“Not just for people in costume”: how the British can increase their savings by investing | Personal Finances | Finance
Energy costs are expected to rise over the next few months, as the government has presented plans to increase national insurance payments and reduce the Â£ 20 increase in universal credit. In light of these changes, many people are looking to get rich quick in order to beat the looming rise in the cost of living. Speaking exclusively to Express.co.uk, Pete Mugleston, MD and Money Expert for www.onlinemoneyadvisor.co.uk, explained why saving is the best way for people to make money responsibly on as quickly as possible.
Mr Mugleston said: “Although there is unfortunately no immediate saving
âWhatever you decide to do, make sure you understand your options and enter with your eyes open.
âLikewise, using automated savings apps like Plum will allow you to automatically transfer money to a savings pot as soon as you receive your monthly paycheck, so you don’t have to worry about sorting it yourself.
âPlus, paying for amenities is a great way to spend more money than you need to; investing in a coffee machine to have at home will save you from spending â¬ 5 each time you want to buy a hot drink, for example. “
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On top of that, the financial expert shared the financial products currently available for novice savers looking to start their personal financial journey.
Mr. Mugleston added, âWhich product you should choose will largely depend on two factors: why you are saving and your investment know-how.
âFor example, if you are saving for a property, there are specific products suitable for that, such as Lifetime ISAs.
âTo give another example, if you are saving for retirement and have investment knowledge and experience, a Self-Invested Personal Pension Plan (SIPP) may be ideal – so consider that for what you save and look for products designed for this purpose (and your level of investment knowledge).
âOne thing most people serious about saving can benefit from is advice from an independent financial advisor or financial planner.
âFinancial advisers generally offer free, no-obligation discussions with potential clients. Therefore, talking to any of your projects and finding out what they could do for you really goes a long way.
âWhile financial advisers cost money, the amount they could potentially help grow your savings over the long term often means you’d be in your pocket overall. “
However, Mr Mugleston cautioned the British public to seek to make money fast, instead of making it responsibly.
He explained, âOne of the biggest misconceptions about money is that it’s not worth saving if you can only contribute a small amount.
âIn reality, if you start early and save even 10-15% of your monthly paycheck, it will add up quickly.
âPlus, there are savings account options that you can earn interest on, so even if you only put a small amount aside, you also earn money on anything, so that worth shopping around and looking at the benefits offered by different providers.
âAnother big misconception is that investing is only for people in costume.
âPutting money in an account is a big step towards growing your savings, but putting it in investments – such as passively managed equity funds and bonds that will give you a high return – is another great one. option.
âWhatever you decide to do, make sure you understand your options and enter with your eyes open. “