While the Reserve Bank did not raise interest rates there is still uncertainty as to whether interest rates will rise in the future. In times of uncertainty it is always better to be prepared and consider what the impact will be to your household finances. For most families, the money coming in never seems to match the money going out. It may sound cliché but the key to managing your finances is simple - spend less and save more. (The alternative, which is increasing your income is often out of your hands). 
 
So where do you start? 
 
Firstly, you need to know your current financial situation. How much do you have coming in every month and how much you have going out? To find out, gather your payslips, receipts of dividends and any other source of income you have. Next you need to gather information of all your outgoings, including mortgage/rent payments, utility bills, credit card bills, health insurance, car payments, insurance and travel. For bills that vary month to month such as food, clothing, doctors’ fees and petrol, it is advisable to keep a record over a few months and calculate the average. 
 
Once you know where you are now, you can start to plan for where you want to be. The next step is to make a plan, include your financial goals and contingency plans. How will you manage an interest rate rise? Will an interest rate rise impact on your plans to pay off your mortgage by a certain date? Do you want to save enough for next year’s holiday? Are you saving for a wedding, or do you want a deposit for a house? Perhaps you have children, and want to start saving for their tertiary education? Have you considered how you will maintain your standard of living when you retire?  
 
So to start with, get the basics right. Below are some tips on how to save on your everyday expenses and options to consider. 
 
Mortgage

1. Review your mortgage and if appropriate consider switching lenders. Thousands can be saved by moving to a lender with a low interest rate but be aware of exit fees and legal costs associated with switching 
   
2. Look into fixed interest loans as a way of planning future payments without any surprises 
   
3. Pay off more when you can. You can save thousands in interest by paying off more when you can afford it 
   
4. Can you use the money in your current account to reduce your mortgage repayments through an offset account?

1. Look at downsizing your car or if you have two, decide if you really need them both or consider using public transport more often 
   
2. Shop around for the best petrol prices 
   
3. Combine repairs and services. For example, if you are having your brakes worked on, there is no charge to rotate your tyres at the same time 
   
4. Consider keeping your car for longer rather than upgrading every 2/3 years

1. Review all your banking requirements 
   
2. Could your money be earning interest in your current account? 
   
3. Is your monthly fee too high or inappropriate for your usage habits? Perhaps consider switching account types or providers 
   
4. Set up online or phone banking to save time and transaction fees

1. Be conscious not to spend money on unnecessary items. Think twice before buying luxury items on credit 
   
2. Pay off your credit cards in full each month 
   
3. Switch to a credit card lender with a lower interest rates or 0% interest for the first 6 months to avoid paying off interest rather than your balance 
   
4. Switch to a debit card so you’re not using credit 
   
5. Use cash were you can

1. Whether it is home insurance, car insurance or health insurance, shop around to receive the best deal for your situation  
   
2. Look at the cost of upgrading your home or car security with smoke alarms, burglar systems or engine immobilisers. This may reduce your insurance premiums 
   
3. Check out companies that provide a range of different insurance coverage. You can often negotiate a discount if you have home, car and health insurance with the same company

1. Make a list before you go shopping to avoid impulse buying 
   
2. Consider buying cheaper store brands 
   
3. Stock up during a sale 
   
4. Buy ahead of time for Christmas/Birthdays 
   
5. Consider how many times you eat out and pay cash, not with credit