN 69 528 723 510 that this publication be used as the primary source of readers’ information but as an adjunct to their own resources and training. No representation is given, warranty made or responsibility taken as to the accuracy, timeliness or completeness of any information or recommendation contained in this publication and RGM and its related bodies corporate will not be liable to the reader in contract or tort (including for negligence) or otherwise for any loss or damage arising as a result of the reader relying on any such information or recommendation (except in so far as any statutory liability cannot be excluded).

Liability limited by a scheme approved under Professional Standards Legislation.

Decision making your way to the best outcome

Throughout our lives, making a decision is something we do thousands of times a day. Our first thought occurs as soon as we wake, and our final thought when we drift off to sleep. Researchers have found on average, that most people will have approximately 6,200 thoughts per day.i

Having so many thoughts requires us to make thousands of decisions. Whilst majority of these decisions are simple and will have no significant consequence, there are times when more difficult and complex decisions will need to be made and require creative thinking techniques and a deeper thought process to ensure a more successful outcome.

Deep thinking vs shallow thinking

Two types of methods can be used when it comes to decision-making and while neither is right nor wrong, it’s important to understand the difference between the two and choose the method that works best for you and the situation. After all, if we all thought the same way, life would be pretty boring right?

Deep thinking requires effort and mindfulness and someone who is considered a deep thinker will usually look at the whole chain of events throughout this thought process. They will explore different pathways to reach different outcomes and have a greater understanding of the consequences based on that specific decision.

Contrary to deep thinking is shallow thinking, and these decisions are instinct-driven – they are made immediately. This type of thinker is decisive and won’t necessarily spend time exploring different pathways to reach an outcome or consider the consequences of their decisions as much as a deep thinker would.

Can you learn to become a deep thinker?

Some may say, with so much technology and information on hand, shallow thinking is now far outweighing the deep thought process and we are losing the ability to use these creative thinking skills to make certain choices. Our attention span is limited; we are distracted easily, therefore our thought process is constantly being interrupted, meaning we spend less time thinking about the outcomes of the choices we are making.

There are several steps you can implement to learn how to become a deep thinker. Firstly, you must fully understand the situation in detail – what is being asked and what impact it will have – only then, can you spend time creating a constructive environment to make decisions. In creating a constructive environment, you will need to determine whether other people should be included in this process.

By including others, you have the opportunity to take into account other people’s ideas. This is a fantastic way to explore ideas that you may not have previously considered and give the process the time and attention it deserves. Once you have reviewed all options, you can determine the risks and impacts of each, then decide what the best outcome is likely to be.

Alternate ways to make decisions

Some decisions won’t be as complex or require the same level of creative thinking to make the right choice. Some alternate options could be as simple as – sleep on it. While this may seem like a ‘no brainer’, this can be one of the most effective ways to make a decision. While you are sleeping, your subconscious is still hard at work.

Talk to friends, relatives, or colleagues whose opinion you value – they can offer a different perspective if you are unsure about your decision.

Schedule a specific time in the day to help you focus – do you do your best thinking in the morning, afternoon, or evening. Remember, to focus completely, you need to remove all distractions during this time – turn off your email notifications and put your phone on silent.

If the decision is work-related, try delegating tasks as this could help reduce stress if work is piling up.

Change your environment – going for a walk or meditating can help you relax which then allows you to free space in your mind and shed new light on the way you think.

No right or wrong

Remember, there is no right or wrong when it comes to making decisions. Whether they are personal or business-focused, by applying some of these methods, you may alleviate stress and reach a better outcome when you next make a decision.


https://www.newshub.co.nz/home/lifestyle/2020/07/new-study-reveals-just-how-many-thoughts-we-have-each-day.html

Material contained in this publication is a summary only and is based on information believed to be reliable and received from sources within the market. It is not the intention of RGM Financial Planners Pty Ltd ABN 36 419 582 Australian Financial Services Licence Number 229471, RGM Accountants & Advisors Pty Ltd ABN 69 528 723 510 that this publication be used as the primary source of readers’ information but as an adjunct to their own resources and training. No representation is given, warranty made or responsibility taken as to the accuracy, timeliness or completeness of any information or recommendation contained in this publication and RGM and its related bodies corporate will not be liable to the reader in contract or tort (including for negligence) or otherwise for any loss or damage arising as a result of the reader relying on any such information or recommendation (except in so far as any statutory liability cannot be excluded).

Liability limited by a scheme approved under Professional Standards Legislation.