Haven't spring cleaned your finances yet? It's not too late

Spring may be drawing to a close, but there's still time to tidy up your finances. A few simple checks could help you save money, reduce debt and make sure your financial plan still suits your life today.

Spring usually gets us thinking about cleaning out the garage, clearing the wardrobe or finally getting around to those jobs we have been putting off. But it can also be a good time to clean up your finances.

The funny thing about finances is that most of the clutter does not arrive all at once. It builds slowly. A subscription here, a higher interest rate there, an old super account or insurance policy you have not looked at for years.

You do not need to completely overhaul everything. Often, a few small changes can make a meaningful difference.

Start with where your money is going

Look through your bank statements from the past few months. Not to judge every coffee or takeaway, but simply to understand where your money is going.

Look for subscriptions you have forgotten about, memberships you no longer use or expenses that have slowly crept up over time.

If you can free up even a few hundred dollars each month, think about where that money could work harder for you.

It might go towards your mortgage, savings, superannuation or investments. It is also worth checking whether the automatic transfers you set up a year or two ago still make sense today.

Your income changes. Your family changes. Your priorities change. Your financial system should change with them.

Give your debts a check-up

When was the last time you checked the interest rate on your home loan? Many people know exactly what their house is worth but have no idea what rate they are paying on their mortgage.

Review your home loan, credit cards and any other debts you have. There may be opportunities to negotiate a better rate, restructure debt or simply become more deliberate about what gets paid down first.

While you are there, check your emergency savings too. Having some cash available for the unexpected can make a big difference when life does what life tends to do.

Check the things you rarely look at

Superannuation and insurance are two areas that are easy to set and forget: check your super fund, investment option, fees and beneficiaries.

Then think about whether your insurance still reflects your life today. If you have changed jobs, increased your mortgage, had children or experienced another significant life change, the cover you put in place years ago may no longer be appropriate.

Keep it simple

A financial spring-clean is not about trying to find something wrong. It is simply about making sure the decisions and systems you already have in place still suit the life you are living today.

Sometimes financial progress is not about doing more. It is about clearing out what you no longer need, tightening up what you already have and making sure your money is still working towards the things that matter most to you.

Get stories like this in our newsletters.