Spring Clean Your Finances

Nothing about money is set and forget. Whether your finances include a budget, savings, loans, insurance, super or more, it's a good idea to dust them off from time to time and see if they need a freshen up. Here are our tips on how to rejuvenate your financial affairs this spring.

Freshen up your mortgage-  We usually give our home a good spring clean once a year, but looking beyond the furniture and all the other pretties in your home, do you regularly review your home loan?  Circumstances change over time, the loan that suited you when you first purchased your home may not be the best fit for you a couple of years down the track. However, it is important to spring clean your home loan every few years!  

Put a spring into your savings-Check the return you are getting on your savings and see if there are other financial institutions offering better rates.

Reassess your home and contents insurance- We all buy items for our homes from time to time, like appliances, furniture, TVs and electronic equipment. How long since you estimated the cost of replacing the entire contents of your home? Is your current contents insurance enough to cover what you have?

If you are a homeowner, you should also re-evaluate the cost of rebuilding your home. This is especially important if you have completed any extensions or renovations since taking out your home insurance policy.

Whip your personal insurance into shape- If you couldn't work for a long period of time due to illness or injury, would you still be able to cover all of your living expenses? If not, income protection insurance may help. 

Blow the cobwebs off your super- Tracking your KiwiSaver’s performance is an important part of managing your investment. With a range of providers and funds to choose from, even the smallest difference in annual earnings can quickly add up to a significant amount. To get the most out of your fund, it’s important you review your KiwiSaver at least every year.

Rejuvenate your budget- When you've spring cleaned the rest of your finances, it's a good idea to update your budget. Your income and expenses change over time, so having an updated budget will help you track what you're spending and calculate how much you can save towards your goals. Use the budget planner to start creating your budget.