January Money Tips

January can often leave us feeling flat after the celebrations and frivolities of the Christmas season. It is often a time when people are feeling the squeeze when it comes to money, whether it’s the self-assessment tax deadline or credit card bills coming in after Christmas.

There are many things you can do to counter these feelings and start to regain some control and actually January is a perfect time to get planning for the rest of the year. So here are some January money tips.

Create a budget

It is so easy to spend more than we’ve got coming in. We often underestimate what things are going to cost or forget about events or celebrations that are coming up and we won’t have budgeted for them. This can easily lead into overdraft fees and credit card charges. January is the perfect time to sit down and work out what is going to be happening for the rest of the year. What events are coming up: weddings, birthdays, special celebrations, even Christmas! Include things like haircuts, medicines, MOT, memberships. What will you spend on them? Get really clear on what your income is and what all your outgoings are. Total them up and divide by 12, then create a plan to put these things aside monthly in preparation for those events. In order to succeed, write down these intentions and put the plan into action.

Pay yourself first

Once you’ve worked out your budget, if your goal is to save money this year, pay yourself first. Work out what you want to save each month and then transfer that money first, to somewhere separate if you can. Even better is to make it automatic. Alternatively, check out some of the apps that are out there now that help you to save money without feeling it. We are more likely to succeed if the process is less painful. If you are looking for ways to cut down to help you save some money think about the little costs that add up. So, if you get a coffee 5 days a week, cut just one of them out. That £2.90 x 52 is £150.80!

Remove those links

The internet and technology have made it easier than ever to spend money. How many times have you seen something you liked and with just 1 click it is bought and on its way? Remove the automatic link to your cards on all your favourite shopping sites. Such an easy win but makes such a difference. You can fall into the trap of the easy click and we can often forget what we’ve bought and that we’ve even spent some money. By the time you have to get up, go and find your purse, get the card out and input the numbers, you may have thought twice about that purchase.

Meal planning and make your own lunch

If you are struggling to reduce your outgoings in any other way, looking at food is a great place to start. We throw out tonnes of food every year, which is a huge waste of both food and money. Meal planning is a really good way to ensure you’re only buying what you need as you can make your shopping list from your meal plan. Why not try dropping down a brand on certain products too? Take your own lunch to work. £5 a day on lunch can really add up! Cook extra at dinner and take leftovers or make up a batch or soup or pasta at the weekend to take with you.

Getting value for money

If there is something you really want to buy, don’t buy the first thing you see. Make sure you shop around. Some shops offer discount codes for signing up to newsletters and the price difference between stores can be huge. Also check to see if you can get cashback on the purchase.

If you have memberships and subscriptions, are you getting value for money? Check your bank statements and complete a standing order and direct debit audit to make sure you’re not still paying for services you’re not using. Ask yourself if you are making the most out of the subscriptions and memberships you do use. If not, consider cancelling them. If you do, consider if it is worth it or if you can get it cheaper elsewhere. While doing this, also check for payments that auto-renew like insurances. Shop around and compare deals to get the best one for you.

If you feel like you’d like some accountability, come and join my Facebook community to help you keep on track.