But perhaps the most important task is finding the right deal out of the many first-time buyer mortgages available. The market is slightly less competitive these days thanks to the double-dip recession and credit crunch, but there are some great offers to be found. The trick lies in working out which one is right for your circumstances.

To get you started here are the 10 key things you need to know about mortgages before you take that first step on the bottom rung of the property ladder.

1. Mortgage rate options

There are three main rates on mortgages: fixed, tracker and variable.

A fixed-rate will stay the same for the duration of the deal and this can be ideal if you need to keep tight control over your finances each month.

Tracker and variable rates change over time. Trackers are set at a defined point above the Bank of England base rate (currently 0.5%). Variable rates change in line with how much it costs the bank to lend you the money.

 2. Don’t forget the fees

Most mortgages have additional fees and these can be substantial. But those with lower fees often have higher interest rates. It can be a no-win situation so look at all the figures very carefully.

3. Early repayment charges

Early redemption charges (ERC) usually apply. This means that if you want to pay off a big chunk of your mortgage there will be an additional fee to pay. This can be thousands of pounds.

4. Deposits matter

How much you can pay up-front as a deposit on the property can make a big difference to your mortgage options. The most competitive deals are offered to those with cash of 25% of the value to put down as a deposit. Smaller deposits generally mean a higher interest rate. It can be worth saving for an extra year or two in order to get a bigger deposit together.

5. Repayment options

There are two main repayment plans: interest-only and capital.

On an interest-only mortgage your monthly payments only cover the interest, so at the end of the deal you have to find the money to pay off the capital or re-mortgage.

Capital repayment mortgages cost more each month but you have the security of paying off some of the loan value as well as interest.

6. Overpayments

Overpayments are allowed on most mortgage deals but there is usually a cap. The maximum you can pay off each year is often around 10% of the capital. Having this option means that if your finances are in good shape you can start to reduce your mortgage early.

7. Repayment problems

If at any time you struggle to pay your mortgage each month you must speak to your lender. Repossession is only a last resort and banks will work with you to provide help, such as payment holidays or a reduction in monthly payments.

8. Lock-in periods

Mortgages are usually offered as two-, three- or five-year deals. At the end of the term you will have to reassess your situation and find a new mortgage. For the ultimate peace of mind a five-year fixed deal is the best option, but such offers are not always readily available.

Think carefully about how long you want to be tied to your mortgage and what your options are likely to be at the end of it.

9. Consider the extra costs

There are many additional charges and fees that you face when buying a house. Some can be added on to the capital loan of your mortgage. Others you will have to pay upfront. Look at every single charge when you compare mortgage deals.

10. Be prepared

Buying a house can take months, so be prepared for a long wait before you finally get the keys. Do all you can to get your paperwork in order and try not to get too stressed as the process drags on. Keep your cool and remember that it will all be worthwhile in the end.

Anything to add?

The post First-time buyers: 10 things you need to know about mortgages appeared first on The Savvy Scot.

Every six months or so, I used to go to the dentist for a check-up. Since moving out of home to University, the check-ups became less and less frequent – realistically becoming annual check-ups. Unfortunately since graduating and moving to London a couple of years ago I am ashamed to admit I haven’t visited a dentist. This would probably make it almost two years since I have visited a dentist.

Check-Ups are Preventative

A check-up is intended as an exercise to avoid something bad happening. In the example of the dentist, regular appointments ensure that bigger problems can be spotted early. Similar to how men go for prostate examinations and woman get cervical cancer tests – A check-up provides an early indication if things are not going to plan.

Do you see where this is going?!

Financial Check-Ups

Having grown up in a world full of check-ups – from tests at school, to drug tests at work – why is it that most people forget one of the most important check-ups of them all? The financial check-up!

5 Reasons to Monitor Your Finances Regularly

• Income < Spending = Trouble – The fundamental reason for monitoring your finances is to ensure that your budgeting and spending is controlled. We all know how easy it is to have too many meals out, buy too many new clothes for the month or lose track of the lattes. Regularly checking your current account ensures that you know where your money is going. Many banks and building societies make this ridiculously easy for you too by providing apps / portals that automatically categorise your spending into genres. Nothing says you are spending too much money on your mobile phone bill more than a giant red area in a pie chart!
• Tracking Goals – We all have goals in one form or another. For a lot of young people, a financial goal is to save up for a deposit to buy their first house. For others it might be a dream holiday, investing for your children’s future or even your own retirement. How can you keep track of progress without regularly assessing your financial position? One thing is for sure – you won’t magically get their by closing your eyes and hoping for the best! It doesn’t work!
• Things Change Quickly – Just because you signed up for the best gas and electricity prices three years ago, it certainly doesn’t mean that you still have a competitive deal. Insurance companies thrive on customers who automatically pay the renewal price without batting an eyelid or trying to negotiate. Companies are at their weakest point shortly after you have served your contracted period; They will do a lot to keep you (or sign you on for another term), yet most people just keep on paying. I regularly contact Sky to ensure that I am receiving the most competitive TV package and 1st central insurance to ensure that I have a competitive car insurance policy. It takes time, but don’t forget that everything can be monitored – Internet, House Insurances, Mobile Phones etc. Also remember, the opposite can also be true – if you are willing to lock yourself in to an expensive contract then be sure to negotiate; just like I did with our Gym.
• Investments Need Nurturing – Whether you are an experienced professional or passive investor, you can’t just ignore your options. Government policies, world trade movements, competitor behavior, economies etc. all have a substantial impact on investments. Just because you bought options in a bluechip multi-national a year ago, it doesn’t mean that it is forever safe. You need to regularly review all your options. For example, P2P lending investments used to be far more appealing than they are today – I won’t be offering any more loans as competition has driven the rates right down.
• Peace of Mind – One might argue the most important thing of all – being safe in the knowledge that you are ‘OK’ if the sh** hits the fan. Ignorance is not bliss when it comes to finances and I shudder when I read stories of people who throw their bills in the bin because it depresses them to read them. One of the key messages in a holistic book that I have just read is all about health being more than a physical thing – rather a complete connection with your surroundings. Unfortunately your financial situation dictates much of this!

After reading back through this post I feel that it is time for a major financial check-up in my household. I have been responsible with the check-ups, but this time my teeth might need to get some work done…

How often does your household have a financial check-up?!

The post 5 Reasons Regular Financial Check-Ups are Important appeared first on The Savvy Scot.

Moving home is one of those things that usually fills me with dread, however if the time calls for it and I fancy a change of scenery I usually make sure I follow the following tips to ensure that my move goes as smoothly as possible and that I don’t forget some of the most important necessities.

1. Let your bank know you’re moving

This usually only takes a few minutes to do over the phone if not faced with a queue. In the past I’ve given them a few weeks’ notice to ensure that when I move in I can buy things online without there being any confusion between the billing and delivery address.

2. Redirect your mail

For anyone who gets a lot of mail then setting up a redirect can be a lifesaver. It comes with a small fee which has to be paid to the Royal Mail but it’s worth it to not lose any correspondence and to not annoy the occupiers of your old home with unwanted mail.

3. Invest in some insurance

This is usually the last thing on my mind when moving in to a new home, but again it’s one of those things that can be planned in advance. As I usually rent a house, my belongings aren’t covered in the case of a natural disaster, so getting home contents insurance before moving in is protection if the worst comes to the worst.

4. Transfer your energy supply

Usually energy companies have a special home moving department that will transfer the supply to the new home on the day of moving, and require just a final meter reading on the last day.

When I first moved into a home of my own I found it surprisingly difficult to get an energy supply if you’d never had one before, so bear this in mind if this is your situation. I spoke to the landlord who told me which energy company supplied the property previously and this game me enough information to set up a new tariff with a different company as the current supplier didn’t have the best value for money.

5. Update your driving licence

As outlined on the Government’s website changing the address on your driving licence is a simple procedure that’s free if the photo on the licence doesn’t need to be changed. As a regular driver, changing this is very important. I often hire cars too, and if you no longer live at the address on your licence it usually means that you cannot rent a car.

6. Contact anyone else who needs to know you’ve moved

I usually make a list of everyone that has my address, including my mobile phone operator, internet provider, TV licence, store memberships, the Student Loans Company, and most importantly my employer. I then go through this list on a quiet day and phone them up or try to do it over the internet. Usually the latter is the most convenient and widely available option.

7. Change the locks

I’m a serial renter, so this is something that the landlord usually does, but I like to double check and ask them on the day of the move. If buying a home this should be something that’s done within the first week of moving in. This is a good security precaution as you never know who had access to your property previously, so changing the locks will prevent any unwanted visitors to your home.

8. Become a box hoarder

In the run up to the move I always find it impossible to find containers to store everything in and usually resort to buying costly boxes that I end up throwing out after moving day is over. In the weeks leading up to the move I usually ask friends and family for spare boxes, visit supermarkets and ask for any free boxes, or invest in some reusable plastic boxes that I can still use when I get to my new home. It makes it so much easier, especially on the last day when I usually resort to throwing things in plastic bags and hoping for the best.

Got anything else to add?

The post 8 Things You Should Do Before Moving Into a New Home appeared first on The Savvy Scot.

Warren Buffett will turn 83 this August. He has been on the Forbes 400 List for more than 20 years. Despite the odds in stock trading and the high-risk derivatives market, Buffett has been able to use vital life principles to scale several hurdles pitted against him and his company. One which stared him in the face was losing $25 billion in the space of one year during the 2008/09 recession. It bled him but he recovered. Some of the following life lessons would be seen in his character as a business person.

Frugality

Despite ranking number 2 on the Forbes world billionaires list, Warren Buffet is arguably the thriftiest of them all. He is the one of the world’s richest persons who has been living in the same home for more than 50 years. His Omaha home has no gates or fence. In an apparent aim to show some type of ‘global reach’, many millionaires today, would get one of their first toys- a business jet.

Buffett owns NetJets, the largest private jet-sharing company in the world; but he does not own a jet for himself. This great economic sense has paid off for him in his many business acquisitions and the growth of his main company-Berkshire Hathaway.

Hiring

Following Buffett’s hiring lessons, it might be easy to point out the smartest, quickest or the one with the Ivy League certificate. But is he or she right for the job? Warren Buffett suggests selecting the one with the right habits for the job. This could be an important point when choosing your next hire.

Living Your Life

Buffett is undoubtedly ‘old school’. Warren Buffett likes technology and has invested in quite a handful of such firms. Nevertheless, he does not own a mobile phone. Successful entrepreneurs like Buffett, including the ‘new school’ ones value the importance of being oneself and not trying to live to impress external influences.

It is a lesson that living to please others at the expense of who you truly are, could be a road to failure.

Doing the Job you Love

This could be most interesting lesson from Buffett. It looks simple but it could come tough on many folks today. Warren Buffett bought his first plot of land at the age of 14 and from his earnings selling newspapers. His love for business and any great stock took hold from that time and it is has reflected till now. In Buffett’s perspective, rich people will still go to work because of what they love doing.

The Right Association

A few years ago, Warren Buffett met with Microsoft founder and world richest man, Bill Gates for the first time. Bill scheduled for a quick 30-minute meeting but that meeting ended up lasting for 10 hours. The two billionaires shared common interests and passion. Warren Buffett’s heroes who helped him in developing himself include his dad, Katharine Graham (former chief editor of The Washington Post) and his first wife, Susan.

Buffett’s advice for entrepreneurs often is that, “When on a career path or business decision, move with people with whom you have common goals and who love what they do.”

Great Habits

Good habits are cultivated and developed until they appear perfect. A life lesson Warren Buffett gives is about developing good habits especially those of generosity, cheerfulness and giving other people credit. These look unimportant but they are vital in building any great personality and company. Warren Buffet does regular charity lunch auctions.

He and his Berkshire Hathaway company are active donors to the Bill and Melinda Gates Foundation, Smile Train, Glide and Make-A-Wish Foundation among others. Buffet claims to be an introvert who has battled communication issues in the past but he is one of the few billionaires today who mix public speaking with a good sense of humor.

Warren Buffett is one of the world’s most prominent investors with his net worth equivalent to about 3% of the Californian economy. He never claims to have achieved the feat all by himself. He often gives his team credit. He spends money wisely and not to impress anyone. His generosity extends beyond the United States.

He partakes in poverty and health-related charity work in poor countries. This great sense of discipline has made Warren Buffett have some experience-based lessons to mete out, that could give the younger generation the thrust to even bigger goals.

My name is Kevin Watts and I am the creator of Graduating from Debt. I was like millions of recent college graduates in heavy debt with very little hope. With the right attitude and discipline I took control of my financial picture and now I can say proudly that I am debt free.

The post 6 Life Lessons from Warren Buffett appeared first on The Savvy Scot.

 1.     Getting started is easier than you think

It’s relatively cheap to set up your own business, with prices starting at less than £20 at The Formations Company to register your company name. You can also buy bigger packages with training, board minutes and much more to help you in your first start up.

Make sure you get in touch with HM Revenue and Customs too, where you can declare yourself as a business owner and make sure you’re paying the right taxes to the right people.

2.     Don’t use recruitment agencies at first

They can be costly to use, especially if you’re hiring your first member of staff. Have a look around your local area to see if there are any networking groups or jobs boards that specialise in your industry. Don’t be afraid to ask around on Twitter, Linkedin, Facebook and face-to-face too. Hiring freelancers or contractors can also be a good money-saver if you don’t have a regular stream of work or the need for a permanent member of staff.

3.     Set up some social media accounts

Use Facebook, Twitter, LinkedIn and Pinterest to set up social media accounts on behalf of your business. People are increasingly reverting to social media to contact companies about doing business or to ask a question about a service you may offer. Getting these accounts set up straight away shows how available you are.

4.     Market yourself accordingly

As well as using social channels to market yourself, remember to get a good website in place, invest in advertisements online and offline and shout about your new venture. While you may have a business plan in place, a bit of good old fashioned marketing will only help to boost your customer base and get people talking about you.

5.     Get an accountant

Unless you’re an accountant yourself, an accountant will not only sort out all of your finances, they will advise you on the best places where you should save money and when you should spend your money too. Make sure you work with an accountant who is a specialist in your area of business, and preferably one who is local too. It makes it so much easier when April rolls round and you have to have all your finances in place for the new tax year.

You should also shop around for the best business bank account, as some banks will offer you special deals such as insurance and other benefits if you’re a new enterprise. Business bank accounts usually come with their own financial advisor too, ensuring that someone is always keeping an eye on your business accounts.

6.     Be insured and be licensed

If you’re running a business that requires a licence, particularly in the food and drink sector, make sure that you have these licences in place before going into business. In addition to this, depending on the type of business you’re running you may need to get a specific type of insurance, especially if you expect to welcome members of the public into your business establishment.

The key thing here is to know the areas of the law to do with business you are running and make sure you are adhering to it before opening your doors. The government’s website has a coherent list of all licences available, but it’s highly recommended that you go and visit a solicitor with your business plan before you start taking any action to ensure you’ve not overlooked anything.

7.     Don’t quit the day job

Unless you’ve got a huge cache of money stored up, don’t quit your current job as it’s a steady source of income – one that your new business venture isn’t guaranteed to bring. It can take a while to get a new business off the ground, so don’t jump in at the deep end. Most importantly, when you cut the ties with your previous job, make sure you give yourself a salary in your new business.

Do you have your own business? What do you do? Do you make much money? Care to share how much?

The post Things You Need To Know When Starting a Business appeared first on The Savvy Scot.

If you are serious about sorting out your finances, saving money and making your money work for you, you can start by following these tips.

1. Cancel subscriptions and ditch unnecessary expenses. Take a look through your Direct Debits and other regular payments and check whether you actually use the goods or services you are paying for. Things like gym memberships and magazine subscriptions are all big money-wasters if you don’t actually use or need them.
2. Open an ISA. The start of the tax year means another great thing – that you have a new tax-free allowance of £5,760 which you can save in a cash ISA. The rates are great on cash ISAs (especially if you can lock your money away for a couple of years) and every penny of the interest you get to keep. This is a great way to make long-term savings go further.
3. Deal with your debt. If you have debt, now is the time to deal with it. Take action by switching your debt to a balance transfer credit card. A quick credit card comparison will help you find one with a nice long 0% interest period, which will give you time to pay off what you owe without incurring any extra interest.
4. Switch your current account. If you’ve had the same current account with the same provider for years, it is likely that you are on a rock-bottom interest rate. Just because it’s a current account, it doesn’t mean that you can make some interest on your money. Take a look at your current account, compare other accounts from other providers and see if switching could make you some extra money. There may even be a cash incentive or other reward for opening the new account.
5. Check and improve your credit score. Go online and find a credit reference agency which will give you access to your credit report for free, usually as part of a trial period. Check your credit history and score and if what you find is not encouraging, take steps to improve your credit rating.

The post It’s a New Tax Year – Time to sort out your finances! appeared first on The Savvy Scot.

Hello everyone, I have a guest post today,  Jon writes at Money Smart Guides, a personal finance blog dedicated to helping readers get out of debt and start investing for their future. He has written a book, Seven Steps To Early Retirement, which breaks down early retirement into basic steps so that you can successfully retire early.

Everywhere you go, you see various retirement articles telling you how much to save for retirement. One article will tell you that you need $1 million. Another article will tell you that you need $5 million. I don’t know about you, but the difference between $1 million and $5 million is fairly large.

From there we get into how much you can safely take out of your account every year. For years it’s been 4%. You’ve probably heard of the 4% rule. Well, now there is argument that the 4% rule cannot be followed.

I don’t know about you, but all of this conflicting information gives me a headache. To solve this problem, I sat down and realized something: the amount I need in savings is simply my annual spending multiplied by years of retirement. Pretty simple right? Let’s see this in action.

Look At Your Spending

The first step in figuring out how much money you need for retirement is to look at how much you spend. You can go about this a few ways.

The easiest way is to look at your annual budget. If you don’t have a budget, you can either create one or do a rough estimate of how much you spend. Two notes about this:

• First, having hard data from a budget is much better than just creating something on the fly. It will be more accurate and while it might not seem like a big deal now, in the future when you run out of money because your estimate was too low, it will be a big deal.
• Second, if you estimate, make sure you add 10-15% to that number. Trust me, everyone, and I mean everyone, underestimates how much money they spend. When I worked for a high net worth financial planner, we had millionaires who underestimated their spending.

Once you have your spending amount, you can go to the next step.

Consider Your Years In Retirement

The next step is to figure out how long you will be retired. Do you want to work until age 65 or do you want to retire early? We all have an idea of when we plan to retire. This is the easy part. The hard part is figuring out how long you are going to live. Again, using information from my financial planning days, we used age 95 as our estimate. The idea here is to estimate long. In other words, it’s better to save more just in case you make it to that age than to just save for 5 years and live another 20.

Putting It All Together

Now that you have all of your information, you can figure everything out. Let’s use an example here to see how this works. Let’s say my annual spending is $30,000 and I want to retire at 65. I will use my length of retirement as 30 years (age 95). To figure out how much money I need, I simply multiply $30,000 by 30. This gets me to $900,000.

If I can save $900,000 for retirement, I should be fine. If I work until 70 instead (only 25 years in retirement, I would need $750,000.

Tips and Notes

It really is this simple to figure out how much you need for retirement. Some might be wondering about mortgage and car payments, etc. You probably have them now, but won’t in retirement. Therefore, aren’t you over-estimating your retirement expenses? Technically the answer is yes.

The caveat to this is that there is no guarantee you won’t have a mortgage when you retire. Maybe you will move to a warmer climate when retired and have a mortgage on that house. Or you might buy a car in retirement and have a car loan. At the end of the day, you just don’t know what expenses you will have in retirement.

In the best case, you will not have a mortgage or car payment. This will just mean you have more money for travel or giving to your kids or even spoiling your grand kids.

Final Thoughts

When it comes to saving for retirement, put down all of the articles you see and figure out how much you will actually need. As you can see, figuring it out is a lot easier than you think.

The post Easiest Way Ever To Know How Much Money You Need For Retirement appeared first on The Savvy Scot.

Now that the holidays are behind us many people will be trying to tighten their belts – in more ways than one. Diets will begin as we all try to shed those extra pounds gained by overindulging in rich, decadent foods. At the same time, holiday spending guilt will no doubt force others to slash their budgets or take on extra work to pay for it all.

But when it comes to cutting budgets, one line item that nearly always takes a hit is the food budget. If you find yourself needing to cut yours back, here are 7 effective ways to stretch your meal money and your budget.

1. Substitute Your Protein

One effective way to stretch your meal money is to substitute your meat with a different protein. For example, instead of buying expensive sandwich meat for lunches try changing to a good old peanut butter and jelly sandwich instead.

Another couple of options are to serve eggs, beans, or lentils for a meal. These options can be cheaper than beef, pork, chicken, and fish and still provide a lot of nutrition for you and your family.

2. Use What You Have

Many people keep a stocked pantry, refrigerator, and at least one freezer. Why not shop your own cupboards and try to use what you have on hand rather than buying more? This is one great way to eliminate waste and stretch your meal money.

Getting creative and experimenting with your meals will also help you use what you have and stretch your meal money. Try using leftover potatoes to make a shepherd’s pie. Or, add meat to other ingredients for a cost cutting casserole.

Don’t forget that if the sell by date has passed it doesn’t mean you absolutely must throw away that food item. It may not actually be spoiled so check it before you toss it.

3. Stick to a List

Needing other effective ways to stretch your meal money? Try actually making a grocery list and sticking to it when you shop. Don’t buy off the end caps because products are sometimes higher rather than being on sale as you might think.

Only put on your list what you need to compliment what you already have on hand at home. This doesn’t include desserts, soda pop, or alcohol. These choices provide empty calories that cost a lot but don’t fill you up and are not at all nutritious.

4. Use a Slow Cooker

Slow cookers are wonderful kitchen tools that can help you stretch your meal money and make your life easier. Brown a pound of hamburger, drain it, and add beef broth and vegetables for a hearty, economical soup that can cook while you are at work all day.

Or, add a couple of cans of beans, some spices, and crushed tomatoes to that hamburger for some world class chili instead. The versatility of a crock pot even allows you to cook vegetables and rice to go with your main entre.

5. Shop Sales and Use Coupons

If your budget is tight but you have plenty of time, shop the sales ads from your local grocery store and increase your savings by adding coupons. You may be able to triple it with store loyalty programs if you sign up before you shop.

When the shelves are empty of a sale item on your list, ask for a rain check. Once the product has been restocked you might be able to use the slip to get it at the sale price even if the store sale is over.

6. Buy in Bulk

Not all foods can be purchased in bulk as one of the effective ways to stretch your meal money, but there are some that can. Get your rice, beans, flour, sugar, and other basics in bulk. Store them in air tight containers to extend the shelf life and you can save money when your budget is tight.

7. Cancel Grocery Delivery Services

Are you getting groceries from a grocery delivery service? If so, cancel your subscription right away. The food is not always fresher and it will likely cost you more than buying it yourself in the store.

Budgets get tight for everyone from time to time. No matter what reason yours is, there are 7 effective ways to stretch your meal money and help you get back on track.

How do you stretch your meal money when trying to keep costs down?

The post 7 Effective Ways to Stretch Your Meal Money appeared first on The Savvy Scot.

You wouldn’t forget to include your rent or car payment in your budget, but chances are you are forgetting one of these items. These irregular payments can often be overlooked. While it may not be a big issue to work it into a budget for some, it could be a major inconvenience for others. Be sure to include these items in your next budget planning session.

Car Renewals & Maintenance

From oil changes and new tires, to car tags and property taxes; these fees add up. Be sure to include these in your budget. Let’s face it, cars need repaired. While it may be easy to budget in some slightly regular payments (oil changes and tire rotations) car repairs could be a little trickier. You could designate a certain amount of your savings toward these repairs, or just start a category fund for them. Either way, be sure to include these.

Vet Bills & Pet Care

A lot of budgets include monthly pet care costs with the household supplies budget. This isn’t a bad idea as long as you are factoring in all of the possible costs associated with pet care. If possible, create a separate category in your budget for your pets. Include pet food, toys, flea and tick treatment, heart worm prevention, and vet bills.

House Repairs & Maintenance

Mortgages and rent are some of the top items included in a budget. Smaller housing necessities can easily be overlooked. Toilets get clogged. Windows Break. Accidents happen. Plan for them by including them along with landscaping, pest control, and other repairs in your budget.

Annual Fees & Subscriptions

Have you ever checked your bank balance to see a smaller number than expected? Maybe it’s the magazine subscription, or club dues that you forgot were due. Wouldn’t it be nice to not have to worry about these annoying surprises? When your next magazine comes in the mail, see if it’s included in your budget. If not, add it along with any other annual fees and subscriptions you may have.

Gifts & Special Occasions

Your boss is in the hospital and your co-workers are collecting money to send flowers. You didn’t budget for this. Now what? Don’t want until the event happens to begin saving for it. Add a “Gifts & Special Occasions” category into your budget. People get married and have children, birthdays happen, and you should be prepared.

Clothes & Personal Care

Hair cuts, salon visits, cosmetic purchases, and clothes for the kids all chip away at an already dwindling budget. Don’t forget to include these items in your budget.

Electronic Upgrades or Repairs

If you have ever been the victim of an unexpected computer crash then you know the feeling of “What next?” Help prepare for these annoying events by working them into your budget. Don’t forget to include things like software upgrades, new power cords, and items like SD cards.

Medical Supplies

Over the counter medication, daily vitamins and supplements, medical devices, and other medical supplies can easily be forgotten. While it’s perfectly okay to include these in your general household supply expenses, I recommend making a new category for them. You may even begin to notice a trend in your health by tracking these expenses separately.

Educational Experiences

If you have kids, like to read, or attend educational workshops, add these into your budget: school supplies, workshops, seminars, conferences. Even if you don’t have kids, don’t like to read, and don’t attend workshops, add a category for Career Development. Something is bound to pop up. Investing in your future by investing in your education experiences is a smart choice.

Alright, time to fess up. Did you forget to include one or more of these items in your budget? Let us know in the comments which one slipped your mind. If you don’t have a budget yet, what are you waiting for? Find out how you can get the mindset you need in order to start budgeting.

The post Items You May Forget To Include In Your Budget appeared first on The Savvy Scot.

They say the best time to plant a tree was 20 years ago, and the next best time is now. The same goes for your credit score. I know, it’s annoying, and it can be tedious to look into years of financial data, and find out why your credit score is low. But it is also tremendously beneficial.

You can save thousands of dollars just by checking your credit report and fixing the little errors that have slipped in there. They can include anything from a wrong address all the way to identity theft, and people opening lines of credit in your name that they never repay!

Your credit score is like a ticker of your financial health. It should be regularly checked up, and tended to if you see any anomalies.

Why is it so important to keep a healthy credit score? Because the day you need credit, be it to buy a car, a house, go back to college or do home improvements, you don’t want to have to wait for months to get a better credit score. You will want to apply now, and get an answer in a matter of days, or even minutes.

But if your credit score happens to be damaged, it can take months to repair. So prevention is the best way. If that’s too late, and your credit score is pretty low, don’t despair. There are companies that can help you rebuild your credit in a timely manner.

Under your direction, credit repair services will search your credit history and reach out to your creditors to either delete or modify instances in your file that aren’t fair, accurate, or substantiated.

Taking care of your credit report is a serious matter that should be tackled as soon as possible, whether you need credit right now or not. At the very least, ensure all the details on your report are accurate, so your credit score is a true reflection of your own financial behavior.

The post Why you need to fix your credit NOW appeared first on The Savvy Scot.