{"id":669,"date":"2019-04-18T11:54:00","date_gmt":"2019-04-18T10:54:00","guid":{"rendered":"https:\/\/www.aussizzgroup.com\/srilanka\/?p=669"},"modified":"2023-03-22T05:38:57","modified_gmt":"2023-03-22T05:38:57","slug":"tips-to-manage-money-in-new-country","status":"publish","type":"post","link":"https:\/\/www.aussizzgroup.com\/srilanka\/blog\/tips-to-manage-money-in-new-country\/","title":{"rendered":"5 tips to manage your money in a new country"},"content":{"rendered":"\n

Congratulations, you\u2019ve landed a new job! It can be very overwhelming starting a new job, especially in a new country. Once you\u2019ve finished your language exams, received your visa and job acceptance notice you\u2019ll be amazed at how fast time goes. When you\u2019ve started your new role, the first week or two will pass very quickly as you get used to an entirely new culture, workplace, workmates (mate!) and commute. Before you know it your first pay cycle will arrive and you\u2019ll be wondering what to do with your earnings in this new currency. Here are some tips to consider that will help you manage your money in a new country.<\/p>\n\n\n\n

Get the best Checking Account possible<\/h2>\n\n\n\n

As soon as you arrive in the country you\u2019ll need to open a Checking Account. They\u2019re necessary for all of your day-to-day transactions and will be required as proof of address when you apply for a drivers license or I.D card. There are many reasons why you should do your due diligence when you sign up to a new bank. All banks have different product options and fee structures that make them unique in the marketplace.<\/p>\n\n\n\n

At the minimum, your new bank should have:<\/p>\n\n\n\n

1. EFTPOS \/ debit card<\/strong><\/p>\n\n\n\n

It is estimated that 89% of all transactions in Australia are made either electronically or with a card*. EFTPOS is a service that was a sweetener in the 90\u2019s but is now a necessity that all banks are required to have in order to be competitive. When you sign up to a new bank, make sure that the EFTPOS or debit card is virtually free. Most banks will offer a free card on sign-up so read the fine print and make sure that you won\u2019t be obliged to pay an annual fee for access to your card.<\/p>\n\n\n\n

2. Low or no account fees<\/strong><\/p>\n\n\n\n

Shop around and find a bank that will provide you with low or no fees. There are many banks that will waive your fees if you make a minimum monthly deposit and others that have a low monthly flat fee.<\/p>\n\n\n\n

3. Online banking<\/strong><\/p>\n\n\n\n

Online banking gives you the ultimate flexibility to manage your account and finances from home. Some banks have exceptional online services that will give you access to a virtual teller which enables you to do simple things like apply for loans and get replacement credit cards. Make sure the bank that you choose allows access to the services you need online.<\/p>\n\n\n\n

4. Phone banking<\/strong><\/p>\n\n\n\n

Sometimes you have a question that could be solved easily by a simple phone call. Phone banking is perfect for this. A good customer service centre will help you solve problems, apply for loans and assist with your day-to-day banking requirements.<\/p>\n\n\n\n

5. Rewards programs<\/strong><\/p>\n\n\n\n

Many banks go the extra mile and attach rewards programs to their bank account offerings. These programs are varied and could include Qantas Rewards, Woolworth points and a whole swathe of other programs. Take the time to look around and see if there are any offerings that interest you.<\/p>\n\n\n\n

Simple money management rules<\/h2>\n\n\n\n

Before you do anything with your new pay packet it helps to have a plan. There are many different methods that you can use to manage your money. A general guideline is to apply the 33\/33\/33 rule. That is 33% on rent, 33% on day-to-day expenditure and 33% into savings<\/p>\n\n\n\n

To get more ideas about how to manage your money in a new country, we recommend visiting a reputable money management website or to speak with a financial planner.<\/p>\n\n\n\n

Savings accounts<\/strong><\/p>\n\n\n\n

Now that you have a checking account ready you\u2019ll need to think about putting aside some money for a “rainy day\u201d. You\u2019ll need to assess your level of savings commitment and the ease at which you need to access your money. Usually an account with easy access to your money will have a lower interest rate, making it much more suitable for short term savings.<\/p>\n\n\n\n

Here is a list of\u00a0savings accounts for Australian banks<\/a>.<\/strong><\/p>\n\n\n\n

Term deposits<\/strong><\/p>\n\n\n\n

A term deposit gives you a higher interest option for saving but makes it difficult to access your money. You will be required to lock your money away for a certain period of time like 3,6,12, 18 months or longer and you will be given the option to reinvest your money when your investment matures.<\/p>\n\n\n\n

Index funds<\/strong><\/p>\n\n\n\n

After you have enough “rainy day\u201d money and a savings account that has sufficient emergency money, putting your money in an index fund could be a valuable long-term investment. There are many index funds to choose from and the detail of which lies outside the scope of this article.<\/p>\n\n\n\n

When payday arrives<\/h2>\n\n\n\n

In Australia, most people will set their essential bill payments so that they are automatically paid on payday. These bill payments include:<\/p>\n\n\n\n