For many people, the start of a new year heralds a time for a new start, and if you are struggling to get your finances in order, now is the time to get them back under control.
Make a Commitment
The first step in getting your finances in order is to make a commitment and really mean it. Start by compiling all your expenses and incomingsthen categorise them. Consider splitting the lists into essential items, such as bills and rent charges, and then a second of non-essentials, like gym memberships, TV subscription service packages.
Use this information to formulate a budget, and make sure that you stick to it. Assess your current outgoings and see where you can save money; often deals for new customers (car insurance, utilities etc) are better than the offers made by companies to customers they are trying to retain, so shop around to make sure you are getting the best deal.
Look at Your Credit
If you have a poor credit score it is now time to consider rebuilding your credit. Analyse your current financial situation, aim to reduce what you owe and pay off any existing debts. Setting up a direct debt can take the hassle out of paying bills. Making sure you pay any bills on time and joining the electoral register can also both have positive impacts on your credit score.
Start to Save
Once you have your budget all figured out and you have made sure you are not paying over the odds for your utilities, now is the time to look at your lifestyle to see where further cuts could be made. Paying for a gym subscription you never use? Treating yourself to a take away coffee every morning? That’s all wasted money. Don’t look to cut out completely – that would make it almost impossible for you to stick to your goals -instead look at making non- essential items a treat, you’ll enjoy them all the more that way too!