Top tips: making sure saving becomes a habit, not just a new year’s dream
Top tips for making sure saving becomes a habit, not just a new year’s dream
The IFA Company’s Lucy McKinley thinks that the New Year is the perfect time for making good decisions about money. Here are her top tips for making sure saving becomes a habit, not just a new year’s dream.
It’s a brand-new year & many of us are making (& possibly already breaking) new year’s resolutions. At this time of year many of us will decide to start saving, but how can we make sure our savings resolution will last the year?
Focus on something you really want: whether it’s small things like that perfect pair of shoes or longer-term goals like retirement, everyone needs a reason to start saving. Some people are motivated by trying to reach a target while others just like the security of a rainy-day fund. Whatever your reasons, don’t forget what you’re saving for.
Don’t overstretch your finances: you’re more likely to continue to save if it’s affordable, so don’t resolve to save all your spare cash if it means you’ll be left short. Saving should be totally flexible so you can increase or reduce the amount that you save each month if you need to.
Think of saving as a necessary expense: saving money isn’t as difficult if you think of your monthly savings as another household bill, like your phone or electricity bill. Your savings will eventually buy something that you really want or need, just like your other bills.
Make a choice between cash & investments: if you’re savings for the long-term, investments are the only way to get a return on your savings. However, it’s also important to build up a cash fund that you can access in emergencies. SO the choice between where you save is an important one.
The IFA Company can’t advise you on how to achieve a better body or give up those bad habits, but we can help you make your money work hard enough to make future dreams a reality.
We offer a free, no obligation review of your financial situation and straight forward advice on financial planning.
Call us on 01946 821150, email [email protected],
visit www.ifaco.co.uk or find us on social media.
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