What is your cash flow strategy?

How much money per year do you need to invest for you to be able to comfortably fund your retirement? Have you worked it out?

Click here to download a transcript of the video.

If you cannot answer the above question then you do not have a cash flow strategy. A cash flow strategy involves making a commitment to contribute a certain amount of your cash each fortnight, month or year towards your retirement – without fail. Consistency is the most important factor i.e. contributing money towards your future retirement each and every year – not spasmodically. You must make a commitment to “pay yourself first” before anyone else gets paid.

Click here to read a blog I wrote in 2015 which steps you through how to find and commit to your cash flow surplus.

Once you have committed to a cash flow surplus, our job is to help you allocate that cash flow to have the greatest impact on your financial strength, risk profile and goals. You could have many options including repaying your home loan, making additional super contributions, offsetting debt, building a cash savings buffer, borrowing to invest and so on. We will confidently help you understand which option/s best suit your circumstances – which may change from year-to-year.

Developing a cash flow strategy is the first step in implementing an investment strategy. Do not invest until you have nailed your cash flow strategy.

If you have any questions or comments on any of the videos, it would be great to hear from you.