How to spring clean your finances

Spring has almost sprung and lots of people are spring cleaning their homes - dusting out winter cobwebs and ushering in the new season.

However, your home is not the only thing that requires a good spring cleaning. Most people made financial plans and budgets they hoped to live by at the beginning of the year, so the time has come to take a look at them and clear out any financial cobwebs.

“Just as we do with our homes when we spring clean them, we have to do the same with our finances. We need to re-organize our finances, clean out debt from every nook and cranny and even cut the unhealthy spending habits we may have picked up over the years,” Standard Bank's PR and communications manager, Surihe Gaomas-Guchu, advised this week.

She added it is difficult for people to honestly assess what they're doing right and where they're falling short if they don't actually know what their finances look like under the surface.

Here are Gaomas-Guchu's spring cleaning tips for your finances:

• Start off by taking stock of all your accounts, your income, expenses and savings. This also means you will need to look at your bank charges for the last few months to make sure there are no fraudulent or unauthorised charges. This is also the ideal time to challenge your finances and audit them. This will give you a better understanding of the state your finances are in.

• Once you have done the first step, you need to start checking in on your savings, investments and whatever other policies you may have taken out. Most people forget about them - especially when they have debit orders on them and are sometimes hit with unpleasant surprises when they are in need of them. Check them to see that nothing is outdated or that conditions have not changed and you are still entitled to the same benefits.

• As much as you probably tried budgeting and cutting expenses, there must be some unhealthy spending you probably picked up along the way. Once you have taken stock of all your expenses, it will become evident what unnecessary costs are draining your money and you will need to cut them immediately.

• Start keeping a spending diary. Sometimes it is hard to see what is actually siphoning your money, so the diary will come in handy and help you make the changes you need.

• Lastly, reconnect with your financial goals for the remainder of the year and set new ones for the new year as it is only four months away. Also find a way to ensure you stick to these new goals you've set for yourself. By spring cleaning regularly, you will be able to hold yourself accountable and keep to your goals.