Mortgage rates are increasing, food costs are rising, petrol prices are increasing and prices are going up in general.
This is putting a strain on personal finances and peoples disposable income.
Below is a resource for a link to a budget planner/ affordability calculator a useful tool which will take you 10 minutes to go through.
I often go out to see clients who have never done this before.
It is my first priority to make sure that any products that I supply as an IFA are affordable.
It surprises me that people have not worked out how much disposable income they have and to see where the most of their hard earned money is going.
Working out how much money is going out and in is essential to be able to plan your finances.
You may be surprised at how much money you should have left over a month and it will make you aware of how much money you have maybe wasted on day to day spending on goods that may not be needed.
Performing some sort of affordability calculation/ budget planner is the first step in getting control of your finances.
Just having the knowledge that you have spent 10 minutes working your finances out will boost your confidence in starting to get control of your finances.
If you have more disposable income than what you thought each month then you maybe better off investing regular amounts into a savings plan such as an ISA where you have instant access with better returns than leaving this money in your savings account.
You may be able to start overpaying on your mortgage to reduce the term.
If you have significant savings then you may benefit from an offset account.