5 NEW YEAR MONEY RESOLUTIONS
from the experts
1 LEAVE YOUR CARDS AT HOME
Steph Mcgovern, BBC Breakfast and BBC Watchdog presenter Just take cash with you, if you’re worried you’ll splurge while shopping. Then, if you see something you want, you’ll have to go home to get your cards and that will make you think twice! Use credit cards wisely. Get ones that help you earn while you spend, and pay them off every month. Can’t do that? Transfer the balance to a card offering an interestfree promotion. Check your bank balance every day. Most banks now have an app so you can check your account easily wherever you are.
2 SET A GOAL FOR EACH MONTH OF THE YEAR
Saira Khan, TV presenter, businesswoman, author Start the year by writing down 12 targets, then look at all your spending to see where you can cut back. By doing this, I made these savings: • Saved £80 per month on gym membership. Instead, I trained at home using online workouts. • Saved around £200 a year by switching energy supplier. • Saved £350 a year by changing to a Sim-only phone deal.
3 GET TO GRIPS WITH INVESTING
Merryn Somerset Webb, of Moneyweek magazine Move your spare money (anything beyond what you need to live for six months) out of cash and into the stock market. If you put away £20,000 today and get 1% on it for 20 years, you will end up with £24,420. Make that return 5% and you will have £54,252. Life changing stuff! See Moneyadviceservice.org.uk and Hl.co.uk, to help get yourself started. Or use an online investment service like Nutmeg or Netwealth. Be aware of fees. If you’re paying more than 1%, move your money.
4 DEVOTE AN HOUR A WEEK TO STAYING ON TOP OF YOUR MONEY
Professor Heather Mcgregor, author of Financial Advice For Independent Women Use your ISA allowance, which is currently £20,000 a year. To get the best rate, use a comparison website like Moneyfacts. co.uk. Set aside an hour a week for your finances – I put it in the diary so I stick to it! Use it to check statements, sort out bills and make sure you’re getting the best deals.
5 DON’T MISS OUT ON ANY FREE PENSIONS SAVINGS
Baroness Ros Altmann, former pensions minister and retirement expert Every employee earning more than £10,000 a year must automatically be put into a pension plan by their employer, who must also pay into it. More will be added by the taxman, too, so the amount you put in can more than double. See Moneyadviceservice.org.uk.