Budget, Debt and Super: three simple ways to get your money working harder in 2026
- Tracy Wan
- 3 days ago
- 4 min read
Updated: 2 days ago
Tracy Wan, a financial adviser from Aspire2Wealth in Perth, recently shared three themes that come up again and again in client conversations: getting a clear budget in place, simplifying debt repayments, and making superannuation work harder, especially as we head towards the end of the financial year.
How can I create a personal budget plan?
A personal budget plan is simply a clear view of:
what’s coming in (income)
what’s going out (spending)
what you want to change (goals)
Start with the “where is it going?” check
Before you try to “cut back”, do a quick reality check for 2–4 weeks:
bills and utilities
groceries
subscriptions
transport
eating out and takeaway
personal spending
A practical starting point is the Australian Government’s MoneySmart budget tools, which are designed for real households and are easy to update.
Use a simple structure: needs, wants, and future-you
A straightforward way to organise spending is:
Needs: essentials like rent or mortgage, groceries, utilities
Wants: discretionary spending like entertainment and dining out
Savings / goals: emergency buffer, debt reduction, future plans
The exact percentages matter less than consistency. What matters is that your budget is realistic and reviewed regularly. A Perth reality check
With rising living costs and mortgage pressures across Perth, many households find their “needs” take up most of their income. If that’s you, start small. Automate a modest savings amount, then increase it when cash flow improves.
Next step: Map your income and expenses using the MoneySmart planner and identify one or two spending areas you can adjust this month.
How do I consolidate debts?
Debt consolidation means combining multiple debts, often high-interest debts like credit cards and personal loans, into one loan with:
a lower interest rate
fewer fees
one regular repayment
MoneySmart explains that consolidation can simplify repayments, but it may cost more overall if the new loan has higher fees or a longer term.
Good debt vs bad debt in plain English
Understanding the difference helps you prioritise:
Good debt can help build long-term value, such as borrowing for education, a home, or income-producing investments.
Bad debt is usually linked to lifestyle spending that doesn’t build value, such as credit cards, buy-now-pay-later services, or personal loans for consumer purchases.
Debt consolidation is usually about reducing high-interest “bad debt” first to relieve financial pressure.
When consolidation may make sense
It may be worth exploring if:
you’re managing several repayments and due dates
interest rates are high
you can reduce the overall cost of your debt
you have a plan to avoid reaccumulating debt
If you are under financial stress, you may also be able to request a hardship variation from your lender. ASIC
Next step: List each debt, including the balance, interest rate, repayment amount and fees. Then assess whether consolidation genuinely reduces your total cost, not just the monthly payment. If you’d like to discuss a plan to manage your debt or simplify your repayments, book a complimentary consultation.
How can I make super work harder for me?
Superannuation is one of the most effective long-term wealth-building tools available to Australians, but it benefits from regular review.
Review your investment option
Most super funds offer different investment options, ranging from growth-focused to more conservative strategies. The right mix depends on:
your age
your retirement timeframe
your comfort with market volatility
your long-term goals
If your circumstances have changed, it may be time to review your investment settings.
Consider additional contributions
Two common strategies include:
Salary sacrifice: directing part of your pre-tax salary into super
Personal contributions: contributing additional after-tax money, sometimes with a tax deduction
The Australian Taxation Office sets annual contribution caps. For 2025–26, the concessional cap is $30,000 and the non-concessional cap is $120,000.
Understanding these limits is important to avoid exceeding them.
Why March is a key checkpoint
As we approach the end of the financial year, March is an ideal time to:
review year-to-date contributions
confirm your cap position
consider whether additional contributions align with your goals
Next step: Check your super contributions so far this financial year and confirm your remaining cap using the ATO guidance.
How Aspire2Wealth can help
At Aspire2Wealth in Perth, conversations often start with simple questions about budgeting, debt, or super. From there, the focus shifts to building a structured, practical strategy tailored to your circumstances.
If you would like clarity around:
creating a realistic personal budget
reducing high-interest debt
reviewing and strengthening your super strategy
consider booking a conversation with the Aspire2Wealth team.
Sources:
Aspire2 Wealth Advisers Pty Ltd ABN 42 125 897 903 is an authorised representative and credit representative of Charter Financial Planning Limited ABN 35 002 976 294, AFSL and Australian Credit Licence No. 234665.
This website contains information that is general in nature. It does not take into account the objectives, financial situation, or needs of any particular person. You need to consider your financial situation and needs before making any decisions based on this information.
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