Basic Steps To Improve Your Financial Position

Building wealth doesn’t have to be complicated here are a few steps anyone can take to improve their financial position.

Start An Emergency Fund

This will be your insurance for your financial future, an emergency fund will cover any un expected costs you hadn’t previously budgeted for like a broken boiler it can even help you if you loose your job.Aim for £1000 to start with but your goal should eventually be 6 months or more of expenses this will be needed when you least expect so make sure you have this in place.

Max Out Your Companies Pension

I know a lot of people won’t agree with me on this one but if a company will meet your contributions your doubling your money from day one not accounting for the take benefits of taking the pension out before you get paid.This isn’t a fun way to invest but at a bare minimum everyone should have a pension.these aren’t usually invested very well so when you move companies it may be worth transferring your pension but consult a financial professional before doing so or at least do your research.

Start investing using tax efficent account

In the uk we have a ISA which at the time of writing this you can invest £20000 a year in one account where all gains are tax free other countries will have other ways of doing this so I would advise you utilise this, due to the tax benefits.

start investing in other assets/start a business

Everyone could start a business or invest in assets scubas real estate in their free time even if you only make a few hundred pounds a month from if that’s a few hundred pounds closer to your goals this will really speed up the process of growing wealth for everyone.