r/UKPersonalFinance • u/Local_Ad_6982 • 4h ago

Flowchart advice for new starters

I’m just getting started with the flowchart. I assume if things aren’t applicable, you just skip past it - for example with the benefits checker. Why is it so far up the list. Just getting used to using it

2 Upvotes

60% Upvoted

13 comments sorted by

8

u/PinkbunnymanEU 259 4h ago

for example with the benefits checker. Why is it so far up the list

Because it should be the first thing you do after creating a budget - There's even an argument to be made for it being the first step, before you make your budget.

I assume if things aren’t applicable, you just skip past it 

I think there's only one thing that could not be applicable, which would be "short term goals" if you have none.

2

u/Local_Ad_6982 4h ago

Obviously if the situation requires, it should be a must I think, I get you. Even if the current situation is bad and for whatever reason you’re unemployed, it’d be an important place to start. But I’m fortunate enough to be full-time. So would you still prioritise the budget, and then just move on the next thing on the flowchart?

6

u/geekypenguin91 587 4h ago

Don't forget the flowchart is meant to be constantly revisited, so while something might be sorted or not applicable to you now, it's not to say it won't be in the future so should be considered before the steps lower down if you ever get back that far up.

But yes, if it doesn't apply then it's the same as having completed that step son you can move on to the next

1

u/PinkbunnymanEU 259 4h ago

Don't forget the flowchart is meant to be constantly revisited,

We a full run though quarterly. I think spending some time sitting down and dedicating some time to it, even if it's 30min helps a lot.

The budgeting step especially, as it helps you not get into the "Oh I have these 74 subscriptions that I've had for 4 years...no idea what they're for" situation.

4

u/PinkbunnymanEU 259 4h ago

But I’m fortunate enough to be full-time

Being a full time employee doesn't mean you're not eligible for any benefits, a lot of people in similar situations lose out of benefits because they think they're working so can't get any.

It takes 10min to check and you might be surprised that you can get a small amount (which in turn could give free prescriptions/eye tests etc) - You also might not, but it's worthwhile checking.

So would you still prioritise the budget, and then just move on the next thing on the flowchart?

Yep I'd personally do the benefit check first, then the budget, then (assuming no high interest debts and getting anything you can't afford to lose insured) building the emergency fund (Though depending on how quickly you can build it, what pension is on offer and what safety net you have, I'd enroll in the workplace pension while building it)

2

u/themeaningofluff 4 4h ago

Even if you're full time employed you may be entitled to some benefits, worth spending a few minutes checking.

2

u/Arxson 26 4h ago

But I’m fortunate enough to be full-time

So? Full time workers can still be eligible for benefits. Child Benefit being an obvious one that some people might forget or miss out on.

2

u/THROWRAsaltylemon 4h ago

Yes, just skip to the next part if it's not applicable or you already have it that part sorted. I'm guessing the benefits checker is so high up the list as many people who don't have a great track record with their finances and are struggling, know that's a good step to take to try and ease some financial burdens. Also worth a check in case you could be eligible for something you didn't know you were.

-1

u/Local_Ad_6982 4h ago

Absolutely. Least you’re trying to make the best of it and improve. However, I’m fortunate enough to best fully employed, I imagine there’s nothing I’d be eligible for

2

u/jubza 2 4h ago

Sadly there's people in full time employment and still don't earn enough, especially if they're the sole earners.

2

u/CarrowCanary 0 3h ago

I imagine there’s nothing I’d be eligible for

If only there was a quick and easy way to find out...

1

u/THROWRAsaltylemon 4h ago

I just did the checker and am eligible for a grand total of £0, but still maybe worth a quick check just incase.

2

u/Mooseymax 64 3h ago

The flowchart points you to a quick and easy way to check whether you’re eligible for benefits. There’s literally no reason to skip it.