On February 16, 2025 By newsroom Topic: Saving And Investing Money
Managing your money starts with creating a realistic and detailed budget. Here's how to use the Budget Planner Tool and tips for gaining control of your finances:
Use the budget planner to pinpoint your financial status accurately.
What Can You Afford?
Track both regular and one-off expenses like gifts or vacations.
Decide Who the Budget Is For:
Is this for just you, or does it include your partner/familyBudget accordingly.
Be Honest with Your Figures:
Overestimate expenses to ensure you’re prepared. Avoid double-counting costs.
Separate Debt from Spending:
Differentiate repaying existing credit card debt from regular spending.
Account for Pensions:
Include only pensions paid via your bank account (not payroll deductions).
Include Irregular Spending:
Fill in all your income and expenses honestly.
Identify Overspending:
If your outgoings exceed your income, take action to cut costs.
Adjust and Save:
Identify main expense areas (e.g., rent, holidays, groceries).
Create Spending Pots:
Alternatively, set up separate bank accounts for specific categories.
Automate Transfers:
Example: Allocate £67/month to a Christmas savings pot for a £800 annual budget.
Track Spending:
Seek help from agencies like Citizens Advice or StepChange Debt Charity if necessary.
Start Small:
Reduce unnecessary expenses like daily coffees or subscriptions.
Plan for the Future:
Budgeting is a powerful tool for gaining control of your finances. By tracking income and expenses, making adjustments, and using techniques like piggybanking, you can avoid overspending and build a secure financial future.
Ready to startDownload the Budget Planner and take control today!