Start the New Year strong with Schroders Personal Wealth's top five financial tips for 2025. Learn how to set goals, manage debt, spring clean your bank accounts, track down dormant assets, and engage with a financial adviser to support in helping achieve your financial goals.
As we welcome the New Year, it's the perfect time to take control of your finances and set yourself up for success.
At Schroders Personal Wealth (SPW), we believe that a well-structured financial plan can help you achieve your goals and reduce financial stress. To help you get started, we've outlined our top five tips for getting on top of your finances in 2025:
The start of the year is an ideal time to make plans, especially if you have significant milestones ahead. Whether it's a child starting school, a major home improvement, or a move, it's important to figure out how much you'll need to save for these expenses.
A simple approach is to calculate your monthly outgoings (mortgage, bills, etc.) and deduct these from your post-tax income. Decide on an amount to set aside each month for your goals. Setting up a monthly direct debit into a separate savings account can make this process easier and ensure you consistently save towards your objectives.
Over time, we accumulate direct debit payments that may no longer be needed. Check if you're still paying for services or products, you no longer use, like repair coverage for an old appliance or insurance for a previous home. Cancel any obsolete payments to free up extra cash.
For remaining bills, consider moving them to the start of the month if possible. This way, you can check your account later in the month knowing there are no more costly direct debits to cover, giving you a clearer picture of your available funds.
At the start of the year, take stock of your debt obligations. Understand your overall debt situation and how long it will take to pay off each debt. Create a repayment plan for yourself, allocating a portion of your net income to debt repayment. Prioritise high-interest debts to minimise the amount of interest you pay over time.
There are billions of pounds in dormant assets in the UK, spread across unclaimed financial products like former employer pension plans, bank accounts, ISAs, and insurance products. (1) Finding these dormant accounts can significantly benefit your finances.
Use tools like 'My Lost Account' (2) from UK Finance, the Building Societies Association (3), and National Savings and Investments (4) as well as the government's 'Pension Tracing Service' (5) to locate these assets. Consolidating accounts can also simplify your financial management and potentially reduce fees.
While the above steps can be done on your own, engaging with a financial adviser could help you make the most of your finances in 2025. A qualified adviser can create a plan tailored to your goals and priorities, offer advice on financial products and investments, and answer any questions you have.
Getting to grips with your finances in the New Year can be daunting. Money is often a taboo topic, and many of us are not well-informed about our finances. Speaking to a financial adviser can provide the guidance you need. If you want help to get 2025 off to the best start possible, get in touch with the Schroders Personal Wealth team today to arrange a quick chat with one of our advisers.
We'll begin with a free, no-obligation conversation to understand if our service is right for you. There are no hidden fees or charges, and you’ll only pay if you choose to proceed.
This article is for information purposes only. It is not intended as advice.
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