recovering from your Christmas financial hangover

January is always a bit doom and gloom…the weather, the anti-climax, the financial damage from Christmas. But it can also be a great time to wipe the slate clean and create healthier financial habits.

We’ve put together some tips to help you regain control of your finances after an expensive Christmas!

1)    Know Your Figures

There’s no need to give yourself a heart attack and work out how much you’ve spent. However, you do need to come to terms with your figures. How much money do you have in your current and savings account? You may have some debt to clear off first but after this try automating your savings, transfer a realistic amount across each month and build it back up again!

2)    Address Your Debt

Did you go into an overdraft, use credit cards, or purchase any items on finance? If possible, clear any unsecured debt as quick as possible paying off the highest interest debts first. If you can’t do this and you’re struggling with previous debt, please get in touch.

3)    Review your outgoings

If you want to improve your financial position, you need to spend sensibly moving forward. Now is a great time to spring clean your finances highlighting expenses on your bank statements that aren’t providing you with any value.  Cancel subscriptions you’re not using and identify your money wasters to reduce monthly expenses.

4)    Set a budget

Do you ever plan how much you’re going to spend? That might sound boring, but you’d be surprised by how much money you can save by sticking to a budget (the takeaways, Starbucks coffee and occasional shopping spree all add up!) The next time you go to the supermarket write a list and stick to it, stop the impulsive buying. The same for Birthdays and Christmas, set a limit. These are great ways to stay in control of your money.  

5)    Talk to others

Money worries can affect your mental health if you let them go on for too long so please don’t suffer in silence. Talking to friends and family can offer you the reassurance and motivation you need to take action.

If you’d like further advice from us about improving your financial position, please get in touch 01633 987070.