Hello and welcome back! It is time for post two of my Get Organised Week! Today I am sharing with you post number two of my get Organised Week. If you haven’t seen post one on How to Organise and Declutter your home, why not check it out here?
Now onto today’s post. I am no expert when it comes to finances (are any of us really!?), it’s something we probably should be taught at school instead of Pythagoras but anyway I digress. I live in London which is infamous for being expensive so I have had to learn how to budget my money. Though I am not perfect and occasionally slip up (especially when I see a book sale!). The advice I am going to share with you now does help me to manage my money so I hope it helps you too.
When you receive your salary (for me this is monthly) work out what you have after you have paid the bills. I have a separate account I use for bills so I put my money for bills there. Then with the remaining money I first put some into my savings account and then divide up the remaining money by five (the number of weeks until I get paid) to create my weekly budget. Though this process sounds dull it stops me for spending all my money at the start of the month and prevents me having none left at the end!
Talking of your salary, sign up for your Pension! Start as soon as you can. It means a small amount of your salary goes into your pension every month. In the UK your employer also has to contribute. It is a great way to invest in yourself for your future.
Set a goal for what you are saving for. This goal can be small such as a item of clothing you really want or huge such as a deposit for a house. For me I was recently saving up for a holiday to Newcastle. Having a goal of what I planed to do with the money I saved allowed me to ask myself before I buy anything non essential “Is this item more important than my trip to Newcastle?”. Often it wasn’t so I would save the money rather than spending it.
The easiest way to save money is to bring in your own lunch. In London you can spend £8-£10 each day on lunch so that £40-50 a week. Instead I can buy a week lunch food shop for £10-£15. It is obviously ok, to treat yourself too. I treat myself on Friday to lunch out. Along the same line make coffee at home and bring it in or use a resuable cup for a discount in most coffee shops.
Credit cards can either be helpful or put you into debt. Now it is obviously your decision whether you have one or not. I personally don’t have a credit card as I don’t trust myself to use it sensibly. It is easy to put yourself in serious debt with a credit card. However, if you trust yourself to use a credit card sensibly (by that I mean paying back what you use) it can help to build up your credit score. A good credit score is important as companies can check your credit score before offering you a contract such as a phone or even a mortgage.
Maximise vouchers and store cards. Collect store points on your essentials! You can use these to either discount your essential shopping list or treat yourself to something you’ve wanted. For the same reason as credit cards it is best to avoid store cards that allow you to pay later!
Explore bargain shops such as Poundland, Wilkos, Bodycare and TK Max. You would be amazing what you can find there! See what I discoverd in my recent Poundland Haul here.
Also buy in bulk where you can such as pop drinks, crisps, cereal bars and porridge. Iceland Warehouse and Costco is great for this. Also buy tinned or frozen food when you can as it is much cheaper and lasts much longer.
Only buy clothes you really love, if you are umming and ahhing in the shop you don’t really need it! Also consider how the item would fit in your existing wardrobe and how often you could wear it. Spend more on the basics such as black boots and less on fashion items such as in my case a purple fury gillette.
Check what you are subsribed too. It is amazing what you can subscibe to and forget. But still being paying for it everymonth.
Use your library. If you are bookaholic like me you can save money buy using your local libary for free!
So I hope these simple tips help you. Do you have any budgeting or money saving tips? We all need a little help so share your advice in the comments below.