A busy mum-of-two who saved $30,000 inside just 12 months by getting organised, meal prepping and launching a side hustle has revealed the five tips everyone should know for starting over financially.
Olivia White, 33, from Melbourne, has first-hand experience of starting afresh with finances, after her parents broke up and her mother ‘started over’ with her young daughter in tow.
‘It doesn’t matter your age or where you are in life, there are many reasons we may find ourselves in a position of having to start fresh and build ourselves back from financial hardship,’ Olivia wrote on her website.
‘Here are my top five tips for making it possible.’
A busy mum-of-two who saved $30,000 inside just 12 months by getting organised, meal prepping and launching a side hustle has revealed the five tips everyone should know for starting over financially (Olivia White pictured)
Olivia (pictured with her family) said when you’re starting fresh with your finances, it’s important to know that you’re not alone and there are plenty of online support groups to help
1. Know you’re not alone
The first thing Olivia said you need to realise if you’re struggling is that you’re not alone.
‘You are not the first person to go through financially turbulent times and won’t be the last,’ she said.
It can be hugely helpful to find support in online group, with friends and family and anyone else who might be able to help you.
‘Know your options and what is available to you. There are often services, advice and hardship plans available which help manage repayments or upcoming expenses,’ Olivia said.
Some of these options include Money Smart, speaking with your bank and/or lender and exploring switching to weekly or fortnightly repayments if monthly aren’t working.
‘If you’re struggling to make your repayments, negotiating different terms might be beneficial,’ Olivia added.
‘This could include flexible payment arrangements or giving you more time to pay.’
The second piece of advice Olivia (pictured) offered is that you need to remember that the more you know, the better equipped you are to tackle what lies ahead
2. Remember knowledge is power
The second piece of advice Olivia offered is that you need to remember that the more you know, the better equipped you are to tackle what lies ahead.
‘As you begin to start all over, you’re probably going to need access to finance and credit products. Your credit score plays an important role in making sure you can access the credit products you need,’ she said.
If you have been declined credit, you should request a copy of your credit report to see why.
You need to understand why you’ve been declined and take corrective action in order to improve your financial status.
Olivia (pictured with her family) said you need to take control of your credit score in order to make sure you’re able to manage your repayments
3. Take control of your credit score
Secondary to understanding your credit rating is taking control of your credit score, Olivia said.
The 33-year-old pointed out that your credit score is affected by all sorts of things, including your repayment history, credit limits, personal information and any adverse information.
In order to keep your credit score healthy, the mum-of-two said you need to focus on paying your loans and bills on time, either via direct debit or loan repayments.
She also said it’s a good idea to keep track of your credit commitments – and if you move house, notify your lenders so any bills can be re-directed to your new address.
If you’re having trouble meeting repayments, Olivia said you absolutely must talk to your credit provider and ask for help.
You can also keep track of your credit record via Equifax, the mum highlighted.
4. Make your mental health a priority
Olivia said she is of the firm belief that a lot of our spending is tied to our emotions.
And if you try to understand this, then you can get back on track.
‘Do some research into how and why this could be impacting you, and implement some strategies to cope when faced with emotional situations, especially around money,’ she said.
Pay attention to whether you spend when jealous, sad or bored – and once you have identified your triggers, then find alternatives.
The mum-of-two (pictured with her family) said it’s important to get organised by finding all of your relevant paperwork and prioritising various tasks
5. Get organised
Finally, if you want to be successful financially, you need to get organised.
‘Start by getting yourself organised, find all your relevant paperwork, whether it’s from a divorce or debt, even bankruptcy, all of it!’ Olivia said.
Then, it’s time to make lists and prioritise various different tasks.
‘To avoid getting physically and emotionally drained by the process, schedule short amounts of time to focus on certain things,’ Olivia advised.
Then, make sure you celebrate the small wins when you have a financial success.
To find out more about Olivia White, you can visit her website here. You can also follow her on Instagram here.