How to Reduce Costs & Improve Cashflow


The last few years of record-low interest rates may have led some of us to be a bit relaxed with our spending, investing our cash in improving our homes and enjoying life!

With interest rates having increased so sharply, and the costs of living have gone up as well, more and more people are trying to work out how to reduce costs and improve cash flow?

There is nothing like downloading a copy of your actual expenses and reviewing them line by line to really see where your money is going. It may not sound super fun, but it is definitely super effective in helping you identify items that don’t support your bigger goals. It gets you in the driver’s seat.

Having an intimate understanding of where your money comes from and goes is the first step in controlling your financial destiny.


When we move house, we go through a process of clearing out things we no longer want or need in our life before moving to our next stage. You can apply this same principle to your finances.

Once you are face to face with your financial comings and goings, you are then in a position to make decisions.

Do you still want to spend money on a particular item?

Is it still important to you, or can you stop it?

Common things that we see when we do this are: 

  • Utility costs – can you review (and renegotiate) costs like your electricity, phone, internet?
  • Insurances – what level of cover do you actually need? Are you paying for extras that you don’t use or need? 
  • Subscriptions – do you need *all* of the subscriptions that you have, or can you rationalize them? Are there subscriptions that you are still paying for, that you no longer use? 
  • Discretionary expenses – think entertainment, eating out, ordering takeaway food – do you really need 2 music lessons a week, or can it be fortnightly? How many coffees in a day do you actually drink? 

Your mortgage and other debts – speak to a qualified mortgage broker so they can review your loans and see if they are within market parameters, or whether you could do better elsewhere.


Budgeting is not about depriving oneself. It is about identifying what you value and making sure that you allocate funds to what you value, rather than spending unconsciously.  For example, if you value financial security over convenience, then you can make the decision to plan your grocery shop over buying Uber Eats at the last minute.

It feels good to be in control of your own financial life, and it also sets you up for success in any negotiations you have with lenders, including for buying your next home.

If you need a mortgage broker to talk to, we recommend getting in touch with Paul Habib at Pivotal Financial.

If you need any help or advise regarding selling your home or just want an updated appraisal, please don’t hesitate to give me a call.

All the best, Simon

Source: Pivotal Finance (Paul Habib)

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