- Recognise and manage your lifestyle spending
Being on auto mode is far too easy when buying small items, especially with contactless. Too often, we don’t fully register exactly how much is leaving our accounts, so make yourself fully aware. Whether it’s filing receipts or creating a spreadsheet, it’s vital to keep track and manage your everyday spending to know exactly where those extra pennies are going.
- How about trying to change those personal finance habits?
Be aware of what you are spending your money on and try to find the best bargain. This will help you get in the habit of personal budgeting. Ask yourself whether you ‘need’ or ‘want’ the object, if you could buy it next month, or, if you could buy the same thing for a cheaper price. Don’t be fooled by seductive advertising, and always look for a cheaper shop. Boosting your finances is in your control!
- Saving on (the small can win big) lifestyle items
Do you really need that £4 coffee? Most lifestyle items are a necessity but the amount you spend on them is not, and neither is that morning coffee (…and after work drink!) The average worker spends £10.59 on lunch, coffee and snacks per day, which is more than £2,500 a year. Try making your own coffee or bringing in lunch; you will soon discover a noticeable difference that will be hugely beneficial in the long run.
- Helping you plan ahead for those tedious automated bills that we always forget about
Standing orders and direct debit bills are definitely a safe and convenient way to make regular payments. However, it is easy to forget the various amounts leaving your account, from rent to gym and gas to mobile bills, which are all paid off at different times of the month. To evaluate how much you need to save each month, check your online banking regularly and write down the date and how much is leaving your account on a post-it note. Stick this to the fridge and you will constantly be aware!
- Bulk buying
Bulk buying food and drinks is far more cost effective, and between groups, the cost is minimal. We all find it irritating having to buy household necessities, such as loo roll and washing up liquid, so remember that bulk buying allows you to experience great cost advantages through economy of scale. It also means you will have to do the household shop far less regularly!
So, by putting these five realistic financial habits to the test, you will soon see a boost in your finances. With a bit of determination and perseverance, you will be able to reach realistic long term financial goals through the impact of short term saving on a daily basis.
Combining these five good habits can set you along a long term path towards financial wellbeing but if you are in need of a steppingstone, a short term loan may be a solution to help you on your journey back into financial wellbeing.
This article has been brought to you by Uncle Buck Finance LLP