When our favourite brands offer us credit, lay-by purchase offers and specials, it can be rather tempting to indulge in the latest products, but this is not always the best idea. Today, I will be chatting to you about money and how to move away from the pressures of making unnecessary buys that are beyond your means. I am not a financial advisor, but these are simple tools you can implement to push, grow and develop yourself further. If, however, you are struggling, please contact a financial advisor, and we can work through your struggles together.
Feeling in control of your spending habits and finances is crucial to your overall well-being. This can be achieved by spending less than you earn and making room within your budget to save! I know that it can be overwhelming to face the reality of your finances, but it is doable, and it is essential to rectify them. So even though spending money is exciting and purchasing items on your wish list is momentarily satisfying, finding pleasure and gratification from saving is all the more worth it in the long run. Saving should be a priority, and whilst some of the time, there are unforeseen circumstances that get in the way of saving, that should not become a habit or needless reoccurrence.
You don’t have to look at saving in a sacrificial light; it will provide you with financial freedom and liberation later on in life for the purchases that matter. The best way to start saving is to bring your awareness to your spending habits, budget, actual needs and your luxury purchases and making some adjustments where possible.
Firstly, you need to compartmentalise your finances. Map out your long-term plans which comprise of things like setting measures in place to settle debts and or financing those more significant purchases like buying a home. Secondly, remind yourself regularly that your short-term financial decisions should not be based on fitting in or “keeping up with the Jones’s” will liberate you. You will find that when you turn your attention inward and focus less on others, it will be a lot easier to skip on the next fad or trend that everyone else has hopped on.
These are some tips that can help you keep abreast of your finances and in turn, reward you with reduced anxiety and stress.
- Make yourself aware of your significant expenses:
Track your monthly expenses. What are your big, non-negotiable expenses, like rent or groceries? What subscriptions are coming off your account? Doing this will help paint a clearer picture of where you stand financially.
- Keep your savings in mind:
You should ensure that you have accommodated for some form of saving. Anything is better than nothing, but it is helpful to aim to save around 10-20 per cent of your income. It is much easier not to spend this money if you move it into a savings pocket or into another account to ensure that you are not tempted to spend it.
- Find ways to cut unnecessary spending:
Identify the purchases in your life that are not essential or genuinely beneficial to your life. These purchases can be reduced. Cancel those reoccurring subscriptions that you don’t use. Make eating out a treat and choosing to actively look for events that are free or low cost that still provides you with fun and memorable experiences.
If these my message resonates with you, please follow me on social media for more tips and insights like this. I offer a variety of services which you can find on my website.
