At some point most of us have wished that life came with an instruction manual.
Wouldn’t it be great if the collective wisdom of people who had demonstrably “been there and done it” was distilled into a sequence of actionable, easy to follow, steps? Accessible to anyone? For free?
I thought so too.
I can’t tell you what will make you happy. Or successful. Or attractive. Or how to be content with what you have. Or how to feel fulfilled by what you do. The truth is nobody can, all that has to come from within.
What I can do is outline a simple approach to organising and managing your finances. If correctly implemented you will be free to devote your attention towards discovering the answers to all those more interesting and important questions.
There are a few house keeping steps we must complete before getting started, many of the subsequent steps rely upon you being able to produce the following items.
The first step towards mastering your time is establishing proof of identity. Acquire an official copy of your birth certificate so that you can pass identity verification checks.
Opening bank accounts, seeking credit, or dealing with governmental authorities all require address verification. Easy for most, challenging for some, a key step on the road to financial freedom for all.
Possessing a unique tax identifier, such as a social security number or national insurance number, is key to correctly paying your taxes. A tax refund isn’t a bonus nor a reward, it was you providing a low interest loan to the government by paying too much tax!
Everyone needs a bank account. It is very difficult to effectively navigate the modern economy without one. They are all much the same, good ones are fee free. Beware the costly extras, and periodically validate if your current choice remains the best one.
“Spend less than you earn”, but for that spending apply these smarter spending tips to reduce the cost of purchasing things you were going to buy anyway.
A Stocks & Shares Individual Savings Account (ISA) is one of the most powerful tools in the successful United Kingdom investor’s toolbox. Any investment income or capital gains generated within one are completely tax-free without being locked in or age restricted like a pension account.
Stay tuned, more to come…
Disclaimer: This information is general in nature and does not constitute personal financial advice.
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