But what about your finances?  Have you got something on your list like “reduce debt”, or “pay off credit card”?  If you do, you need to spend some time thinking about how you’ll do this.  Like all plans, they are useless without the steps needed to take action.

Here are three financial goals to work towards in 2015 to get you ahead:

Put an end to credit card debt

If you want to repay your credit card, how about cutting it up to start with – that way the balance won’t keep getting bigger. Try using a debit card instead so you can only spend money you have.

If you have a home loan with some redraw, consider repaying the credit card by redrawing on your home loan.  Yes, it will take longer to repay your home loan, but with interest rates on your credit card over 20%, your home loan interest of between 5% and 6% doesn’t look so bad.

Review and monitor cash flow

The key to consolidating debt is to then look at your cash flow.  If you racked up a credit card bill, then you must have been spending more than you had coming in. The only way to remedy this is to adjust your spending and/or increase your income (if possible). 

On the spending side, you need to know how much cash goes out the door, and where it actually goes.  By doing this you’ll know when and what to reduce.  On the income side, consider up-skilling yourself to get a new position/role that comes with a higher income.  For those living on the income from investments, a review of asset allocation can yield surprising results and boost income.

Keep investing

For those of us investing; don’t forget to review your portfolio and keep investing.  If you are investing in shares, they are great value now and even though next year we could still see some volatility, we expect to see a recovery of share prices in 2015. Stick to these and you’ll be in a better position to tackle the year ahead.

From all of us here at Hewison Private Wealth we wish you a very happy and safe Christmas and a healthy and prosperous New Year.