The New Year is always a time for making resolutions. Some of us stick to them and, let’s be honest, some of us don’t!
But one resolution it would be worth making and seeing through is the way we look at our money. If we can get a better understanding of our financial position, then we will be better placed to plan, for everything from a summer holiday to our retirement.
Here are the Proposito team’s three top tips on getting an understanding of your finances:
- Look carefully through all your bank statements and check all those direct debits and standing orders. Is there anything you no longer need? Then – as long as you are out of contract – cancel the payment. And, again if you are out of contract, shop around for better deals for things like TV, phone, broadband etc.
2. The same goes for utilities and insurance policies (house, car, pet and so on). Make a note of when they are up for renewal and then you can visit comparison sites in advance and make some savings.Get a proper understanding of your wealth. List your assets (everything you own outright or jointly) and then list all your debts (factoring in interest payments). Then work out an informed repayment strategy.
3. Analyse your spending and be honest with yourself – list everything. Then decide what is essential, and this should give you a figure for the minimum amount you could survive on. Then you will know each month what you have available, so you can create a budget. This will help you plan, save and spend without feeling guilty.
For more help and advice from Proposito Financial Planning – Professional Services Provider of the Year in the 2020 Cirencester Chamber of Commerce awards – visit https://proposito.co.uk/, email firstname.lastname@example.org or call the Cirencester office on 01285 708444.