Financial Tips: Know where your money goes
Need some financial tips? It is advisable that you check your finances most days, to check what comes in and comes out. Internet banking has obviously made this a much easier task. However, life in general can get busy and it is very easy to forget to check.
The best way to manage your accounts is through budgeting and self-control. We recommend looking through your previous statements from the past six months and breaking down your spend into groups: Food, Clothes, Alcohol, Restaurants etc. This will provide greater insight into your expenses and consequently, allow you to make small changes in your spend.
Asking yourself these questions, for example, is a great financial tip…
Did you spend £400 on food this month? Keep your receipts and understand why you’re spending so much.
Do you have a lot of food waste? Beginning from your statements is only the beginning, before digging a little deeper into ‘why’.
Why am I struggling to spend within my means? Why am I only shopping at luxury food stores? What can I do to change this?
But if you’re struggling financially, it’s likely that overspending on food is just the tip of the iceberg. It’s about other things such as clothes alcohol and restaurants. Find the anomalies in your bank statements and try to cut down from there.
If you’re eating out a lot, or spending money on clothes that you don’t need, ask yourself why. Take a look at your finances and ask yourself what counts as a luxury and how much you’re spending on them. Then, give yourself a monthly budget for luxuries.
Additionally, keeping your monthly expenses as low as possible will also save you money over time. Save today, for a better, more prosperous tomorrow.
See more blogs for other financial tips by Pixie!
