Month: November 2020

This week’s episode of Secrets of the Money Masters shows our panel discussing Kate and Tony’s love of property investing. Ironically, many of the lessons our experts spoke of before the pandemic, have played out before our eyes since.

One of the biggest lessons? Residential property has no liquidity. And if you need access to money, you can’t sell the garage to get some cash.

As Rod Dickinson explains on the panel, as people get older, they need some liquidity. This factor has never been more evident after COVID-19 – where Tony and Kate are affected by their tenants defaulting on their commitments, and they have lost income from their own business.

It’s a Lego effect situation and has made managing properties more stressful for landlords than it has been for many years. It doesn’t mean, though, that Kate and Tony are doomed to financial ruin. Rather, a strategic plan that assesses all their assets, and takes into account their changing needs and future dreams can take them to the next phase of their financial lives.

This is where financial planners shine. I love the power of a good plan, and nothing makes me happier than seeing on paper the intention for my life. More than ever, people need to look at how they expected their future to be, and what will need to change. And while change is incredibly hard, this process is not all bad. In fact, sometimes changing circumstances can bring wonderful new experiences and opportunities.

In the new world order, I suspect that those who are to be financially successful will have taken the time to form a plan for their financial future for 2021 and beyond.

So enjoy getting to know Kate and Tony, and their approach to money, as well as our experts with their collective wisdom.

Take care,

Vanessa

With the pace of change faster than anything we have seen in our lifetimes, now is the time for you to join in and make some change happen for you and your money.

Someone once gave me some advice: “earn more, and spend less”. The advice annoyed me no end as a 32-year-old entrepreneur – I wanted ways to make more money without having to cut my expenses.

But the older I have become, the more I realise that at its core, this is the most basic advice you need. Because to improve your money situation, you either have to bring more in, or have less go out.

There are always ways to make your lifestyle “skinnier” – and only you know what you can and cannot stand. But I would say taking all the joy out of your life to save money is not the answer. You still need to include outings, holidays and ways to spend time with your family and friends.

So, be as hard-headed as you possibly can around where you can cut. Do it and put that plan into action. Then move on. Because the far more exciting possibility is to see where you can make more.

There’s been a lot of talk of side-hustles over the past few years, and it’s become quite a thing for many people to have more than one source of income. But what if you turned your whole earning proposition on its head? Could you start a business? Working from home has never been more acceptable. How can you make more money doing things you enjoy? 

I have found the only way to be truly productive is to plan and schedule your time. I do this weekly and monthly (daily is too late) for what I will be spending time on. If you can put into your schedule a three-hour block to spend time researching each week, or maybe an hour a day, depending on how you work better, you can start to research and explore the internet for ideas and inspiration to take you in a new direction – that gives you both satisfaction and dollars.

If you don’t start investing in yourself for the future, you will always be stuck treading water, and living a life that feels like there is never enough. You deserve more. So make your first investment be your time. As you watch our latest season of Secrets of the Money Masters, you can see how others have set up their financial goals – and how that will have to change because of COVID. It will serve as a good thought starter for you.

Take care,

Vanessa