New Year Tips to reduce outgoings

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    Financial Companion

    When I was on LMFM 11-1 show last week, I got a few questions from people that only heard part of the interview and missed some of the tips, so I thought it would be helpful to list a few of them here:

    1. As mentioned in another thread, now is a good time to examine your Xmas spending to identify things you bought but did not really need. Make a list and keep it for the next festive season so you don’t repeat the same mistakes.

    2. Carefully study 3 months’ bank statements – Make sure you can account for every transaction. This helps identify fraudulent transactions and prevent further ones. It also helps see if you are paying for something your should not be, this could be house insurance that you’ve switched to a new provider but forgotten to cancel the old one (yes it does happen a lot!) or a club membership that you no longer use. It also makes you ore aware of your spending giving you a better chance to alter it.

    3. Grocery shopping – Make a detailed list of what you actually need before you go and stick to it. Also, don’t shop while hungry, it leads to more impulse/craving purchases. (This also helps anyone trying to get a bit healthier or lose weight!)

    4. Review premiums on things you pay regularly for, such as mortgage protection, life cover, serious illness cover etc., especially if you arranged them directly with a bank or insurance company that could not compare premiums. Massive savings can be done doing this, as you pay for them over such a long period. (There is NO COST or OBLIGATION to see if you can reduce these premiums. Contact for more information.)

    5. Compare before you shop for larger items. Just because a fridge is reduced from €1,000 to €850 in a sale somewhere, does not mean another store with no sale on is not selling it for €750.

    6. Proven to be the the most rewarding in terms of reducing outgoings – Do an exercise where you track every cent spent for a month. Whether card, cash, direct debit, standing order or cheques, 50c in a parking meter, €2 for an ice cream, €1,000 for your mortgage. Everything! The key is to keep note when you spend (either by keeping the receipt or writing it down) and then every evening, list on your monthly budget tracker (to get the free budget spreadsheet in excel format that keeps a running total for you, just email and it will be mailed back to you.) If you don’t keep track daily, you will lose track and not get an accurate picture (think of the last time you took €50 from an ATM to buy something for €10, a few days later you would be hard pushed to remember what you spent the other €40 on!) In all my years seeing people do this exercise, I have never seen someone NOT reduce monthly outgoings as a result.

    Hopefully that is of benefit to people. If you have any questions, you can contact me by emailing , phone/text 087-6414570, PM the Financial Companion facebook page or DM on Twitter or Instagram @Davekav_advice


    Hey Dave,

    Great advice as always – if possible, can you post the link to the podcast?


    Financial Companion

    Here is the link if anyone wants to have a listen, our part starts at 52:21.

    Financial Companion
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