Are you concerned about not earning enough money? Do you often feel you are not in complete control of your personal finances? Money may or may buy happiness, but worrying about not having enough of it is surely bad for your well-being. 

Money expert and award-winning journalist Laura Whateley’s work Money: A User’s Guide (2018) is a The Sunday Times bestseller. This book provides a comprehensive guide to understanding how money works in modern societies and all its crazy complexities. And unlike the boring finance guides out there, this one keeps it real and might just challenge how you think about money. Whether you wanna rethink your spending habits or change the system, this has it all.  

Follow us as we take you through tips on how to make informed choices about your personal finances. Let's begin by addressing the biggest financial issue of our generation - housing.

Here's the scenario: Housing prices are surging higher. Should you apply for a mortgage, banks typically will not lend you more than 4-5 times your annual salary. So, homes are quickly becoming unaffordable for a lot of people relative to their incomes. To put things into perspective, here's a stat for you from the 2018 report on housing prices in London: it's 16 times higher than the average salary of 25 to 34-year-olds. And the situation is even worse in the US! So, unfortunately, for a youngster who aspires to afford a mortgage, there are no quick solutions in the present market scenario. Let's explore the two factors which will decide if you can, in fact, afford a house anytime in the near future, or not. First things first. Do you have enough money for a large deposit? If not, that's the first thing you gotta work on. And that makes for our mortgage hack #1: Start saving for a larger deposit! A large deposit amount lowers the borrowing amount and decreases the interest rate. That's a pretty simple calculation! Most first-time buyers can afford a deposit that totals roughly around 5% of the property value But, try going for 10%. If you can put together that much money, the interest rate on the loan decreases. 

The next consideration is about the bank. Will the bank allow you to borrow money? A salaried person needs to show at least three months of bank statements. 2 - 3 years for the self-employed. So, it's really important not to default on any upcoming payments over this period of time. Also, try not to spend a bunch of money on unnecessary stuff. Meanwhile, think hard about whether you can actually handle those mortgage payments month after month or if you really wanna tie yourself to home ownership at all. 

So, that's that. But, before you even start packing boxes for your new place, you'll be packaging up loan applications highlighting your financial reliability based on the almighty number called the credit score! 

So next, let us see how you can improve your credit score.

Aware of the importance of your credit score? If not, here's what you need to know. While you dream of owning that picture-perfect house, financial watchdogs 

are already chronicling your every money move; keeping tabs as you pay or default on obligations - from bills to loans to gauge whether or not you can repay loans on time. By consistently paying on time, you build a strong credit history that says “I’m reliable!” Banks then view great credit scores and see low risk in lending bigger sums. So, in short, good credit score = loan approved! 

But, it gets way more tricky than that. Did you know that no credit history is worse than a negative credit history? The weird credit score system needs a track record. It does make sense, but it also complicates things for first-time buyers who haven't built up any credit yet. Like how can you build a credit history if no one will give you a chance in the first place? It's a frustrating paradox. The good news is you can take matters into your own hands. Just start small. Like get a credit card and use it to cover normal stuff, but be sure to pay every penny off, every month cause some defaults can taint your credit report for years and we don't want that. Bam! Credit score on the rise.

Also, don't furiously apply for lots of new credit accounts in a short period of time if you think you may get denied. Having too many denied applications can negatively affect your credit score - it can make you look desperate or risky to lenders.

Of course, credit bureaus wield alarming power over lending decisions that affect our finances and lives. But don't stress too hard. In any case, you can dispute if you ever spot errors on your credit file. We have consumer rights too, you know! 

Now you know that an enviable credit score can open doors that may otherwise stay shut. But without wise management of debts, you may end up in yet another ditch. Lucky you, we have just the plan.

Debt problems have gained more power over many than they actually have. What if we told you every debt situation has solutions? Even if it seems impossible right now, taking control of the mess is within reach. 

So, how do I start, you ask? Well, simply understanding the different debt types and best practices for managing them will win half the battle for you. Then, you can prioritize tackling the most toxic debts first. For example, student loans should not cause sleepless nights thanks to income-based repayment and debt forgiveness after 30 years. Now credit cards and payday loans on the other hand - are the real demons with their double-digit interest rates that require aggressive paydown.

So what’s the best approach for all this debt payoff? First, borrow as little as humanly possible. Every extra penny not borrowed is one less you have to dig yourself out from under. Next, throw everything you’ve got at paying debts off lightning fast. Minimize expensive interest charges by focusing extra payments on the highest-rate debts first. Moving existing credit card balances over to a new 0% interest card can provide temporary relief as well. 

Does this still feel totally overwhelming? It's okay to call in external support. Negotiate directly with creditors for more affordable repayment plans - most will offer 30 days of interest-free breathing room to help get back on track. And then there are the non-profit debt advice services that provide customized strategies. Lots of options, other than freaking out, y'know! So take a deep breath. With the right strategy, no debt is unbeatable. 

Maintaining healthy finances long-term also requires vigilant budgeting. Head over to the next section to find the best tips and tricks to make the most of your budget.

Managing your money and budgeting properly is critical, but it's not always easy or intuitive. And, no! it's not gonna be easier "if only you had more money"! The main deal is about being efficient with what you have. The key word is efficient. Not stingy! You do not need to lower the quality of your life to manage your money. You're allowed to indulge yourself. What is not allowed is spending money mindlessly. Get the point? Now, let's see how you can master this art! 

Are you familiar with the Japanese method of 'kakeibo'? Kakeibo emphasizes mindfulness, rationally tracking where all your money comes from and where it goes. Budgeting is pretty simple if you follow this method every month: First, record your monthly income, next subtract any 'fixed costs' like rent, bills, and commuting costs. Then, subtract the percentage you wish to save. Whatever money is left, divide it by four to get a fixed weekly spending estimate. You can further divide the weekly expenditure into categories- groceries, entertainment, clothes, etc. Smart and effective! Putting these portions of money in separate accounts is a good idea. Out of sight, out of mind! You won’t squander it impulsively. 

Maintaining a monthly check on your spending habits will help you reflect and bring changes in categories where you are overspending or underspending. Plus, writing expenditures by hand makes you more aware. Just practice this for a few months, and you're good to go!

With all that said, more money never hurt anybody! Read on to learn why putting money in investment funds might be a masterstroke.

Investing money over at least 5-10 years provides superior returns when compared to savings in cash. Unexpected, isn't it? Here's what the deal is: your savings account is... well, just saving. And since inflation is literally off the charts, you are losing money because of that. Simply put, the growth rate of your savings is slower than the growth of the currency. You need to catch up! Financial experts suggest putting money in an investment fund as the better alternative.

Maybe you don't know the first thing about investments. Maybe you find it risky (which it kinda is), but it's not that complicated once you spend some time understanding it. Some tips to keep in mind: Ignore those suited stockbrokers - you really don't need piles of money or fancy math skills! Stay away from picking individual stocks and instead use an easy online firm that’ll manage your investment (at a small fee). Most, like the Fund Supermarket, also offer interactive tools to track your investment. Their tools help you build a diverse portfolio matching your savings goals and willingness to stick through market ups and downs. For the management of your money, the company charges a fee. So, this is your safest bet. You won't have to carry the burden of which shares or assets to invest in. That role is delegated to the fund manager. 

More about the risk factor. Well, there is a bit of risk involved, but history shows that well-diversified investments grow reliably. The key investing concept is diversification across multiple assets to avoid overexposure. Besides, the idea behind creating an investment fund is to minimize the risk potential by giving everyone a percentage stake in a much bigger and diversified list of assets. So, the probability of ending up with less money than you initially invested is very low. Worst case scenario, it will be just like a savings bank account!

And, there you have it. It is safe to take a calculated plunge and start growing your money.

Now, let's talk about securing you a BFF for your vintage years - a viable pension plan!

With rising life expectancy and uncertainty around the future state pension system, young people today need to engage with long-term retirement savings early on. Blah, boring! Yes, we hear you. But we also know the average 25-year-old woman today can expect to live to age 91 and has a 19% chance of reaching 100. So odds are your retirement years will be quite lengthy. But, making use of tax breaks and employer contributions during your working life is your best chance of funding a comfortable retirement. 

Now, listen up. The money in your pension plan will increase, just like investment growing at a compound rate. Saving 12-15% of salary is common advice. So if you make $50,000 in gross salary and save 12% per year, you'd want to put $500 per month into either your workplace pension plan or a private retirement savings account like an IRA. That means, the sooner you start, the more you'll save up. Why do you need to save up for a time that you may not get to live? Because what if you don’t!! Then what? Pension saves the day, that's what. 

The government also wants to encourage retirement saving so fewer elderly people end up relying solely on state pensions. So, most governments come up with generous tax reliefs on the money you invest in a pension plan. Can you see how lucrative it is? It's like an investment fund and savings account in one, that too with a tax break! The only drawback is that you are locking the money till you actually retire. 55, at the earliest!  

Contact an expert or use an online pension calculator to learn more about pension plans. 

Who said money always brings conflict? Find out in our next section how you can successfully navigate money conflicts as a couple.

Imagine a scenario where your partner asked you to move in. You are excited about the development. But before you move in, they ask you to pay for rent. Is it fair to ask for a share in the bills when you are basically helping them to pay off the mortgage on a house they own? There is no right or wrong answer here. Each couple handles finances differently. But the mature thing to do is to have that awkward conversation about finances and get it out of the way. 

Do you know that money is the most common reason for conflict between couples who opt for couples counseling? The problem is that couples might not always share similar social expectations about money. For instance, your partner might interpret dining out at an extravagant restaurant as a symbol of status while you might see it as wasteful. 

The sign of a healthy relationship is open and routine communication. Do not allow the breeding of any resentment, especially around expenditure issues. Express your financial expectations and likes and dislikes beforehand and respect each other's boundaries. For example, if two people earn different salaries, their contribution towards rent might not be equal. Be confident to discuss such issues on a regular basis. Perhaps also jot these mutual commitments down on a paper and sign it – to enable more accountability and give an air of seriousness to the whole exercise

Whatever you decide is up to you, but open and straightforward communication is how you lead a happy and peaceful life.

Ever hidden a bank statement straight in the trash to avoid facing your spending truth? We've been there. Financial hang-ups plague most people at some point. And they seriously mess with your mental health. A study shows that people with out-of-control debt are 33% more likely to battle anxiety or depression! How sad is that?

Turns out, all those debates on "money cannot buy happiness" had at least one thing that wasn’t right. Our relationship with money does affect emotions; there's a self-perpetuating cycle between financial strain and mental health woes. When overwhelmed by bills or debts, many develop anxiety, depression, and other issues. This in turn makes it harder to earn a steady income or responsibly manage finances. Breaking out of this vicious cycle requires professional guidance. Luckily, actual therapists are coming through with something called financial therapy. It's money advice that meets psychology. So they'll work on practical stuff like budgeting but they'll also help you process the feelings causing issues in the first place. The goal is to cultivate not just financial literacy but a healthy relationship with finances.

In terms of budgeting, it’s essential to budget accurately. Budget too little and you’ll go over your targets, feel really bad, and maybe even quit. Also keep things organized – putting all financial documents, including bills in one folder is a great idea

Mindfulness around money is key. Keeping an income and spending diary can unveil emotional triggers, like comfort shopping when something goes wrong. Notice you spend too much impulsively on weekends? Put off shopping till weekdays. 

The bottom line is, our mood and money walk hand-in-hand.

Of course, once your personal finances feel more solid, you can also aim your sights towards doing social good with money. Have you looked into ethical funds and impact investing?

Have you ever wondered if your hard-earned dollars are funding industries that don't align with your values? It's a fair question. After all, who wants their money going to companies that jeopardize public safety or the environment? Yet many people are unwittingly investing in such companies through their pensions. For instance, some UK pension funds own shares in American gun manufacturers. So while we're speaking out against issues like school shootings, our money is funding the companies that sell guns. Does this sit right with you? 

So what can you do? First off, understand that you have little say regarding where your pension provider puts those dollars. But here’s the constructive side: you can choose an ethical investment fund within your employer's pension offering. These companies don’t invest in businesses that are unethical – so gambling websites are out for example. This means you can avoid financing the bad guys and instead, your money selectively supports enterprises judged to have beneficial impacts. Plus, you can still make a profit. You see, staples like gun manufacturers and oil giants are facing rising public pressures for increased regulation - making them potentially riskier bets. So, aligning money with morality may be the more prudent, profitable way forward over the long term. It's a win-win!

Your dollars shape the world - make sure they're working for good.