New year, new you, right? If one of your goals for 2023 is to get your finances in order, then we’ve got just the thing.
Check out our top January money tips to help you start the year off on the right foot financially.
From budgeting hacks to ways to boost your savings, we’ve got you covered. So what are you waiting for? Let’s get started.
Make a budget and stick to it – track your spending
Budgeting can be a difficult task for anyone, no matter how much money they earn.
However, it’s a logical first step to take if you want to make sure you’re using every pound responsibly and not just aimlessly spending.
To help make budgeting easier, track your spending over a month and see exactly where your hard-earned money is disappearing off to.
That should give you an idea of what to cut back on – or spend more on! Budgeting isn’t impossible but it does require the right amount of will power and focus to stick to.
Automate your savings – set up a direct debit
Setting up a direct debit that ensures a proportion of your pay goes straight into a separate savings account can be a great way to make saving easier.
Direct debiting is convenient and simple, and you should be able to set it up manually in your banking app without too much trouble.
Online-first banks like Monzo make automating your savings easier still. Not only can you set up separate money pots for different money goals, Monzo even allows you to round up to the nearest pound – that way you can spur yourself on to save without even noticing.
With the convenience of automation, reaching your financial goals in 2023 just got a whole lot simpler.
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Invest in yourself – take a course, read a books, or upskill
Investing in yourself and upskilling is one of the best decisions you can make. Not only can it boost your knowledge and self-esteem, it can also supercharge your earning ability.
Taking a course or reading books can open new doors for you, with the potential for promotions or even finding a new job in a different field.
Upskilling yourself is an investment that always pays dividends in one way or another, so don’t be afraid to make it happen; if anything, your future self will thank you.
Live below your means – save up for big purchases
While there’s no single winning formula for financial success, living below your means is a good place to start.
While it’s not easy, this mindset can help you save up for big ticket items instead of adding them to an ever-rising pile of looming credit card debt.
True, it may not seem as fun in the moment. Purchasing something with a swipe or tap of a card allows you to deal with the finances later, but think what a difference an extra few months of saving up can make when it comes to affording something expensive.
This way, you can acquire those costly items without having to worry about monthly payments that never seem to go away.
Stay disciplined – don’t give in to impulse buying
If you want to reach your financial goals, try being strict with yourself when it comes to impulse buying.
We’ve all been in the position where we go to the shops aiming to buy one thing, return with ten things, and wonder why money gets so tight towards the end of the month.
Avoid the urge of impulse buys by asking yourself: do I really need this? When in doubt, always think through each purchase before making a decision – it will help you stay disciplined and keep your spending in check.
Remember that sometimes it’s best to simply walk away from the store with nothing but the knowledge that you are one step closer to achieving your goals.
Have an emergency fund – ensure you have cash to cover unexpected expenses
Unfortunately, your savings can’t always be dedicated to the things you want. Sometimes that money needs to go towards the things you need.
Emergencies happen – and sometimes they come with hefty price tags. Whether it’s a boiler breaking down or your car needing expensive repairs, having an emergency fund is a great way to ensure you don’t have to break the bank.
Ideally, strive to set aside enough money each month that would cover two or three months’ salary – this will give you some much-needed financial security should the unexpected happen.
Start 2023 with a bang
The new year is here and it’s a perfect opportunity to get your finances in order and make sure that you are setting yourself up for success in 2023.
Use the tips outlined in this blog post, like making a budget, automating your savings, investing in yourself, and building up an emergency fund, to jumpstart your financial plan. Why not hit the ground running this year and turn your resolutions into results?
If you are looking for more information on how to get financially fit this year, keep an eye on our Facebook and Twitter feeds for more money advice.
