Tag Archives: 2020

5 Ways To Be Better With Your Money This Year

A new year is a great time to check over your finances and determine your short and long-term goals. While many people want to spend less and save more, following through is the hardest part. Here are 5 simple ways to be better with your money this year.

Track spending on non-essentials

Your essential expenses rarely vary month-to-month, such as rent, mortgage repayments, groceries and car maintenance. However, non-essential purchases can have a significant impact on your saving goals. Think takeaway food, tickets and coffees. By tracking spending, you can figure out the best ways to save money. You might find that you’re spending several hundred a month eating out and might forego a meal out or choose a less-expensive restaurant.

Use the 24-hour rule for purchases

With online shopping so prevalent now, it is very easy to find yourself browsing your favourite stores. A great way to avoid impulse purchases and wasteful spending it to implement the 24-hour rule – wait 24 hours before purchasing an item. Take the time to decide if you genuinely want or need the item. Chances are you will decide that you don’t need it. If you still really want it after the 24 hours, you know that it will be a worthwhile purchase. For more expensive items, consider a one-month rule.

Get a money buddy

Money is a taboo topic for most people. However, talking about money can help you reach your goals and feel a little less alone. Trying to achieve financial goals can seem never-ending, and people may become disheartened. Find a friend, family member or co-worker who has the same financial goals as you, and pair up to motivate and keep each other accountable.

Enlist the help of professionals

Guidance can be essential to financial success and saving more. At The Farm Protectors, our strategic advisers will help you reach your goals, improve your health and ensure you have adequate protection against any future contingencies.

We’re here to help you reach your goals, now and into the future. Take strides this year to bridge the gap between where you are now and where you want to be.

Take Control of Your Super in 2020

Change your financial future for your better by taking control of your superannuation in 2020. Here are just a few ways that you can start boosting your superannuation to fund your retirement.

Look for lost superannuation

Communication with superannuation funds can sometimes get lost, especially when changing jobs, addresses or your name. If you have more than one super account, you’ll be paying more than one set of fees. Combining all your accounts into one fund will save you thousands of dollars of your career.

Check your payslips

It is a good idea to double-check that your employer is contributing the correct amount into your superannuation fund. The amount on your payslip should equate to 9.5% of your pre-tax ordinary time earnings. If you can’t find this information, check with your employer to ensure they are paying contributions into your account at least quarterly.

Contribute more

You can make payments into your superannuation fund, on top of the 9.5% your employer pays on your behalf. Contributing to your fund can make a big difference to your future. You can make either concessional or non-concessional contributions. Concessional (before-tax) are made before you pay tax, such as the contributions made by your employer or salary sacrificing. Non-concessional are contributions made after-tax, where you made personal contributions into your account from your take-home pay or savings. You can contribute up to $25,000, inclusive of your employer’s 9.5% payment.

Check your insurance cover in your super

Most superannuation funds will offer insurance cover when you join. This can include Income Protection, Death and Total & Permanent Disablement Cover. While insurance through your super can be a cost-effective way to protect you and your family’s future, it can be one of the most significant costs involved. It is essential to check your insurance cover to ensure that it suits your current needs and lifestyle, and does not double up with any cover you have outside your fund.

Get in touch with the team at The Farm Protectors to take control of your super this year.

Look Out for These Business Changes in 2020

There are lots of changes happening this year, including new regulations, state elections, and overseas events like Brexit. It would be best if you kept an eye out for these changes, as they could have an impact on employers and business owners in 2020.

  • The Single Touch Payroll (STP) 12-month penalty waiver will finish at the end of this current financial year. This means that from 1 July 2020, penalties will be applied if companies fail to comply with the new digital reporting system. Small businesses face up to $1050, $2100 for medium businesses and $5250 for large companies. Make sure you have your lodgements in on time!
  • A new law came into effect from 1 January 2020! Employers are now banned from using any salary sacrificed contributions towards meeting their superannuation guarantee obligations, regardless of the amount employees elect to salary sacrifice. Employers are required to pay 9.5% of the employee’s ordinary time earnings (OTE) base, the amount before any salary sacrifices are made.
  • The Paid Parental Leave Act was amended on 1 January. The work test has been changed to allow more women to qualify. The government have extended the break between working days from eight to 12 weeks and now allow women to move their work test period if they stop work due to a workplace hazard.
  • From 1 January 2020, eligible employees with multiple employers can apply to opt-out of receiving super guarantee from some of their employees. This will help individuals to avoid unintentionally going over the concessional contributions cap.
  • Keep an eye out for the federal budget out in early May. The government is facing increased pressure to boost the economy, so there could be some positives for small and medium businesses.
  • There are several reviews and inquiries currently underway that may affect companies in 2020. These include the aged care royal commission, Insolvency Practices Inquiry, and a review into Supply Chain Financing. Findings will be handed down this year.

If you have any questions about how these changes could impact your business, please contact the team at The Farm Protectors today.