If you’ve done a lot of out-of-budget, boredom-induced lockdown spending in 2020, it’s easy to consider the rest of the year as a write-off. Then fritter away what you’ve got left during the festive season. Well we want to stop you in your tracks before you do! Studies show that it takes 21 days to build a habit…so why put that off till 2021?
The sooner you start making smart money choices, the more likely you are to carry those habits into the new year with you. Have a read on to find out 4 practical ways you can feel better about money now and start 2021 on a strong note.
1. Focus on the things you can control before the year ends
Why not begin by thinking about what you can control right now…like Christmas!
Planning Christmas can be stressful, emotional and a huge financial burden. Although it might seem like you have to spend large sums of money on loved ones to show that you care — the reality is this isn’t true! Buying a set of books for a young reader, or maybe a great cookbook for your mum? Sites such as Wordery sell beautiful ranges of hugely discounted books (all with fast, free delivery). These make incredible, money-saving presents for bookworms. If you are looking to get a particular branded gift for your stylish sibling, head to an online outlet instead such as Fashioniesta or Top Brand Outlet.
When it comes to cooking Christmas meals, if you can wait to shop until Christmas Eve or the leading days before Christmas, you’ll be able to find huge reductions on cuts of meat and other ingredients. Even making simple swaps, like Prosecco in favour of Champagne, can lead to some nifty savings! Start planning ahead how you can scale-down your Christmas budget — and you’ll be surprised at how much more money you can start the new year with!
2. Pick a financial goal that’s important for you
If you’ve been following us for a while, you’ll know that at Lifetise we’re big on goal-setting. Instead of heading into 2021 with a jumbled list of things you know you’d really like to save for…but probably won’t get round to, why not decide with intention now and get ahead of the game?
Pick a goal for next year that’s important to you. Whether that’s the perfect post-lockdown holiday destination for you and your partner, or saving up for a deposit so that you can finally afford your own home. Whatever it is — write it down, create a fund for it and commit to saving a monthly (or weekly) amount towards your goal.
Head to Pinterest and start collecting inspirational pictures of what it is you’re saving for, creating visuals for a goal helps to make it feel tangible — everybody loves a good vision board (whether they admit it or not)!
If you start saving at the end of December, you can begin the new year knowing that you’re on track for something exciting and worthwhile. What could feel better?
3. Take a moment to identify what’s causing you anxiety
Let’s face it, when it comes to money, we all have something that’s stressing us out.
Before the year ends, we suggest taking a deep breath and identifying what it is that’s causing you financial anxiety. Write it down in neutral language. For example ‘I have to pay off £800 on my credit card and I don’t know how to start’.
Then start thinking of practical ways you can work towards resolving this by breaking it down into small steps or actions. Speak to a friend or family members and ask for support and advice — and then agree with them the monthly amount you’re going to pay towards your debt.
Telling someone about your goal can hugely help! Whatever it is that’s bothering you, just know that your problem is resolvable.
4. Have an end of year home detox
And no, we’re not talking about the diet kind!
Having an end of year clear out of your home is one of the biggest favours you can do for yourself. Having a good, thorough hunt through your belongings can allow you to purge yourself of what you no longer need — enabling you to head into the new year with a clear head (and more space to boot!)
As well as this, looking through what you own can also unearth some surprising potential Christmas gifts for others!
We know this might not sound glamorous, but a sealed shower or beauty set you’ll probably never use. An unopened fancy bottle of wine or unread book could easily be repurposed as a wonderful gift for someone who’d appreciate them more than you. And what’s more — having a good rummage through our wardrobe, bookshelves and drawers can be a great reminder of how much we have already.
We hope this helped to give you some new ideas on how to make smarter choices about money. If you found this helpful, or have any follow-up questions/suggestions, why not drop us a DM? We’d love to hear from you!
For more reading about savings and money-management, check out some more articles here. Or if you want to hear other people’s money stories, why not tune into our inspiring podcast Money and Me.
Originally published at https://lifetise.com on December 15, 2020.
