Are you still Running Your Finances on Air?
Finance (Photo credit: Tax Credits)
With incomes remaining static or declining and outgoings continuing to increase, many of us are feeling the pinch. Making sure that everything is paid on time and you have enough money to last the month can seem like an increasingly difficult juggling act. So what steps can you take to try and get your finances back on track if you feel like you are running them on air?
Sort out your debts
Most of us have debt in one form or another, whether it is a mortgage, loan or credit card balance. If you feel like control of your debts is slipping away from you then take action sooner rather than later. Look at how much you owe and the interest you are paying, prioritise debts that are essential or cost the most and look at ways you can reorganise the rest. You might want to consolidate your debts into one loan or transfer your credit card balance to a card with a 0% interest fee period.
Shop around
Make sure that you do not spend more than you need to by shopping around. Check that you are on the best deal for your utilities and, if not, switch suppliers. If you have a mortgage and are sitting on your lender’s standard variable rate, see whether you would be better off with another deal. Remember to shop around for your motor and home insurance too. While you may have got a good deal when you took out the policy insurance prices change quickly.
Have a clear out
Many of us have accumulated lots of belongings such as clothes, CDs and electronic equipment that we no longer use. It is all too easy to put off having a clear out, however, you probably have items that you could make money on, which could repair a hole in your finances or fund a treat. Set yourself a deadline and try telling yourself that “today I am going to start sorting out things I no longer need and sell my stuff to make some cash“. As well as making money you will free up space in your home.
Get organised
If balancing your monthly budget is difficult then it is important to get organised as this will help you spend in a planned way rather than making impulsive decisions. Making a weekly meal plan and creating your shopping list around it is a good way of stopping yourself being tempted in the supermarket. And, as well as saving money you will waste less too. Making sure you have a full load of washing or a full dishwasher before using them will also save money if you are on a water meter as, even if your machine has a half load function, it will probably use up more than half of the water and energy as a full load.
When it comes to regaining control of your finances it pays to be organised. Make sure that you have organised and prioritised your debts, that you are using the most competitive suppliers, that you have sold goods you no longer need and that you are in control of your home spending. Hopefully then you will no longer feel like you are running your finances on air.
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Category: Family Finances
