When you’re working towards certain goals, it can often take some time to meet them, especially if there’s money involved. Depending on the time-scale you’ve put in place or your particular goals, it can be common to feel impatient with the time it’s taking to get where you want to be.
Whether your financial goals involve purchasing your first home, saving for the holiday of a lifetime, or building an attractive retirement fund, consider these top tips which will help you meet your goals quickly and effectively.
Get serious about saving
There’s no doubt that saving can be tricky, especially if you don’t have much expendable income left at the end of the month. The reality is, however, that saving is one of the key ways you can meet your financial goals. The quicker you can generate a large sum of money, the better, which is why getting serious about saving is a good way to meet your financial goals. Start by opening up a savings account if you don’t already have one, and transfer a sum of money into this each week or each month. When you’re trying to generate a large sum of money on a short-term basis, putting money aside each week may be more effective.
To avoid dipping into your savings and taking money out, open a savings account that doesn’t allow withdrawals. A Cash ISA is a good idea for this, which helps you gain interest while you save. While these accounts tend to allow you to take cash out if needed, this could sometimes affect the interest you make on your savings, which is likely to stop you withdrawing money and help you meet your goals faster.
Start investing your money
If you really want to take your money further and meet more substantial financial goals, investing could be perfect for you. Buy to let property investment can help you generate some extra income each month through rental returns, which are higher depending on the location of your investment. Certain locations offer better rental yields than others, like Liverpool and Manchester properties which generate yields of up to 7 and 8 per cent with property companies like RW Invest.
You can also benefit from future returns when you choose to sell your property — although this isn’t exactly a quick way to make money as it can take some time for your property to grow in value.
Be stricter with budgets
If you’re not used to it, it can be difficult to get into the swing of budgeting. The stricter you are with budgeting, however, the quicker you’ll notice the benefit. Sit down and completely analyse all of your spending habits, thinking about certain costs that you don’t need and can cut down on. This could be your morning take out coffee, that weekend takeaway, or the new pair of shoes you just had to buy. Be more realistic about the things you can and can’t spend money on while budgeting, and you’ll find that you’re able to meet your goals much more quickly.
A good method to keep in mind while budgeting is the 50/30/20 rule. With this, you put aside fifty per cent of your monthly income for ‘needs’ such as bills and food, 30 per cent for ‘wants’, and then 20 per cent goes into your savings. Sticking to this could help you meet your goals in a shorter time period and provide you with a better idea of where your money goes each month.
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