I always get to where I’m going by walking away from where I’ve been – Pooh Bear
I’m going to spend some time with a young couple. They are clients of mine, I really like them. They have 3 beautiful young children and are working hard to be a great mum and a great dad.
They are not work shy and you can understand that they can really put in. The business they have (tradies) is improving, but there is a big tax debt.
It’s a mess but we have a plan to take them from this mess to owning a house, but its going to be hard.
They never had that experience in life where they had to save money. They come from many of the generations that where told they could “have it now” so they have blown so much money on things quite frankly just keep them poor.
I know that in our plan they have a reasonable amount of income. The plan works around paying the tax debt, but in doing so when the debt is paid keep saving at the same rate so that they will have a deposit after a further 2 years, reaching what they told me is their key goal.
But they have to ‘walk away from where they have been” – a world of just spending. They need to sell a few assets, not drive such an expensive 4×4 and really focus on budget. Its going to a hard gig for them, as they have never had to do this before.
There is actually with tax debt there is a lot that they have go away with, till now, but if they don’t change, then the music will stop and in the end they will both be bankrupt and loose a lot of the (adult shinny) toys,
- or they could own a house.
We will certainly give them all the support – if they want to walk away from where they are now and to where they want to be then we will achieve a lot.