The last eighteen months have been fantastically difficult and if there is one thing that they have taught us, it’s that we all need to be better prepared. There cannot have been many people out there who were ready for a global pandemic.

While we are all hoping that we won’t see anything as cataclysmic or unexpected in future years, we all know that there are going to be challenges on the horizon for some time yet.

We are still feeling the impact of the pandemic in so many different ways. The Delta variant is just the latest in a series of disruptive elements, and we are going to continue to see disagreements about everything from needing proof of vaccination to return to the office, to whether a return to the office is required at all.

And it is not all pandemic related. Take climate change, for instance, which so many people thought of as an issue that was either a lot further away than it actually is, or something that mostly affected people in other parts of the globe. Along with other countries, the United Kingdom has been hit by some truly shocking weather events in recent years and they are going to continue to have an impact.

There are going to be some events and issues that we cannot predict but there are plenty that we can. That is why it is so important that we all take positive steps towards improving our personal finances. We all need to be thinking about how we can make them more secure and more flexible to see us through those hard times on the way.

Here are a few tips for how to get started.

Stop Being Anxious And Start Getting Proactive

A lot of people find personal finance to be something that provokes a lot of anxiety.

We all know that person who really needs to get a handle on their debt and their spending who doesn’t want to look at their bank balance because they don’t want to see how bad it is. One of the most important tips when it comes to personal finance is to put those nerves to one side. This is an area where you need to be proactive and where you need to think positively. You cannot do that if you are burying your head in the sand.

Know What You Are Working With

Following on from the point above, the first step in securing your personal finances is understanding exactly what they look like. Start by drawing up a detailed breakdown of where your money is going each month.

You need to be looking beyond the big regular expenses, such as your mortgage or rent payments, your insurance costs and ongoing fees, all the way to that incidental daily spending. We are talking about the latte that you pick up every morning on your way to the office, and we are talking about the drinks with your friends at the end of the day. Make sure you include everything from your grocery shopping to your Netflix subscription. When you can see where every penny and pound is going every month, you can start to build a monthly strategy as well as looking for areas where you can save money.

Make Sure You Are Covered In Case Of A Rainy Day

There are people out there who don’t like the idea of planning for a worst-case scenario. However, as the pandemic showed us, it is better to have coverage and not need it than to need it and not have it. It is always a good idea to have as much coverage as possible for every part of your life.

We have all seen the importance of having good health insurance over the last eighteen months. Anyone with a pet will tell you that having them insured can save you hundreds, if not thousands of pounds. But one of the most important insurance policies that you should think about, perhaps now more than ever, is income protection insurance. How does income protection insurance work? Income protection insurance will cover you if you find yourself unable to work due to illness or injury, and you can find comprehensive policies that will also cover you in the event of a forced redundancy. You could be looking at reclaiming up to 70% of your gross annual salary.

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Think About How You Can Boost Your Earnings…

In an ideal world, we would be able to march into our boss’ office and politely suggest that we deserve a pay rise. However, with things the way they are right now, we are all having to learn to live with the fact that employment is somewhat precarious if it is there at all. Many of us are having to look for ways that we can give our monthly earnings a boost.

If you are looking for ways to add a little more to your savings account every month, it may be time to think about a side hustle. Part time and freelance work may not offer the most job security, but it can be an invaluable help if you need some help reaching a target. Don’t be afraid to reach out to your friends and business contacts to see if there is any extra work going that you could contribute to. Think about what skills you have that would lend themselves to part-time work, whether that’s proofreading, accounting or video editing. You may be surprised by just how much work there is out there for people willing to jump on board for a few hours a week.

…And Think About How You Can Save Them

One of the most effective ways to secure your personal finances is, as obvious as it sounds, cutting down on your spending.

Take a good look at the budget you have made and see if you can identify anything that is obviously unnecessary. You can always start small, looking for quick fixes such as bringing your own lunch and coffee to work with you instead of buying it out. And if you are still going to the office every day, is driving really the most cost-efficient way to get there? Would public transport or cycling be an option?

When it comes to household costs, one of the best pieces of advice we have to offer is to make this a team effort. Talk to your partner about your goals and how much you want to save every month. It is so much easier to go through this process together if you can and having someone to bounce ideas off will always make a difference. Talk about how you can save money on your grocery shopping by planning your meals in advance. Look at where you are spending your disposable income when it comes to leisure and entertainment. Could you swap a free activity in for an expensive day out? Are you using all those streaming subscriptions? It is tough when it feels like things like travel are just now starting to open up again, but if you are concerned about your employment status, every little bit that you can put aside now will help get you through any hard times to come.

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