How to reset your finances this spring before the holiday rush

Use a spring reset to get ahead of the ‘silly season’. For many, September feels like a reset button. The days are longer, the weather warmer, and, according to a recent survey by digital lender Finchoice, more than 90% of surveyed customers see spring as a ‘fresh start,’ especially when it comes to money matters. It’s the perfect time to look ahead and get your finances in shape before the festive season’s pressures hit. 

The first step is to look back

Financial ‘shocks’ are often more predictable than one might realise. If you had to pay additional school fees, had more than one family birthday in a specific month, or had to buy your child’s cricket shoes last year, the chances are that these expenses will pop up again. Planning for them now means they won’t be emergencies later.

Audit your monthly spend 

This time of the year is perfect to clear out things you don’t use anymore, from those good quality shoes your child has outgrown (donate or sell) to streaming subscriptions you hardly use (cancel). Something as simple as not shopping when you’re hungry can help cut down on impulse food buys that chip away at your budget.  And, be deliberate about entertainment, because spontaneous spending adds up fast. Set a plan for how many outings you’ll have each month… And stick to it.  

Get in control 

For life’s real shocks, like unexpected home repairs, a short-term loan can be a game-changer. In fact, nearly 40% of Finchoice’s surveyed customers use credit to help with home-related expenses at this time of year. And, technology has made responsible borrowing easier than ever. Ninety-eight percent of Finchoice customers apply for short-term loans via their mobile site or app, and then use the platform to align repayments with their real-world cash flow. 

Shop smart 

Black Friday hits before December, and it can either be a money-saver or a debt trap. Start tracking prices now to spot the real deals, and only buy what you really need. And, if you want to spread costs over a few months, choose interest-free products like PayJustNow’s buy-now-pay-later solution. If your home is in need of a major renovation, use a transparent loan provider that discloses fees upfront and allows you to manage and track the repayment of your loan in line with your budget.  

Don’t neglect protection 

When trimming expenses, insurance is one area you can’t afford to skip. Funeral and life cover premiums are easy to overlook during the festive frenzy, but going without them, even briefly, could leave your family exposed at the worst possible time. Ask yourself: Do my policies still align with my needs? Could you be paying less on insuring items that have decreased in value, and do your funeral policy benefits align with your true financial obligations or commitments?  

For those fortunate enough to receive tax refunds or annual bonuses at this time of year, it’s common to start planning how to spend that money several times over in your mind. While rewarding yourself is important, consider saving a portion of it or using it to pay down high-interest debt first.

 Going into the last quarter of the year, covering the essentials should always come first. Then, once your obligations are met, you can allocate what’s left towards the little luxuries that make the holidays special. By planning now, you give yourself the gift of choice: more money for emergencies as well as the things that really matter to you and your family. 

* Whittaker is the COO at Finchoice.

PERSONAL FINANCE