Good Financial Planning
The starting point of any financial plan - whatever you hope to achieve - is to know exactly where you are with you money and set a workable budget in place that you stick to. How far you choose to take your planning; whether you simply want to repay some debts or whether you want to become a multi-millionaire - is down to you!
- Take stock of where you are: work out what your income and outgoings are and summarise your assets and liabilities.
- You should aim to repay any outstanding borrowing as quickly as possible (watch out for early repayment charges though). If you are paying interest or charges to a lender then you are wasting money.
- You should aim to build an emergency fund of at least 3 times your net monthly income to give you some security if something unexpected happens.
- In addition it makes good financial sense to put money aside each month to save up for the things that you want, such as holidays, so that you are earning interest before you spend rather than paying a high rate of interest after the event (which of course means the purchase will cost you more and you will be paying for it long afterwards).
- Stop impulse buying. Only buy what you really want or need.
- Review your mortgage. Mortgage products change regularly so if you haven’t reviewed yours for a while, shop around to see if you can reduce the cost of your repayments (again check for early repayment charges).
We offer a one-off service to do a “health check” on your finances and set up your budget so that your money works for you, not against you. Alternatively, we can give ongoing coaching for wealth creation. Contact us now on 07855 496132 to see how we can help!
Please download your free copy of “Introduction to Financial Coaching”
|
|
