Seven tips to be richer this time next year

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Our seven tips for getting richer in 12 months’ time will require some sacrifice, but just think how much better you’ll feel when you check your savings this time next year. Here are seven suggestions that will make you richer by 2017. 

1. Eliminate three unnecessary expenses
The easiest way to save money is not to spend it in the first place. For those living on the Age Pension this is not as simple as it sounds. Or is it? 

Focus on your finances; rifle through your bank statements and choose three non-essential expenses that you are currently paying on a regular basis. Now get rid of them. 

The expenses you eliminate could be along the lines of reducing your mobile phone plan, having lunch at home or cancelling your newspaper subscription and reading it online instead. Eliminating these types of costs will free up more money for things, such as savings and investments, or a holiday. 

2. Shop without your credit cards
Next time you go shopping, remove the credit cards from your wallet and use cash only. The ways in which you’ll save are threefold:

  • you’ll only spend the money you have in your wallet
  • you’ll save on interest – especially if you can’t pay off the balance before it’s due
  • you’ll save on credit card fees. 


3. Don’t take on new debt
Just as the easiest way to save is not to spend, the same applies to debt. If you don’t want to be in debt, don’t take on any more debt, and pay off the debt you already have. 

And even if you’re struggling to pay off your current debt, by avoiding new debt and making minimum monthly repayments on your existing debt will get you out of the red, eventually.

4. Switch your credit cards to zero interest cards
If you have a significant amount of credit card debt, why not take advantage of a credit card that charges zero interest for 3, 6 or 12 months? Many credit card providers offer zero balance transfers on existing credit card debt, so take advantage of this generous offer and pay off the principle as much as you can whilst being charged no interest. It will absolutely get you out of debt a whole lot more quickly. 

5. Cut living expenses by 10 per cent
Cutting out expenses altogether can be difficult for some, but if that’s the case, try reducing your spending by 10 per cent across the board. 

Obviously some expenses can’t be reduced, such as rent or mortgage payments. But there are other ways to save on groceries, food, entertainment, utilities, fuel, and insurance by 10 percent or more. 

6. Save 10 per cent of your income each month
Once you’ve reduced your spending by 10 per cent, try also saving 10 per cent of your monthly income. That way you’re doubling down, and will be 20 per cent (or more) better off at the end of each year. 

You can divert this extra money into a savings account, and eventually move into mutual funds or other investments.

And whilst it may not feel good cutting back on so much of your everyday spending, the feeling you’ll get at the end of the year when you look at your savings account will more than make up for it. 

7. Sell or donate everything that you have that you no longer use or need
Have you got a pile of things laying around your home that are just not as useful as they once were? Why not sell them?

Not only is it one of the quickest and easiest ways to raise money, but it’s also incredibly liberating to de-clutter your house and your life in general. 

You may even find that much of what is around your house could be worth hundreds or even thousands of dollars, especially if it’s in good condition. 

Do you have any suggestions for how to be richer in 12 month’s time? Why not share them with our members? 

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Written by Leon Della Bosca

Leon Della Bosca is a voracious reader who loves words. You'll often find him spending time in galleries, writing, designing, painting, drawing, or photographing and documenting street art. He has a publishing and graphic design background and loves movies and music, but then, who doesn’t?

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53 Comments

Total Comments: 53
  1. 0
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    Retirement is a time to spend your savings not get richer. It makes no sense in being the wealthiest person in the graveyard.

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      OG , Why don,t you apply the same philosophy on the wealthy and your friends , the LNP Politicians , who all try their hardest in tax minimisation and enriching themselves .

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      Totally agree. I know many who lived on the smell of an oily rag in retirement only to die and leave to children who were spending it like water once they got their hands on the money.

      If you are fortunate enough to have built up your super…spend it…that is what it is for.

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      Radish ” F ” , What is really more important in advanced age is that the person is happy and comfortable with his life , which sometimes includes hoarding or financial decisions the younger generation does not understand .
      There are also those , including myself , who worked hard in their life , including weekends and nights , depriving their children of many pleasures they would otherwise have experienced as a family unit .
      For this reason , I want to leave my savings to my son as compensation for missing out on so much in his younger years .
      Of course now with the severe cut in part pension , I feel a fool who has achieved nothing but the instigators of these cuts will also find out one day that they have destroyed the spirit to work hard and be productive , which are needed for a countries success ,
      Not to forget the loss of credibility in our Politicians .

  2. 0
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    Drop the Phone & Internet
    Turn off the Power!
    And cut the Food Bill 50% … The only way I see out of this Poverty !! 🙁
    And that’s my New Years Revolution Folks 🙂
    BYE !!

  3. 0
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    An early election to oust Turncoat and Crew before this time next year would put a few bucks back in all our pockets.

  4. 0
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    That’s not getting richer that’s just ways to stop you getting poorer!
    I need investment tips. Apparently you can get 6.5% return on investing in solar installations for large factories. I must look into how that is brokered.
    Anyone else got a tip?

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      Sounds very risky to me and not much of a return for the risk you can do better than that just by buying bank shares with the franking credit the rate is generally better than 8% and they are much safer.

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      The bigger the interest the bigger the risk — good interest is very hard to get these days, so look long and hard — better to be sure of half a loaf than unsure of a full loaf

  5. 0
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    In relation to suggestion 7, if you have “a pile of things laying around the home”, keep them and eat what they lay.
    Sigh! I’m fighting a losing battle to save the word “lie” from extinction in Australia (it has gone in the USA).

  6. 0
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    Here is my tip, grow your own veg and herbs, it is crazy people spend money on some greens that grow like weeds. Feed them with your vegie scraps and give them enough water, so easy in pots or a plot. It always shocks me to look at the greens and herbs that are half dead in the supermarket and what they charge. I am even growing my own herbal tea, anyone for a Lemon Verbena?

  7. 0
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    I like Rosret’s idea.
    Re
    “”Apparently you can get 6.5% return on investing in solar installations for large factories too “”
    I would also like to know about that !!

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      That is absolutely correct. An article on it was on TV today and I have read about it.

      The one I read about was fully subscribed within 48 hrs so I believe.

      Put in a google search

      ” 6.5% return on investing in solar”

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      I’ve seen many of these come and go over the years. Good to start but as every one gets on board they drop their standards and people get caught.

      Not for me.

  8. 0
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    Surely this is a joke read for Christmas; how is any of this even possible on a low income or with a mortgage still needing payments (after divorce etc) when those powers that be are doing everything to break workers & attack superannuation & pensions! Agree with Fast Eddy on this one! Only ones who can save/put money in bank are pollies on their greedy incomes & pensions!

    • 0
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      Totally right. People on just the agen pension are struggling. It’s wrong.

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      I’m Lucky !!:-) I’ve only got 3 & 1/2 days to sit it our now till Pension Day !! 🙂
      Broke as a Stone I am !! 🙁
      MERRY CHRISTMAS YA ALL 🙂 🙂

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      My mum phoned me yesterday and I had to give her some money to tied her over because the local Centrelink agency told her she would get her pension on Friday, they actually had a printed out list stating this, so the poor lady at the agency (only one person office) had to feel bad for Christmas because she had told everyone the wrong dates. And it was too late for any emergency money, not like the old days when you could get a counter check the same day.

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      Same here musicveg !! 🙁 And all I said as I walked away from the Auto teller Penniless was ..”I hope a Bird of Paradise fly’s up Mals Nose !! ” 🙂 🙂 🙂

      Don’t anyone Kid Themselves, all they care about nowadays is themselves, and their future Prosperity 🙁 🙁 And to their Stooges.. They don’t care about You Either 🙁 All your doing is the Devils Work for them 🙁 🙁

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      Following up on my comment about money for Xmas, my mum decided to check her bank and her payment actually did go in on Friday despite Centrelink telling her otherwise, the poor lady at the agency got stressed for nothing too. So particolor it is worth checking your bank.

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      Thanks for that 🙂 I checked at 9.30 on Friday Morning, NOTHING 🙁
      I muttered something and went home 🙁 I haven’t been Back !! I don’t even know if its worth it now ? ? Might!! Look later. But No usually means NO with that lot 🙁 🙁
      Wednesday will come soon enough I suppose !!:-)

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      My mum went in the afternoon, so don’t know if that makes a difference.

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      Glad I found you here again in Email, as I forgot to leave a Shortcut !
      SHOCK ! HORROR !! I ventured down and it was there !! Thanks again for that ! I think it went in late 🙂 As I saw several Disgruntled Remarks about it on another Site !! Language Unrepeatable on here !! 🙂 🙂 🙂 I think the Guv was Embarrassed by it ? 🙁
      And now the Good Part …I live in a Country City and not a Single Shop was OPEN !! 🙁 🙁 I drove almost out of town and found a Service Station Open, got Milk Etc. Happy now 🙂 🙂 🙂 Thanks Again and MERRY CHRISTMAS !! 🙂

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      That’s great news, so glad your day was made that little bit brighter, you can stock up tomorrow at least. Happy Christmas to you too.

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      Yes !! Town Deserted ?? Anyone would think it was CHRISTMAS DAY ?? 🙂 🙂

  9. 0
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    I don’t buy newspapers anymore, even given up the Weekend Financial Review back in 2013. However a lot of Facebook posts are directly from newspapers which only allow you to read a limited amount of articles and then they expect you to subscribe to them. Advice on reading online is not practical if you want to read all of the paper. I don’t, as I don’t want to pay for The Herald Sun, Sydney Morning Herald, The Australian, Financial Review, The Times and other papers. Not impressed with their reporting biases.

  10. 0
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    I disagree re shopping without a credit card.
    A credit card used correctly is a great financial management tool as it allows you track ALL your spending via the monthly statement. I use my card for 95% of spending and when the statement is available I download it into my Budget XL form. That way I get to see where my spend has been and how the actual is tracking against budget. Have used this for the last 20 years.
    I guess it’s not for everyone, discipline is needed.

    • 0
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      I rarely use cash instead use my credit card for evrything. It costs me nothing but the rewards are good in that we get a free flight to somewhere in Australia or NZ every year.

      I find if I haven’t got cash I spend less.

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