The first thing to do is to list what you want and forget about what you need. For example- It is easy to say you want to move out of the family house and buy a house, however, if it’s your friends birthday on Saturday night and you are all going on a night out, do you need to buy a new outfit? This doesn’t mean you can’t live your best life and buy things whilst aiming to get a house but if you have a wardrobe full of clothes and shelves full of footwear, it’s up to you to think about whether that £50 needs to go to buying an outfit similar to what you might already have or whether that £50 can go towards a ‘help to buy’ or savings account.
If you’re in the position to buy luxuries and save at the same time due to maybe having a good-paying job, stability, inheritance, investments etc and you remain organised, then do as you please but if saving and financial knowledge for you is slacking, well this post is for you.
Make a list once a month or what you want in life; because your goals are important. When and if you go off track this will work as a reminder. Write your financial plans and goals down. If you have bills to play or need emergency money, food money etc write down your budget. If your wage allows you to put 75% into savings, go for it but never dip into your savings to take it out; therefore you need to be sure you can afford to keep putting in 75%.
Do your research and get that knowledge up! Bonds, investments, stocks, learn about different ways to save and invest and see what works for you. My financial goal is to be able to buy my own place before the age of 30, so I have investments and goals that work towards it. However, if your goal is to be able to buy a certain car or do be able to put a certain amount of money aside for your child, my plans and what I do to save and invest won’t necessarily work for you. To be financially stable and to set yourself realistic goals I will always say research is key.
Talking of goals. To write them down, you must first set them. You want that house, you better set goals to work towards it. How are you going to get that house? How are you going to fund keeping that house? How much can you put towards a mortgage? How much are bills going to cost you? Will you need to make cut backs? Can you do this alone or do you need a partner? All these questions are important and will help you to create a budget and a financially stable foundation.
Stick to these goals. Don’t just calculate money and write it all down on a piece of paper you’ll lose. Action it. Be sure to see it through. This might mean saying no to some financially heavy events from changing your holiday budget to changing your mobile phone plan (saved me £18 a month by the way). Speak it into existence.
And last but not least in connection to actioning goals, leave behind distractions. The road to success and becoming financially stable means having to prioritise. How will you do what you need to do if you spend £200 in the club every Friday night but you get paid £18k annually? Consider options. Nights in, a more cheap and cheerful motive or something as simple as not spending as much money when you’re out. Think about your life choices and get organised.
For further information on how to save or to get yourself started, please visit my contact page or Instagram Solobutterflyy.