17th November 2015 at 3:40pm
What makes you rest easy? Knowing you’ve got a good fixed rate deal on your mortgage or maximising your savings?
Get a good re-mortgaging deal
And it got us thinking in the News and MoneyPlus Blog team; why is it we’re more likely to spend as long as it takes and do weeks of research to try to get a good re-mortgaging deal, yet few of us spend anything like as much time planning or building our savings?
Of course, there’s no doubt sorting your mortgage is a great thing to do – and it’s something more and more of us are doing in case interest rates start to rise and push up the monthly repayment costs.
Make budgeting easier
Fixing your mortgage could well save you hundreds of pounds a month; or thousands over a few short years. And you’ll know you have a certain amount to pay each month which makes budgeting and planning easier.
But when it comes to savings, many of us take a more relaxed approach, perhaps because we’re more concerned about the here and now. Perhaps saving for the future feels too far off and not ‘real’ enough.
Get the savings habit
Ideally, we need to find a way of balancing both so that we can enjoy life now and save for the future we want.
The secret to having something set aside in the future is to save early and regularly.
Make time for your finances
Why not invest time in your saving just as you would when you are looking for a mortgage? You don’t have to wait for the New Year to make a resolution – spending just an hour a month on your money matters could make all the difference.
That could be saving for the retirement you want – or for major life events such as a wedding, children’s university fees or the trip of a lifetime.
Julie Hutchison, Consumer Finance expert at Standard Life, explains: “Having enough in your savings pot for the later life you want is all about lots and lots of small decisions to save in the decades beforehand.”
Adds Julie: “Unless you receive a windfall from an inheritance, win the lottery or sell a business, being financially comfortable in later life isn’t about the impact of one massive financial moment – it’s the total of decades of regular saving.”
Our ‘Give yourself a money makeover’ blog has more on this.
Join the conversation
The information in this blog or any response to comments should not be regarded as financial advice.
The information here is based on our understanding in November 2015.