It's time to give your money a workout

THE rise in the cost of living is a big challenge for ordinary families around the country.

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Costs have gone up across the board, from medical bills to energy prices to the weekly food shop, and disposable income is dwindling making it hard to save.

Here, money man Nick Charalambous gives his guide to minding your finances at a time when everything costs more.

He says: “Since 2021, grocery prices have increased by up to 40 per cent, alongside rising electricity bills, healthcare costs, and service charges. Even households with steady or above-average incomes are feeling the strain.

“Just one unexpected expense, like a broken appliance or a vet bill, can derail a monthly budget.

“Many clients are asking the same question: how can we manage our finances, and is saving still realistic?

“While the pressure is real, there are practical and strategic financial steps that can help households navigate the current environment. Here's what to aim for..”

STRUCTURE YOUR BUDGET AROUND FINANCIAL PRIORITIES

A simple and effective way to manage your money is by using the 50-30-20 rule: allocate 50 per cent of income to needs, 30 per cent to wants, and 20 per cent to savings or debt repayment.

This helps maintain balance while ensuring your future is prioritised.

The biggest mistake people make is treating savings as optional.