Namoi News

Featured Article

How You Can Become financially Flexible in 2019

How You Can Become financially Flexible in 2019

Julian Parsons - Sydney

Author: Kate Schwager/Monday, May 13, 2019/Categories: Narrabri, Wee Waa, Walgett, Other News, Rural News, Business

Rate this article:
No rating

What is financial flexibility?

Matt Balderston from Pure Financial explains that financial flexibility is the ability to become financially secure and the ability to maintain financial security regardless of what happens in the economy.

“Financial flexibility and the level of it will generally indicate how a person or company will fare when circumstances change or a financial crisis hits. In 2018, struggling Australian farmers had exhausted their access to the Farm Household Allowance (FHA) and had little means to cover of running their farms. On the 24th of July, SBS reported that National Australia Bank had introduced farm management deposits, which allow farmers to “remove money from their taxable income during good years to later use during tough times.” The new financial scheme allows farmers to accumulate funding that can be utilised when farming conditions worsen, thus allowing them more flexibility, and, as a result, financial security.”

Having financial flexibility ensures that you remain secure when your circumstances change or even enjoy more abundance when you retire. Moving towards financial flexibility means you will fare better if markets plunge, you’re unable to work for long periods of time due to health issues, or are suddenly made redundant and need to look for a new job.

How Can You Become More Financially Flexible?

Financial flexibility will increase your chances of moving your net worth from a negative value (in the red) to a positive value (in the black). It also maximises your chances of staying in the black.

Here are the steps individuals can take to get financially fit and flexible.

  • Assess your finances: It may seem obvious but before you can really take financial action, you need to know what the state of your finances is.

Start by assessing your net worth: Your net worth =Assets – Liabilities. Your assets are all the objects of value that you own and your liabilities are what you owe. You will also need to subtract how much money you spend from how much money you make. These calculations will highlight if you’re in the red or black.

  • Create a budget: break down your expenses. Monitor your spending behaviour over a few weeks and determine where you are spending. Document your spending and create a budget.
  • Plan ahead: After assessing your finances and gaining clarity on your spending habits, you need to create a plan of action.

Certified financial planner and Forbes contributor, Jeff Rose  illustrates that financial success “doesn’t usually ‘just happen’. It starts with a detailed plan, and a willingness to commit to that plan”.

You’ll need to plan how to get out of debt (if you have any) and if you don’t, you need to set some financial goals and plan out how you will work towards them.

  • Get out of debt: The next step is to get back into the black. Refer to your budget and determine where you can cut down spending and put money aside to repay your debts. At the same time, ensure that you are not accumulating more debts. Once you get back in the black, make sure you remain out of debt.

  • Start saving: Again, look at your budget and determine where you can make cuts to your spending and start stowing away money every time you get paid. It does not have to be a large sum to start off with, especially if you are in debt, but it should be consistent.
  • Consider life insurance: you may be the sole or main breadwinner for your family. Life insurance is important to have if that is the case. It means that if you are unable to work for long periods of time, life insurance will ensure that your family can still have financial security and meet its everyday needs.
  • Be Super involved: Anthony Keane from News  explains: “Do you have four superannuation accounts and have no idea where they are invested? Well – chances are your super is being eaten away by fees. So, take an active interest in your super, and invest it wisely. It’s your money.”

To learn more about how Super works, visit the Australian Taxation Office website. It is also important to note that the coming federal elections will influence Super, with both coalition and opposition set to make changes in Super – with Labor promising that

it will increase the Superannuation Guarantee from 9.5 to 12 percent” as reported by Nassem Khadim.

Invest: The management deposits scheme introduced to farmers by National Australia Bank enables farmers to stow away cash when they’re in the black. Similarly, you should be making investments when you’re in the black.

Max Funding’s startup business loan experts recommend “To start fresh. It’s the best decision you can make.”

There are many avenues for investment, such as the stock market, physical commodities and savings accounts. Anthony Keane recommends investing is avenues that have longevity rather than what is trending at the moment.

Jeff Rose advises clients to invest “no matter what the market is doing” and recommends that if “it's a bad time to invest, then simply cut back on how much you are investing in equities. But at the same time, continue accumulating cash and fixed income investments in your portfolio, that way it'll be there to buy when the timing looks a little bit more favourable.”

This advice may be important to remember, as David Chau of ABC reports that the Australian share market will be volatile in the first half of 2019, with Brexit, US-China trade relations and the Australian federal elections being major influencers. The share market is, however, “expected to rise more stable in the second half”.

Implementing the aforementioned steps will send you on your way towards financial flexibility.

Author Bio:

A Sydney-based university student, Julian Parsons is also a freelance writer. Julian is a business student and passionate about learning new things. You will see Julian in a coffee shop enjoying his time alone when he is not on his desk. You can get in touch with Julian through his email.

Print

Number of views (156)/Comments (0)

Local News

Department of Fair Trading - Supporting Local Communities Friday, May 24, 20190

Department of Fair Trading - Supporting Local Communities

As part of our commitment to supporting local communities, NSW Fair Trading invites you or a member of your association to attend a...
Information sessions: drought outlook and water availability, May and June 2019 6/7/20190

Information sessions: drought outlook and water availability, May and June 2019

NSW Department of Primary Industries and WaterNSW Community are running free information sessions on water availability, measures...
Boggari woman nominated for National Volunteer Week award Friday, May 24, 20190

Boggari woman nominated for National Volunteer Week award

Boggabri's Nellie Lincoln is among eight nominees in line for a National Volunteer Week award. Ms Lincoln was nominated for the time and...
Crash Near Wee Waa Thursday, May 23, 20190

Crash Near Wee Waa

🚨CRASH NEAR WEE WAA🚨 The Kamilaroi Highway between Wee Waa and Narrabri is affected in both directions following a crash. The region's...
Central North Rugby: Sam Kahl joins brother Daniel and father James as Blue Boars centurion Thursday, May 23, 20190

Central North Rugby: Sam Kahl joins brother Daniel and father James as Blue Boars centurion

Playing 100 games for a club is a special milestone and for Narrabri's James, Daniel and Sam Kahl it is an honour they now all...
Wee Waa local John Burgess (John Burgess Photography) has raised an incredible $9,121for Mental Health Tuesday, May 21, 20190

Wee Waa local John Burgess (John Burgess Photography) has raised an incredible $9,121for Mental Health

Wee Waa local John Burgess (John Burgess Photography) has raised an incredible $9,121 for the CRRMH by creating and selling the Cotton Country...
Name Change for WALGETT Doctors Surgery Saturday, May 18, 20190

Name Change for WALGETT Doctors Surgery

Biosecurity officer Saturday, May 18, 20190

Biosecurity officer

Hearing Bus in Walgett 5/31/2019 10:00 AM - 1:00 PM0

Hearing Bus in Walgett

RSS
123

Rural News

Saturday, May 25, 2019

Pork industry is the canary in agriculture's coal mine

The pig industry has a track record of dealing with some of ag's biggest challenges, and emerging more resilient and productive

Friday, May 24, 2019

Pavey promises greater transparency on Murray-Darling

NSW Government confronts Murray-Darling anger

Friday, May 24, 2019

Dalgrains into administration

Another grain trader is in trouble, with Dalgrains being placed into voluntary administration

Friday, May 24, 2019

Young growers vie for top award

Eight finalists have been announced for the Corteva Young Grower of the Year.
NSW cotton grower faces more charges over water pumped from Barwon river Friday, May 24, 20190

NSW cotton grower faces more charges over water pumped from Barwon river

The New South Wales regulator has laid more charges against one of the state’s biggest cotton growers, Peter Harris, alleging that...
NSW towns including Dubbo and Tamworth face water emergency within months Friday, May 24, 20190

NSW towns including Dubbo and Tamworth face water emergency within months

Towns in western and central New South Wales, including Dubbo, Nyngan, Cobar, Walgett and Tamworth, are facing a crisis in their water supplies...

Friday, May 24, 2019

People's PM reassures NW Queensland

The Burke and Wills campdraft may never see the like again but on Friday the Prime Minister dropped in to say hello.

Friday, May 24, 2019

More wheat shipments on their way

Two more wheat import permits have been granted by the Department of Agriculture and Water Resources.

Friday, May 24, 2019

Manildra says imported wheat needed to keep plant running

Manildra Group has said imported Canadian wheat is needed to safeguard the immediate future of its Nowra starch and gluten plant.
RSS
12345678910Last

Political News

Bob Hawke saw unfinished business right up to the end, says Bill Kelty Friday, May 17, 20190

Bob Hawke saw unfinished business right up to the end, says Bill Kelty

A treaty with Australia’s Indigenous people and addressing climate change were two issues of unfinished business that Bob Hawke saw for...
Survey finds bush voters look beyond major parties Thursday, May 16, 20190

Survey finds bush voters look beyond major parties

A decade of leadership turmoil and policy instability has damaged the reputation of major parties among rural voters, and they're turning to...
The lowest blow of this election campaign may have come from a firm of real estate agents Thursday, May 16, 20190

The lowest blow of this election campaign may have come from a firm of real estate agents

People are being told their rents will go up under a Labor government but that is a jumped-up scare campaign. The lowest blow of this election...
RSS
12345678910Last

 

 

Local Events

17

May

2019

Maritime Museum Outdoor Shipping Container Exhibition

Comments (0)
Number of views (84)
Article rating: No rating

20

May

2019

Narrabri Eisteddford

Narrabri

Comments (0)
Number of views (82)
Article rating: No rating
Read more

Categories: Events, Narrabri

Tags:

20

May

2019

National Volunteer Week

Comments (0)
Number of views (117)
Article rating: No rating

24

May

2019

Maules Creek Campdraft

Boggabri

Author: Kate

Maules Creek Program for 24/25/26 May is as follows
Friday 24th...Junior Rodeo commences 5.30pm with barrel race followed by steer rides
Saturday 25th....7am start with juvenile campdraft 15u17 then 13u15, 11u13, 8u11....after completion of kids drafts we will start the Novice/Open Combined through to approx 5.30pm 
Sunday 26th....completion of combined draft and then finals
Entries open via campdraft central on the 13th May 2019 at 8pm for 24hrs
Entries for Rodeo open Wednesday 15th May on ABCRA live
Note to competitors.....those that were entered for our postponed draft in March will get priority

Comments (0)
Number of views (189)
Article rating: No rating
Read more

Categories: Events, Boggabri

Tags:

25

May

2019

D J Night at Narrabri Bowling Club

Comments (0)
Number of views (124)
Article rating: No rating
Read more

Categories: Events, Narrabri

Tags:

25

May

2019

Stem Workshops

Narrabri

Looking for something for the kids to do on the weekends. See what they can build at our construction straws workshops at Narrabri Shire Libraries. For more details or to book a spot call Narrabri Library on 6792 3336.

Comments (0)
Number of views (281)
Article rating: No rating
Read more

Categories: Events, Boggabri, Wee Waa, Narrabri

Tags:

25

May

2019

Mosaic Workshop

Wee Waa

Comments (0)
Number of views (72)
Article rating: No rating
Read more

Categories: Events, Wee Waa, Narrabri

Tags:

25

May

2019

Trivia Night raise funds for Narrabri Education Founda5ion

Narrabri

Comments (0)
Number of views (42)
Article rating: No rating
Read more

Categories: Events, Wee Waa, Narrabri

Tags:

25

May

2019

Moree Picnic Races

Comments (0)
Number of views (8)
Article rating: No rating
Read more

Categories: Events

Tags:

25

May

2019

Robin Steigrad Exhibition

Narrabri

Comments (0)
Number of views (23)
Article rating: No rating
Read more

Categories: Events, Boggabri, Wee Waa, Narrabri

Tags:

25

May

2019

DJ Night at Narrabri Bowling Club

Comments (0)
Number of views (16)
Article rating: No rating
Read more

Categories: Events, Narrabri

Tags:

25

May

2019

Big Kev’s Breakfast Namoi Echo Museum

Wee Waa

Comments (0)
Number of views (19)
Article rating: No rating
Read more

Categories: Events, Wee Waa

Tags:

25

May

2019

Masonic Lodge Debutante Ball 6pm Narrabri RSL Club

Comments (0)
Number of views (46)
Article rating: No rating
Read more

Categories: Events, Narrabri

Tags:

26

May

2019

Sunday Services

Narrabri and Wee Waa

Comments (0)
Number of views (310)
Article rating: No rating
Read more

Categories: Events, Wee Waa, Narrabri

Tags:

26

May

2019

Drought Buster Fun Day

Comments (0)
Number of views (8)
Article rating: No rating
Read more

Categories: Events, Boggabri

Tags:

RSS
12345678910Last