Let’s be honest we are all probably feeling the pinch thanks to COVID.  That infectious disease has a lot to answer for! We have had to start tightening our belts here. I thought it might help you all if I wrote a post about managing your household budget. I think it’s probably even more important than ever with Christmas just around the corner too which means extra expense.

Use Available Household Budget Tools

For an easier life make the most of available tools for managing your household budget. We used to keep a spreadsheet on Excel documenting everything. But there are really useful templates available on sites such as Pigly if you wanted to try those instead. The cash flow tool in particular is quite handy. Once you know what you have coming in and going out you can decide how best to use anything you have left. Our aim was to try and clear as much debt as possible, so we are better positioned for a recession.

Involve The Whole Family

Good money management is so important. You might have the best of intentions with budgeting, but you do need the rest of the family on board too! I can set a strict budget, however my boys and husband have other ideas when it comes to takeaways and treats during the month. Take time to sit the family down and have a chat about what money you can afford to spend during the month. Reach a compromise so you are all on the same page. Don’t forget you can still have family fun on a budget.

Consider your needs and wants but try and still top up your savings. Many financial organisations recommend breaking it down to 50% needs, 30% wants and 20% savings. Although if you can keep to a lower figure for wants and top up your savings with even more, then all the better! I found this article about financial tips by age very informative. At forty I need to start planning for my future not getting caught up with keeping up with others in terms of material things.

Get Support

If you are finding it hard keeping on top of debt repayments and meeting the cost of living, there are places you can reach out to for support. The Coronavirus has been labelled a “personal debt timebomb” which is a real concern for many.

The Citizens Advice Bureau has a whole section of their site reserved for dealing with money issues. They have letter templates if you need to contact your creditors to explain your current circumstances. Just make sure you don’t just bury your head in the sand, ignoring those final warning letters. Given the current circumstances with COVID many companies are very understanding and supportive, don’t be afraid to reach out for help.

Approach Companies

If you are coming up to renewal time for any of your bills do not assume you have been offered the best deal. Whenever our insurance or utility bills are due for renewal, we don’t just accept the increased price. We always phone up and threaten to leave.  Nine times out of ten it works wonders but if not we shop around. New customers at companies tend to get better deals. Loyalty doesn’t always get rewarded.

Can You Cancel Anything?

Once you have listed everything you spend you can decide whether you really need everything you are paying out for! When I first got together with my husband his financial affairs were in a terrible way. He was really clueless with his money. For a whole year he had been paying out for a Sky TV maintenance charge for a Sky TV package he had cancelled the year before. Honestly, I did despair! Cancelling subscriptions was one technique which helped the McCurry family retire early. So, I am glad I make a point of getting rid of anything we do not use.

Hopefully, these tips will help you get your finances in order. I think we have a tough few years ahead of us because of COVID. The more you can squirrel away in savings the better.