Real Entrepreneur Mums RealMag Jan29 2018 | Page 14

Secure Your Financial Future Today

8 Finance Tips That Will Have You Ahead of the Game in 2018 .
Who doesn ’ t love this time of year ! New Year ’ s resolutions are in full swing , gyms are full , and everyone ’ s excited about the year ahead . It ’ s also the time many of us start thinking where on Earth are we going and how are we going to get there ? We start to make real plans to sort out our financial situation .
But where do you start ? As mothers and small business owners we ’ re managing the family unit and running a business . We manage the business finances and often the personal ones . And we need to stay on top of the day to day as well .
My job is to make the complex super simple . Here ’ s my 8 tips to get you financially fit for 2018 . 1 . Review your super
You probably read this all the time but seriously – review your super ! For many , super will be our single biggest asset outside of the family home . It ’ s worth your time and attention . Plus it ’ s awesome ! It ’ s one of the most important and efficient investments you will ever make . So , what can you do to make sure it ’ s working hard for you ?
CONSOLIDATE – If you have more than 1 superfund , consolidate . The more funds you have , the more fees you are paying . You may as well throw your hard-earned money down the drain .
FIND - Search for lost super . Chances are , if you ’ ve moved around a lot and / or changed jobs over your career , you may have lost track of some of your super . Head to www . ato . gov . au / Forms / Searching-for-lost-super / or search through your myGov account .
INVEST- Make sure your super is invested correctly for your age and stage of life , and attitude to risk . What does this mean ? If it ’ s a while until you retire you may prefer a “ growth ” option which has more exposure to shares and property . If you ’ re closer to retirement , you may choose a more conservative approach with more invested in cash and fixed interest .
2 . Save for your retirement
As a business owner , saving for your retirement usually isn ’ t top of your priority list , especially when trying to grow the business . The key is to put money aside no matter how little it may be . Your superannuation is going to fund your lifestyle after you stop working so it ’ s important to make it a priority .
TAX DEDUCTIBLE - Did you know that your super contributions could also be fully tax deductible ? Just another great reason to invest . To see if this applies to you , please consult a financial adviser or accountant .
MONEY FOR FREE - Depending on circumstances , you may be able to access the government co-contribution scheme . This can boost your super balance by an additional $ 500 per annum by making a small contribution of $ 1,000 to super each year from your after-tax income . To see if you qualify try the ATO co-contribution calculator - www . ato . gov . au / Calculators-and-tools / Super-co-contribution-calculator /
3 . Keep your finances separate
It may feel like opening a separate account for your business means more time on admin , but the opposite is true . Separate accounts makes it much easier to manage your business cashflow and complete the dreaded Business Activity Statement , each quarter .
There ’ s also less chance of missing any key deductions you ’ re entitled to when personal and business expenses are separate .
Additionally , one day you may want to borrow using your business income . By keeping things separate it ’ s easier to show the bank how your business is doing .
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