Planning the key to avoiding financial stress
31 October 2008
New relationships research sponsored by CUA (Credit Union Australia) and undertaken by Relationships Australia validates what many of us may already know: financial stresses are at their all-time high but CUA advises sound financial planning can help relieve some of the tension.
CUA Acting Chief Executive Officer Mr Rob Nicholls said setting realistic financial goals and expectations were key to ensuring people coped better with financial stress.
“The research revealed that over 40 percent of people find finances a major pressure on relationships which points towards the fact people need to employ new strategies to be able to cope better,” he said.
“We work with over 400,000 members and it is very common for people not to have financial goals specifically detailed compared to other areas of their lives but it is vital for ensuring couples and families are moving in the right direction.
“The research found 68 percent of people nominated ‘stress’ as a negative factor on relationships and ‘different goals or expectations’ - 55 percent, which all points towards the need for people to spend the time working out realistic expectations in regards to their finances.”
Mr Nicholls offered a number of tactics people could employ to help reduce the impact of financial issues in their lives
- Develop a financial goal. Put in writing what you want to achieve financially and list the methods for making it reality. It is important to be aware of your earning potential and not over commit.
- Set an accurate budget. Budgeting is the key to ensuring you have the money available to cover the necessities of life. Budgets should cover the essentials like living expenses, mortgage repayments and also account for the luxuries or ‘wants’ in life such as holidays.
- Regularly review your financial goals. Conduct a financial health check every few months and determine if your goals need to change in line with any lifestyle circumstances. It is something couples should do together.
- Communicate. Talking about the issues as they arise and being realistic about the solution is important to help avoid financial stress affecting relationships.
- Seek professional advice. If you encounter hardship or financial difficulties talk to your financial institution as most will be willing to work out a new ‘plan of attack’. And if the strain on your relationship becomes too much, get some coaching from the relationship specialists at Relationships Australia who can help you work through them properly and teach you how to navigate through the hard topics and work well together as a team with your partner.
Mr Nicholls said supporting Relationships Australia and the Relationships Indicators Survey research was a natural choice for the credit union.
“CUA is about changing the lives of our members for the better. Our support of this critical research and our partnership with Relationships Australia is one way that we can help do this,” he said.
“At CUA we recognise the link between financial stress and the breakdown of relationships. That’s why we have committed over $1 million in time, money and resources to help Relationships Australia deliver a new community education program to help Australian families address these issues, and others, and build better relationships.”
In recognition of the need to help people through this difficult financial period CUA is offering the community extra support by providing free counselling services through Relationships Australia.
“Any CUA member who makes an appointment and presents their membership card or CUA ATM card at a local Relationships Australia office will receive their first counselling session free or free admission for one to any education seminar.”
The offer is valid from 1 November 2008 until 31 January 2009. Numbers are strictly limited to the first 100 applicants in Queensland, Victoria and New South Wales and the first 30 in Western Australia, Northern Territory, South Australia, Australian Capital Territory and Tasmania*.
*Members in South Australia, Northern Territory and Tasmania should call 02 9425 4999 to make an appointment. All other states please call 1300 364 277.
Relationships Australia is celebrating its 60th anniversary in 2008. As one of Australia’s largest community-based, not-for-profit organisations, Relationships Australia provides a wide range of relationship and family support services from over 100 locations across the country. For further information visit www.relationships.com.au.
