We all strive to be ready for any financial scenario which may occur during our lifetime...and to possibly win the lotto! There are always bills to be paid and surprise expenditure that will pop up every few months e.g. car repairs, health bills, house maintenance etc.
In the words of the mantra I like to sometimes use, Fail to Prepare or Prepare to Fail! The best we can do is to be ready and informed. So in saying that, here are a few tips to help you along your financial journey.
Spending : Know what you are spending your money on and where it is going. A budget can be a very useful tool for seeing where you need to possibly make changes as a result of logging and assessing all of your expenditure. Shopping around for a competitive price when it comes to life assurance/mortgage protection, car/house insurance and groceries is also a good practice for knowing that you are not spending more than is necessary.
Savings : Short Term and Long Term. Saving an allocated amount each month, be it in the credit union, a pension or a personal savings plan is a very good habit to keep. In the short term, you may have unexpected bills that will come along when you least expect them. So having some type of emergency fund can be very reassuring. In the Long Term, you may be looking forwards to having a retirement pot and to finally reap the rewards of your hard-earned money.
Protection : Whether you are employed/self-employed, have bought or rent a home or have a family/dependents, it is highly essential to make sure you protect yourself. There are many variations of life assurance, serious illness cover and income protection available. I am just a phone call or email away and can explain the benefits and costs for any of these products.
Debt : Save on paying high interest charges by clearing any credit card debt monthly. Using a debit card rather than a credit card can also be a better way to manage your day to day expenses and will stop credit card bills building up.
Be Sensible : Be informed when making financial decisions. Always seek guidance where investments are concerned and be ready for the long game. The markets can go up but you also need to be ready for the down. This will inevitably happen over the lifetime of any investment and a minimum of 6-7 years will give a good reflection of how your fund is performing.