Helpful financial management ideas for lockdown and beyond from local Kettering financial advisors Telford Mann.
Some thoughts and advice on how we should look at our finances during the pandemic from Jilly Mann of Telford Mann Pensions and Investments in Kettering.
The pandemic has had a significant effect on our finances. We haven’t been able to enjoy much in the way of holidays or other leisure activities during the last year and so many of us are finding that we now have extra cash in our bank accounts. With a bit of careful planning it is possible to put that cash windfall to good use and boost your long term wealth at the same time. Read our top tips below on how to accelerate your money and prepare for the unexpected.
1. Keep a record of your income and outgoings.
This really applies all of the time, but you will find that your spending habits have changed through the pandemic and so it is important keep track of what you are spending and where. When you have done that, think ahead to a world after lockdown and carefully budget what you think your expenditure will be then. The more you plan, the more you know about how much you can afford to save for the future.
2. What sort of return are you getting on your savings?
It is important that your hard earned savings generate a return for you, but with interest on cash savings at an all-time low it will probably pay to consider investing as an alternative. So don’t just lock your savings away in the bank or building society and forget about them, make sure you know what interest you are earning and decide if you are happy with the returns you are getting.
3. If you already have pensions and investments, make sure you know how they are performing.
Many people are nervous about knowing the value of their funds during a global crisis, but a global crisis doesn’t automatically mean the value of your funds will have gone down, in fact many investor’s funds have done exceptionally well over the last year. If you have a financial adviser, they should have been in regular contact through 2020 to let you know how your monies are doing and to see how your circumstances have changed during the pandemic, so if they haven’t, make sure you ask why.
4. Create a financial plan for the future.
This doesn’t have to be daunting, but if the pandemic has taught us anything, it is that we never know what is coming around the corner. Building a plan with a financial adviser that is designed for you and with your specific needs, goals and desires in mind can really give you a focus for the future and provide peace of mind that when the unexpected happens, you are well prepared and can adapt your plan to cope with it.
5. Don’t scrimp on the basics.
How often do we not think twice about a TV subscription or a mobile phone contract, yet consider basics such as life cover to be too expensive. We can all agree that a life is worth more than a mobile phone, yet for some reason we think the mobile phone is more important to pay for monthly than the cost of a life cover policy, which could provide infinitely more protection to you and your loved ones. Covid 19 has brought home the fragility of life and so don’t scrimp on life cover, it isn’t expensive and we never know when we may need to call upon it, as the many thousands of widowed families who are now reliant on those life policies paying out to provide for their future can attest.
Whilst we all have the time to consider how this pandemic may change the future, put these 5 tips to work to help really change you and your family’s future.
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Are a highly respected, local independent Chartered Financial Planners and Discretionary Investment Managers originally founded in 1988. Our team of Chartered Financial Planners are on hand to provide a high-quality financial planning service for both individuals and businesses. Whatever your personal circumstances and requirements you can trust Telford Mann to care about you and your money.
For any further advice or information please call on 01536 462700 or email enquiry@telfordmann.co.uk
