I always find a new year so inspiring. When it comes to so many aspects of my life and work, I feel it’s a blank slate, the chance to improve and set goals. One of the common goals for so many people this time of year is to sort out finances.
The start of the year can feel a bit of a bleak time when it comes to money, especially if you’ve had an overindulgent festive period. However, it can also be the chance to change bad habits, make positive changes and finally feel like you’re heading towards your financial goals.
Over the years, with help from my organised husband, I have become much better at managing money. It no longer seems as daunting as it used to. We’re not perfect by any means, but here are some tips we’ve picked up along the way.
It doesn’t need to be a traditional spreadsheet, there are also tracker apps that can help you track your incomings and outgoings. We have a good old-fashioned spreadsheet and it works for us. We have a list of any money we know we will be paid that month and a list of all outgoing bills. It gives us a much clearer insight into how much money we have left over each month, and how we can allocate that money.
After we set up our spreadsheet it was easy to see what we had left over each month. We then set budgets for other expenditures. We allocate so much for food, entertainment, days out, treats and so on. This stops us from spending beyond our means and also helps us keep track of how much we are spending in each area.
We used to say we would just save what we had left over at the end of the month, and more often than not that amount was zero! We now have a standing order set up for a set amount to leave our account every month and we treat it as we would any other bill. That way we know we’re always saving at least something each month. You could also use a savings calculator to figure out how much interest you could be earning. This can help inspire you to put away that little bit extra each month.
When it comes to more complex financial matters, it’s always better to get professional advise. There are so many benefits of using a financial advisor. From savings accounts, mortgage applications and investments; it’s prudent to get advice from people in the know. The financial world can often be a daunting one so it’s handy to have someone who can cut through the jargon and give you honest, independent advice.
My husband and I share our finances and have a joint account. Many people prefer to keep their finances separate which is fine, but this works for us. However if you do share accounts, it’s important to still be up to date and aware of your financial situation. I used to let my husband deal with finances but we now tackle it as a team. We both know where we’re up to and what we have available. It not only means I get to be involved but it’s also a task that it’s no longer a chore solely landing at the feet of my husband. It’s a job that’s shared equally between us, as it should be.
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