Day 13: Explore your options for college savings

1. I don't have kids
2. I don't know if I want kids
3. I definitely won't be saving up for them to go to uni unless they scrap HECS altogether.

That was easy. But I think if parents are going to have kids they should save up for them. One of the issues that annoys me is the issue of paid maternity leave. And it's not as a simple as because I don't want to have kids I don't see why I should have to pay for another mother to stay at home and watch her kids. I think if you're going to have children you should be financially prepared for them. I agree with doing more for mothers such as giving them access to childcare and job security so that they can go back to work. But increasing paid maternity/paternity leave is an unnecessary burden on society.

Happiness Project: Week One

Get more sleep! I need to get more sleep. I've been trying to sleep before 11pm most nights, but sometimes it's hard when I have a game of netball at 10 at night. But next week there is no late game. So I'm going to aim to sleep at 10pm every night. Hopefully that means I'll have more energy during the day. I do have a tendency to stay up late because I feel like I can't get enough done between the time I get home from work and sleep time.

Day 8 - 12:

Day 8: Check your emergency fund

They keep going on and on about having 3 months emergency cash. 3 months salary isn't very much. That is probably about what I currently have in savings. But the money isn't for an emergency. It's for renovations and a holidays. I'm not letting it sit around for the day that I might get fired. It's not that hard to check how much emergency cash you can pull together at the last minute.

Day 9: Maximum mileage from your cash holdings

Like most people, my money sits in savings. I'm not really the type to invest my money. The only other investment option I can think of is superannuation. But what's the point if I can't touch it for another 40 years? Plus I'm not sure what investments are covered under my no trading clause.

Day 10: Financial goals
Short term goals - save for holidays and live a comfortable lifestyle.
Intermediate term goals - buy a home in Sydney, pay off HECS debt and invest more into retirement plan
Long term goals - pay off my mortgage

I gave estimating the cost of my goals a go, but it is quite difficult. It was easier to quantify short term goals such as saving for a holiday.

Day 11: Invest in mid-term goals
I see the intelligence in this, but I don't think I'm in a position to actually do it. It's not something you do in a day either. But I will eventually contribute more to my superannuation which will contribute to my retirement plan.

Day 12: Allocate capital like a pro
Debt or Equity? It's a question that is one important financial decision. I see myself as having a lot of debt. Home loan and HECS (although some people don't consider it a debt, I still have to pay it off) repayments are where a lot of my capital goes. Apart from compulsory super contributions I am not investing in equity at all. Although pay off my mortgage could be seen as increasing my equity. So should I consider investing my money in equity? It would be nice to see my capital grow, but I'm such a play it safe person that unpredictable returns on investments make me uneasy. But paying off debt, I know the amount I owe will decrease. I am a risk-adverse investor, so I would only invest in ventures that might not have a very high return anyway. But that is a question for further down the track.

Rest of the week (because I'm a lazy blogger) . That actually sounds like a swear word.

Task 5: Make a Master Directory
I question the security of having all your account details in one spot. Even if it is password protected. So decided not to do this one. But I do agree that it is a good idea that someone knows all your financial details (just not someone who hacks into your computer). I will consider it again one day.

Task 6: Update your filing system
"Your shredder is your friend" It's a fantastic way of getting rid of receipts. I have a tendency to hang on to the little slips you get from ATM machines and grocery bills. It's not like there is a warranty on the spinach I bought 2 months ago. I do have a filing system and I have it on my to do list to organise the receipts that I do need to keep. But otherwise my system works for me.

Task 7: Insurance coverage
Well I only recently bought home and contents insurance (and landlord insurance). I think I covered everything. It's not like I have that much in terms of content. I'm also covered for income protection, disability insurance, life insurance etc through my superannuation so I think that covers all possible scenarios.

Day 4: Financial fitness

Tip: Take stock of assets and liabilities

I already know the answer to this one without having to do any work. I own an apartment, but currently about 80% of it is mortgaged. I have no credit card debt. I have no car and I don't think my other possessions are worth very much. I do have a huge HECS debt which some people don't even consider a debt. I definitely don't have 6 months income lying around anywhere. I do have income protection though which covers 6 months income. I don't think my net worth is comfortably positive. Maybe it is neutral.

Day 3: Financial Fitness

Today's task was to set up at bill-paying system. I do pretty much all of my banking online so this wasn't a stretch for me. Only my mobile phone wasn't part of the direct debit system but I have now rectified. It was also the only bill that I have on two occasions now paid a day late.

30 Days of Financial Fitness

A work colleague posted this link on Facebook: http://news.morningstar.com/articlenet/article.aspx?id=321113

So I've decided to take up the challenge. It says I'm not sure you can complete them in 30 days. For example task one: keeping track of your expenses. You have to either remember what you spent your money on in the last month or calculate your spendings for the current month. Another thing is that my variable spendings vary so much from month to month that it seems almost impossible to imagine.

I applied for a credit rating report: https://www.checkmyfile.com.au (first one is free). I assume it can't be that bad if I was offered a loan. Will be interesting to see what is in a credit report.