There never seems to be enough money. The money situation seems to get worse every year around Christmas. There are more things to pay for, like higher heating and electricity bills, expensive party food, gifts, and travel costs to see family. The list seems endless, but money is not. This is the time of year to be happy and try to forget about the costs that will show up in the New Year.
What can be done to lessen the financial hangover after the New Year?
First, make sure you are getting the most money in.
Is there any part-time or freelance work you can do if you already have a job? Some jobs, like stacking shelves in a grocery store, can be done around other obligations. Also, websites like Dobiz have started to pop up to connect freelancers and businesses. You can get some of your money back by selling things on eBay or returning unwanted gifts.
Getting a job is the most important thing to do if you don't have one. Take advantage of the things that are there. The Jobcentre can help in some ways, but it's often better to sign up with a few agencies that focus on your particular field. Most of the time, a quick Google search based on your location will help you find the right group in your area. As well as using specialized agencies, it's always a good idea to sign up with a couple of general agencies to find temporary work. These agencies often have short-term or long-term contracts that can help keep your finances afloat. They can also be left without much notice and look better on a CV than a time when you didn't have any work. If you need help with CVs or interviews, you can search for sites like Capita and Jobseekersadvice on the internet.
No matter what your job situation is, you also need to make the most of the money you already have. Don't use store cards to pay for your purchases. If you don't always pay off the whole balance each month, you'll pay more than you need to. Most store cards have very high-interest rates. If you use a credit card, you should be able to get a much better rate. What is the APR on the credit card you use for most of your purchases, and could you get a better rate? Many credit cards now have introductory transfer rates of 0%, and the increased competition to help you manage your money is causing APRs to go down for everyone. Could you get a better deal on your loan? Are you getting the most out of the money you spend? Comparison sites like Moneynet (http://www.moneynet.co.uk) and Fool (http://www.fool.co.uk) let you check these details for free, quickly, and easily so that you can get the most out of your money.
The next step is to try to cut down on what you spend. Having a budget is a good way to save money. By showing how much money comes in and goes out on a regular basis, it is often easy to find places where small changes can make a big difference. Most people find that they don't have very little money to spend each month. Instead, they waste small amounts of money all the time. This pattern of small spending adds up quickly, leaving you with little money to spend on things you think are really important. Keeping a daily record of what you spend is a simple step that can show you where you can make important cuts.
Other ways to save money at Christmas include reusing decorations from last year and only buying food that will be eaten instead of buying a lot that will go to waste. Save money on gifts by doing most of your shopping online. Because it costs less to run an online store than a store on the High Street, the prices of goods can be much lower online. Sites like Kelkoo and Pricerunner let you compare prices from different sellers and find the best deal. Even if you prefer to shop on the High Street, it may be worth it to bring prices from these sites with you because many shops on the High Street will lower their prices if they know they are outpriced.
If you don't win the lottery and still feel like things are out of control in the new year, you should talk to one of the free organizations that are set up to help. The Foundation for Credit Counselling and the National Debtline are two charities that do not make money but can help with guides and free personal advice.
Taking a few small steps like this can make a big difference in your New Year, whether you're trying to get rid of a few extra pounds or get out of debt.
Disclaimer:
All of the information in this article is just for general knowledge and shouldn't be taken as advice under the Financial Services Act of 1986.
Before signing any binding contracts, you should definitely talk to the right professionals and lawyers.
