Five tips to feel good about your spending
Feeling good about your spending often comes down to managing your day-to-day budgeting, knowing your goals and having a plan for how to achieve them. To help, we’ve put together five top tips for how you can spend less and save more, so you can work towards meeting your future goals.
1. Take control of you day to day spending
Regularly reviewing your bank statement is a quick and easy way of identifying unnecessary spending that you can turn into real life savings. Look at your service providers to make sure you are getting the best possible deals, cancel any unused subscriptions and limit your online shopping by removing your card details from your favourite websites. Small changes could potentially save you hundreds of pounds, savings that could help you reach your bigger financial goals.
2. Stick to a spending and savings plan
Your savings goals might be short-term, like building contingency savings, buying a car, getting married, or longer term, like buying a house, starting a family or saving for retirement. Either way, it’s always a good idea to put together a plan. List your income, map against your spending, add your goals and you have the beginning of a financial plan. Making a plan that you can stick to will help you feel good about how you are spending today and give you confidence to work towards your future goals.
3. Set up your contingency savings
Your plan should cover more than your day-to-day, it’s also a good idea to have contingency savings set aside for any unexpected financial setbacks. Start by aiming to have a contingency savings plan equivalent to one month’s income. Though you might want to think about how long you could survive if you lost your job tomorrow. It's ideal to have at least 3 month's income saved to prepare you and your family for the unexpected.
4. Start saving for the future
Making small changes today can make a big difference to your financial wellbeing over the longer term. Your retirement can feel like a long way off, especially when you’re busy juggling work and personal commitments, but it’s important not to lose sight of longer-term goals. When it comes to saving, the longer you can contribute the longer your money has to grow. Time is a powerful tool and your savings can grow to a sizeable sum thanks to the benefits of compounding.
5. Take advantage of technology
While your fitness app might be helpful to keep you moving, there are a range of money apps that can help improve your financial health too. Installing an app onto your phone will give you real time information about your savings, investments and spending habits.
Get started with our interactive spending activity sheet .