Tips to help you with your money

Set clear goals, stick to a budget, prioritise debt repayment, build an emergency fund, and track spending to improve financial habits and achieve money goals.

At Hafod, we understand that managing your finances can feel overwhelming at times. That’s why our money advisor, Lucy, has put together these helpful tips to guide you in taking control of your money, setting achievable goals, and building a stronger financial future.

Set clear financial goals

To make your goals achievable, break them into smaller, actionable steps. For example, if you aim to save £500 by the end of the year, calculate how much you’ll need to set aside each month or week.

Visualise your goals by writing them down or using a financial tracking app. Celebrate small milestones along the way to keep yourself motivated.

Create and stick to a budget

Begin by listing all sources of income and expenses. Categorise you’re spending into essentials (rent, utilities, groceries) and discretionary items (entertainment, dining out).

Sticking to your budget ensures you live within your means while allocating funds toward savings and debt repayments.

Prioritise debt repayments

Debt can feel overwhelming but having a repayment strategy can make it manageable. Start by listing all your debts, including their balances and interest rates.

You should never pay for debt advice. You can get advice by contacting a charity such as Stepchange or by contacting your local citizens advice bureau.

Build an emergency savings fund

Things don’t always go according to plan. Unexpected expenses can throw even the best budget off track. An emergency fund is an allocation of funds that act as a financial cushion, covering sudden costs like car repairs.

If you don’t have an emergency savings fund, be sure to consider this when planning your budget.

Track your spending habits

Many people are unaware of where their money is going each month. While you might think your budget is under control, small, frequent expenses—like morning coffees, impulse buys, or streaming subscriptions—can quietly drain your bank account.

Once you identify areas to cut back, redirect that money towards your goals—whether that’s building your emergency fund, paying off debt, or saving for the future. Tracking your spending isn’t just about finding areas to cut back; it’s about understanding your financial habits and making intentional choices.

By following these simple yet effective tips, you'll be on the right path to mastering your finances and achieving your goals. Remember, it's all about taking small, consistent steps and staying committed. If you have any questions or would like more support, check out Lucy's webpage by clicking here. Lucy is here to help you navigate your financial journey and build a more secure future.

Published: Tuesday, 18th February 2025