It’s New Year’s Day, and many of us are already masterminding our plan to ensure 2019 is THE year!

The current marketplace makes it not only difficult to put money aside but also a challenge to earn much on any savings. If you plan to invest more in 2019 like 42% of people that responded to our recent survey, the best way to make that happen is to set an exact amount, stick to it and know your options!

Here are 5 handy tips from the Kuflink team to help 2019 be your most prosperous year yet:

Create a savings plan

The first thing you should do is make sure you know exactly what you’re working with. Calculate all income, including any partners that you might pool money with. Then, work out all your outgoings, separating the essential (mortgage, credit card payments, food etc.) from the luxury (yes, that rarely-used gym membership counts!).  This will make it much easier for you to plan where you could save, and how much.

Know your options

You don’t need to be an investment expert to maximise your savings but you should be prepared to spend time researching options online. Factor in the type of access to funds you’ll need, the length of time you want to put money away for and understand risk vs reward when it comes to interest rates. Whether you invest through your bank’s everyday savings account, an Innovative Finance ISA, bonds & shares or any other means, check the terms before committing.

Set Realistic Goals

Have ambitious goals but avoid setting the bar too high, for both how much you can save and the amount of interest you’ll make. Over-committing may cause frustration and steer you off track with your savings plan and overall goals. It’s important you set a little spare money aside each month to enjoy yourself and account for any unexpected costs that might pop up. Consider diversifying your savings if you’re looking at higher interest rate options.

Be Determined

There are months where sticking to your budget will be hard, maybe even impossible, but that’s not an excuse to throw it all out the window. Remember why you’re doing this and make sure any ‘bad’ months are followed by a great one! It’s better to reach your goals a month or two later than not at all.

Be Happy!

It’s okay if your goals or circumstances change throughout the year and your budget needs reviewing. Remember, a budget is exactly that; it isn’t a life plan and it shouldn’t be making you miserable. There are lots of pocket-friendly things to do with friends and family that will keep a smile on your face whilst you focus on saving.