The start of the New Year usually means a big drive to start saving money, with thousands of companies promoting their saving plans and top tips. Usually people become inspired by this and so often intend to start saving, however the reality for many is that sitting down and sorting out finances is a daunting process and so a lot of people decide to put off that terrifying task until tomorrow… and then tomorrow never comes.
The reality is with something as serious as finances, being scared to start looking can only ever be a short term solution and any delay can have some severe ramifications. There are so many reasons as to why it is important to get your finances in order, but the main benefit from sorting you’re your finances in the increased sense of security and peace of mind you will get from knowing that you are financially sound. It allows you to plan for the future and means that you no longer have to worry about where the money will come from for any unexpected bills. Getting a grip on your finances will also allow you to set saving goals and means that you won’t feel any guilt when you do spend money as you will know that you are able to afford this.
The best advice when looking to start saving, aside from stop putting it off until tomorrow, is to start small and make a regular commitment. Set up a direct debit regular payment to a designated savings account. Often people don’t start to save as they are under the mistaken impression that they have no spare money but even putting away a £1 a week is better than nothing and over time even this small amount will begin to add up. Many people find once they have made a start it is easier to gradually increase the amount they were putting into their savings.
Once you have started to regularly put aside some money into a saving account then next step is to look at where else you can start to save money. Luckily, My Voucher Codes have put together a fun video which shows some brilliant money saving tips, which are easily for anyone to put into practice.
Getting rid of debts by consolidating loans and transferring any outstanding balances to interest free cards are something that should be tackled early on. Once all debts have been cleared you should find that you can once again increase the amount you are putting into your saving account. Cutting back on luxury items is another sure fire way to ensure that you are only spending what you need, and by making sure that luxury items are only bought occasionally means that they retain the feeling of luxury and being a treat. Asking yourself “do I need this” before you purchase anything is another good tip, as if the answer is “no” then you don’t buy it which means that you are not wasting money.
Getting your finances in order isn’t something that can happen overnight and has to be treated as more of a life style overhaul. However, this also means that once you have made the decision it is easier to stick with your new thrifty lifestyle which will have economic benefits for years to come.