- Budget. Over the years we accumulate lots of small direct debits from subscriptions to various things. I intend to go through all of mine and cancel any that I am not using enough to warrant a subscription to. These kinds of subscriptions include (but are not limited to): things like Netflix, music websites/downloading websites, Sky television (do I really watch the movies and sports channels?), mobile phone contracts (maybe a lower tariff would suffice?), clubs and things like gym memberships. Maybe there are cheaper alternatives to some of these available? These are all things I intend to consider.
- Use mobile phone apps and computer tools designed to help me monitor and control my expenses to help me see where I use money most and where I can make savings. Some of the apps I have read good reviews for include Mint, an app designed to help you monitor your spending. Personal Capital which seems to be similar to Mint in its functions but also places emphasis on investments whereas Mint does not.
- Try to save 10% of my monthly incomings to help in emergency situations and help to avoid the need to go into debt to pay for something essential.
- I am going to physically organise my finances by introducing a folder keeping everything in one place. This folder will house letters and statements and allow me to check what I owe and to who quickly.
- Comparison shopping. I am going to try to save money by comparing prices and changing my spending habits accordingly. This includes not only my grocery shopping but also things like utility bills, fuel costs. By making little savings on all of these things I hope to see large saving each month.
- Paying off high interest debts first. Clearing all of my debts is important but to start with I intend to focus on the debts with the highest interest, so that I end up paying less back in the long run. I hope to pay extra off these high interest debts each month, while continuing to make minimum payments on the remainder of my debt.
By following this I hope to have a less stressful financial year next year and in turn be able to relax and enjoy the year more.
Image credit https://openclipart.org/detail/194776/cartoon-pig