People often ask us: where’s the best place to start when setting out to dramatically improve their financial fitness?
First, you need a budget. I know budgeting can be boring but that’s why we have created an easy to follow system that’s based on our Financial Fitness Plan. This is the absolute top thing we can recommend. Having your finances in order is like laying the foundations for a house. Without solid foundations, everything you try to build on top is going to be unstable.
Next, If you have any debt, aside from the mortgage, then this has to be tackled. Our super useful guides and tools under Destroying your Debt will help you on that journey. And we’ll be with you every step of the way. Mike, our debt champion has paid off more than £30,000 in debt after things got out of hand, trust us, we’ve been there and got the t-shirt!
Once that’s done or if it doesn’t apply to you, then by far the quickest way to giving your personal finances a major overhaul for the better, is reviewing and reducing your outgoings. Hopefully, you’ve already started reviewing your expenses by working through our budgeting and debt sections. This is all about increasing the ‘gap’. The ‘gap’ is the difference between what you earn and what you spend. The bigger the gap the more choices you give yourself.
Complete these steps and your money worries will be reduced dramatically. If you want to take things a step further then check out our Financial Independence section. Financial Independence uses the foundations you created in the previous Learning Tracks to make work optional in future. This means you could retire early and never worry about money again. It’s a total change in mindset for a lot of people. The principals of Financial Independence are what inspired us to share our journey and learning via Eat Sleep Money.
Here’s to financial fitness