GETTING to grips with your finances can be daunting, but by following some simple rules it’s not as hard as you think.
Whether it’s saving for the future, learning to budget or cutting your living costs there’s plenty of ways to make your money work harder.
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To help, the Sun spoke to nine of the UK’s top financial experts and asked them about the one golden money rule they always follow in their own lives.
We spoke to entrepreneurs, industry experts, finfluencers and even TikTok sensations, to list the most important money mantras you should follow.
Here’s what they told us.
Rule: Set up a sinking fund
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The TikTok and Youtube money influencer (@Lookingafteryourpennies) and author says: “I am a huge fan of sinking funds and could not imagine managing my finances without them.
“These are essentially savings pots that allow me to save money towards my goals
“These could range from the mundane such as my annual car insurance payment or the more exciting, holidays and weekend breaks.
“By setting up these savings spaces and contributing to them regularly, I can build up enough cash to pay for these items.
“It takes away the pressure of finding a lump sum at short notice and makes the costs much more bearable.”
Sarah Coles, Hargreaves Lansdown
Rule: The golden finance hour
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An award-winning financial expert and one of the UK’s most-quoted money commentators, Sarah keep’s her own finances in check by setting aside a “golden hour” to tackle money chores.
She says: “It helps to set aside a specific hour each week to manage your money.
“My husband loves gangster TV dramas, which I find incredibly stressful to watch, so we have an hour every weekend when he gets stuck into the mayhem and I get stuck into the finances.
“It helps me see where I stand, what bills I have going out and what’s due to come in, and to make sure we’re on track.
“It also makes me focus on some of the financial admin I find it incredibly difficult to get round to otherwise.
“Last weekend I looked for new home insurance and saved about £40 compared to my renewal quote.”
Helen Saxon, deputy editor of MoneySavingExpert.com
Rule: Overpay your mortgage if possible
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Helen joined MoneySavingExpert in August 2019 as Money Editor.
She’s now Deputy Editor, with responsibility for content across the money, utilities, features and deals areas of the site.
Before joining MSE and becoming a journalist, Helen spent much of her time talking to them as a PR, first for a debt help charity, then for a lenders’ trade association.
She says: “Working where I do, you’d expect I follow a lot of money rules. But the biggest one – and the one that’s likely to save me the most – is overpaying my mortgage, which is a great way to save… if you’ve spare cash.
“The way it works is that you manually pay more than the contractual monthly payment.
“All excess payments will go towards paying down the amount you borrowed (rather than your usual payment, much of which goes to interest, especially in the early years of your mortgage).
“And this means that with every chunk you pay off, you’re not charged interest on it in future.
“It’s a great thing to do if you’ve already got an emergency fund. Just make sure you check if and how much your lender allows you to overpay each year – 10% of your outstanding mortgage is common as a limit”
Ellie Austin-Williams, This Girl Talks Money
Rule: Make room for fun in your budget
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As author of financial bible Money Talks: A Lifestyle Guide for Financial Wellbeing and founder of financial education platform This Girl Talks Money, Ellie says budgeting for fun will actually save you cash.
She says: “Always factor in some fun to your budget.
“If there’s one surefire way to make sure that you don’t stick to a financial plan for long, it’s making it too restrictive and boring.
“Having a budget shouldn’t feel like a punishment, as ultimately, it’s a way for you to take control of your finances rather than your money controlling you.
“By setting aside £5 or £10 each week to allow yourself the odd treat, whether that’s a Chai Latte or a chocolate bar, will keep you motivated and avoid the negative feeling of restriction that can come from a budget that has no room for enjoyment.
Baroness Ros Altmann, former pensions minister
Rule: Don’t miss out on free pension money
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The former pension minister and long-time consumer champion who sits in the House of Lords urges everyone to make the most of top-ups by the government and your employer when you save for later life.
She says: “If you can spare money and not need it for the foreseeable future, you really should put it into a pension.
“The government rewards you for doing so through tax relief and your employer will also pay money into your fund for you as well.
“Workplace pensions will often double your money on day one.
“For example, if you put £8 of your own money into a pension at work, and you’re on basic rate tax, you should have another £2 going in as tax relief, which means immediately your £8 becomes £10 in your pension fund and if your employer matches the contributions then you get another £10 from the employer.
“Straight away, after you put in your £8, there will be £20 in your pension fund for long-term investing.”
Top tips to boost your pension pot
DON’T know where to start? Here are some tips from financial provider Aviva on how to get going.
- Understand where you start: Before you consider your plans for tomorrow, you’ll need to understand where you stand today. Look into your current pension savings and research when you’ll be eligible for the state pension, and how much support you’ll receive.
- Take advantage of your workplace pension: All employers are legally required to provide a workplace pension. If you save, your employer will usually have to contribute too.
- Take advantage of online planning tools: Financial providers Aviva and Royal London have tools that give you an idea of what your retirement income will be based on how much you’re saving.
- Find out if your workplace offers advice: Many employers offer sessions with financial advisers to help you plan for your future retirement.
Tayo Oguntonade, Mortgage Broker, TV presenter, and financial influencer
Rule: Pay yourself first
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A professional mortgage broker and presenter of Channel 4’s The Great House Giveaway, Tayo also founded an education platform called The Homebuyers Club with wife Antoinette (pictured).
He says this golden rule helped him get on the property ladder.
He says: “Paying yourself first means prioritising your financial goals by setting aside a portion of your income for savings or investments before spending on anything else.
“It’s all about building a strong financial foundation making your savings a necessity rather than an afterthought.
“In practice it involves taking your savings as seriously as a bill.
“In reality we make a real effort to ensure all our bills are paid on time and we need to give our future selves that same respect.
“A good way to go about it is to automate your savings using a standing order, potentially after payday.
“Ensure you set a realistic goal for savings and if you have any debt to clear that first.
“I used this strategy when I bought my first home.
“I loved the fact that once I paid myself and my bills I was able to spend guilt-free afterwards.”
Emmanuel Asuquo, Financial Advisor, TV Presenter and Author
Rule: The 48-hour freeze
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A money expert with 15 years’ experience, you might recognise Emmanuel from shows like Channel 4’s Money on my Mind, Secret Spenders and Save Well, Spend Better.
Emmanuel has appeared on ITV News, BBC Breakfast, Jeremy Vine and This Morning. A bestselling author, Emmanuel published Get Your Money Right in 2023 and The Ultimate Guide To Money in 2024.
He says: “We all know that feeling: your finger hovers over the ‘buy now’ button, and before you know it, you’ve added another gadget or gizmo to your cart.
“But what if I told you there’s a simple trick to stop those impulse buys in their tracks? Enter the 48-hour freeze!
“Here’s how it works: whenever you’re about to make a purchase, whether it’s something big or small, wait 48 hours before you hit the checkout.
“In that time, I ask my clients to really think it through. If, after two days, they still can’t live without it, then go ahead and buy it.
“But here’s the kicker: 80% of the time, people realise they don’t actually need it at all. That’s a lot of unnecessary purchases avoided!”
Robert Cochran, Engagement and Innovation Specialist at Scottish Widows
Rule: Keep track of your pensions and finances
Robert has met with thousands of pension savers over the years and focuses on simple tips to help people make sense of their pensions and get the best retirement possible.
He says: “My best financial habit – might not seem like a financial habit but it’s probably the most important thing I do. Make it easy to stay connected to my money.
“When it comes to helping people understand their pensions – the starting point for everyone is ‘what have I got’ – those who have already downloaded apps can answer this question really simply – those who haven’t can’t!
“Some apps will allow you to connect your pensions together so you just need to log in to one to see all you defined contribution pensions in one place – making it even easier to keep track.
“And the one app that has surprised me this year as to how good it is the HMRC app – I’d recommend people download that to get on top of their money, check how much tax they are paying and of course what state pension they are on track to get and when.”
Steve Webb, former pensions minister
Rule: Get your paperwork sorted!
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He says: “The simplest thing you can do to help get your finances under control is buy a ring binder and stick all your financial correspondence into it.
“This can help enormously with things like tracking down pensions that you built up in previous jobs or finding lost savings accounts.
“Our personal circumstances often change, as we change jobs, move house or even change our name.
“Having the right paperwork can be a nudge to contact people who are looking after our money to make sure that they have up-to-date details and can find us when a payout is due.
“Putting together your paperwork can also highlight gaps, such as old pensions for which you have no paperwork.
“The sooner you chase up missing information, the more chance you have got of a successful outcome.”
Steve is now a consultant at LCP
Andy Webb, Be Clever With Your Cash
Rule: Switch bank accounts to earn free cash
Andy is the money expert at Be Clever With Your Cash, a finance blog visited by more than 12.5million people and viewed more than 20million times.
Before blogging, Andy’s background was in broadcasting. For more than a decade he worked in TV at the BBC on programmes such as The Money Programme, The Culture Show and Crimewatch.
He was the resident money expert on Channel 5’s Shop Smart Save Money between 2018 and 2019 and also appeared on programmes such as Right on the Money (BBC One), Rip Off Britain (BBC One) and Steph’s Packed Lunch (Channel 4).
He says: “The one money rule I follow the most is to switch up my current accounts as much as possible.
“It might sound like a faff but you can be hundreds of pounds better off by switching your accounts up.
“I’ve switched 21 times, so I’ve got a good idea of what to expect!
“When you switch banks you’re essentially moving over all your money and payments from your existing current account over to a new account at a different bank.
“The bank will let everyone know the new details – from your employer to your gas company.
“There are lots of reasons for switching. I’ve mainly done it for free cash in my current account, which requires you to switch to get the bonus.
“The deals come and go, so I regularly update a guide on our site with the best offers available from each bank, which is a good starting point.
“You might also choose to switch so you can benefit from things like cheaper overdrafts, access to a local branch, cashback on bills or fee-free spending overseas.
“Or you might just be fed up with the service provided by your existing bank.”
How do I switch bank accounts?
SWITCHING bank accounts is a simple process and can usually be done through the Current Account Switch Service (CASS).
Dozens of high street banks and building societies are signed up – there’s a full list on CASS’ website.
Under the switching service, swapping banks should take seven working days.
You don’t have to remember to move direct debits across when moving, as this is done for you.
All you have to do is apply for the new account you want, and the new bank will tell your existing one you’re moving.
There are a few things you can do before switching though, including choosing your switch date and transferring any old bank statements to your new account.
You should get in touch with your existing bank for any old statements.
When switching current accounts, consider what other perks might come with joining a specific bank or building society.
Some banks offer 0% overdrafts up to a certain limit, and others might offer better rates on savings accounts.
And some banks offer free travel or mobile phone insurance with their current accounts – but these accounts might come with a monthly fee.
Cameron ‘Cazza Time’ Smith –
Rule: Automate everything
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Cameron “Cazza Time” Smith has a loyal following of more than 500,000 people across his social media channels where he breaks down complex money issues and makes them easy to understand.
That keeps him pretty busy so he uses technology as much as possible to stay on top of his own finances.
He says: “Automation is a game-changer when it comes to staying on top of your money without constantly thinking about it, and here’s why…
“We can tell ourselves all day long that we’re going to transfer money into savings, pay that bill on time, or finally start investing £50 a month; but let’s be honest, life gets in the way – we forget, we delay, we just don’t get around to it!
“That’s why I’ve automated everything. My savings, my investments, my bills, even my ‘fun money’, it all runs on autopilot.
“As soon as I get paid, standing orders and direct debits move my money exactly where it needs to go.
“You don’t need a full financial system overnight, this isn’t about having the perfect set-up or never checking your bank app again.
“It’s about creating a system that helps you build good habits without the constant effort, taking the thinking out of managing your money, so you don’t have to rely on motivation or memory.
“Start small, maybe by setting up one standing order into your savings account the day after payday and once it’s in place, you can build from there.”
Sarah Pennells, finance expert at Royal London and TV regular
Rule: Invest in your future, particularly if you’re self-employed
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As pension and insurance giant Royal London’s resident consumer finance specialist and an expert on BBC’s Rip off Britain, Sarah says getting a handle on emotional spending triggers is key.
“Unlike planned spending for the things you need and save up for, emotional spending is impulsive and can get in the way of your financial goals.
“It’s nothing to be ashamed of, but if you’re worried about your emotional spending there are steps you can take to tackle it, such as keeping track of your expenses, monitoring your emotions, and analysing your spending habits.
“You can do it on your phone, on a spreadsheet, by using a budgeting app or a notebook.”
Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.
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