Personalised financial solutions for any stage of life.

“If you buy things you do not need, soon you will have to sell things you need” – Warren Buffet

Growing up, I always wonder how do many people spend their money on things that are classified as ‘wants’ and not ‘needs’ – that’s the excessive lifestyle spending from the unnecessary shopping to the wine and dine experiences. It’s all ok to do it occasionally, but when it becomes a habit, that’s a dangerous debt trap. Having worked in the industry long enough, I can safely say that most people with a huge personal debt almost always live in worry – mainly because of the high interest on the personal debt and the feeling of never being able to pay it off. 

One of the main problem is the credit card debt cycle. With around $32 billion owing, that’s an average of around $4,200 per card holder. Imagine being able to save that money and invest it instead? 

People often ask me; how do we ensure our cash flow is in a healthy position? The right answer is always – do a budget, make sure you are comfortable with it and stick by it. As simple as it sounds, not having a budget is often the pitfall for many. It is easy to overspend and hard to save, that’s human nature- hence why it is important that you know where and how you spend your money. 

Simple tips – start by keeping a copy of all your receipts and bank transaction records. Then, analyse it and separate your expenditure by different categories – food (separate to grocery and eating out), coffee, alcohol, car, laundry etc. Next is the hard conversation that you need to have with yourself, how much of the spending is ‘need’ and how much is ‘want’? Then you should start cutting back on your ‘wants’ and look at ways to increase your savings and reduce your debt further. 

Credit card debt and personal loans are an important aspect of planning your finances. This is often non-deductible debt so you would want to eliminate it as fast as you can, but also at the same start building on a healthy cash savings account as your emergency fund. One of the simplest way to start taking control of your debt situation is to not adding more of it – so cut off your credit cards, pay more than the minimum repayment as this will also reduce the monthly interest amount charged to you, and if you have more than once card; pay off the one with the highest interest rate first or tackle the one with the smallest debt first 

Another way with credit card is to do a balance transfer, however, it has to be used wisely. If you do use a balance transfer facility, you have to make sure that you are able to pay off the debt within the interest-free time period as well as to ensure that you read through the disclosure document for any hidden fees and penalties. Another important factor is to make sure that you don’t unnecessarily spend on your old card, but also cancel the card 

What we do with clients is to actively manage their transactions account, educate them on spending habits, create a debt repayment plan that is manageable and to organize a savings plan as well – it’s all about moderation, setting a realistic financial goal and having an action plan

We at Conscious Money is proud to help our clients in creating good money behaviour for your future – after all, life is complicated, your finances don’t have to be.

Please contact us for a one-hour complimentary financial review – mention that you saw us on “Star Observer” and we will offer you a concessional review which will be discounted at one-hour of our time.

Karam Singh, Authorised Representative of Madison Financial Group Pty Ltd ABN 36 002 459 001 AFSL no. 246679.

He can be reached at or 1300 193 136.

This information is of a general nature only and neither represents nor is intended to be specific advice on any particular matter. We strongly suggest that you seek professional financial advice before action. The information in this document reflects our understanding of existing legislation, proposed legislation, rulings etc. as at the date of issue.