⏱️ 2024 Recap: Our top 10 tips of the year

2024 is quickly coming to an end and with that, it's time to reflect on the year just gone and set up for the year ahead.

In this edition, we will recap some of the most important points from our 2024 newsletters. If you've been too busy to read all our emails, this is your perfect chance for a 5-minute catch-up (or bookmark it as a holiday read)! And if you want to go back to any of the articles, you can find them in the Money Tips section of our website.

We'll be taking a break from newsletters over the next couple of weeks and be back here early in early January. Follow us on Instagram though, where we'll have more on the 10 tips below over the festive period!

1. Budgets are important

   Everyone should have a monthly budget. Think of it as the traffic lights that control the flow between your income, expenditure and savings. Without traffic lights, you risk a crash sooner or later. Setting up a budget isn't hard and our FREE budgeting tool is a great starting point for you. Maybe a task for the start of 2025?

   
   

2. Automate your finances

   Aren't you happy when things just happen in the right away? Your savings auto-transfer themselves to a savings account, your bills get automatically paid on due date and your debt repayments are the first to go out after your salary comes out. This is the safer way that will also give you time back, so you can focus on the important things in life!

   
   

3. Savings belong in a high-interest account

   Please don't keep them anywhere else (and we're not talking about investments here - that's different). Your emergency fund and any short-term savings should always be kept in a savings account. You grow your savings with monthly interest, thus counterbalancing the effects of inflation. As an added bonus, savings accounts are usually better protected from financial scams.

   
   

4. Keep your money safe

   Who would want to part with their hard-earned money, right? Yet, there are many out there that are after making some quick buck at your expense. Paying by credit card, keeping your savings in a separate savings account and keeping your credentials to yourself are all important steps to protect your money. Never hand out your OTP to anyone, and always be sceptical when handing out ANY personal details!

   
   

5. Use the right credit cards

   First and foremost, don't use your debit card for everyday spending. It's dangerous and offers very limited protection. In addition, good credit cards offer additional high-value benefits. Whether it's 5% cashback on your spending, points with your favourite airline, or lounge access for a more enjoyable travel experience - not using one is not the right choice! (But do remember to always pay off in full every month).

   
   

6. Cost-effective money transfers back home

   There is no such thing as a "free" international transfer. Financial institutions make their money on transfer fees and/or exchange rates (and often both) so it's up to you to understand transfer costs. Luckily, more and more cost-effective ways of transferring both small and larger amounts emerged over the last couple of years, so just make sure you choose wisely.

   
   

7. Careful when spending abroad

   Use the wrong card abroad and you could be paying up to 5% extra for currency conversion and fees. The way around is to have a low FX credit card in your wallet that can bring this down to a much more acceptable 0-1% (often just the fee charged by VISA or Mastercard). So just like you should have the right card for your everyday spending, make sure you also have one for spending abroad.

   
   

8. Make use of salary transfer offers

   Banks are keen to have you as a customer and here, in the UAE, some are willing to pay AED 1,000s for the pleasure. So, if you think your current bank isn't giving you what you need, and are willing to have your salary go into a new account, shop around for salary transfer offers. It could be that boost you need to offset your festive spending!

   
   

9. Getting out of debt is possible!

   Whilst being in debt is inevitably daunting, a structured approach, discipline, and support from your friends & family can get you out of it. Think about how you can consolidate debt to reduce the cost of interest, set a stringent budget, adjust your expenses and start paying back those loans. You'll feel better about it and can get your freedom back over time.

   
   

10. Enjoy life - money isn't everything...

    "It’s good to have money and the things that money can buy, but it’s good, too, to check up once in a while and make sure that you haven’t lost the things that money can’t buy." (George Lorimer) - remember this, especially over the holidays.

That's it for today (and for the year)! We wish you all the best for the festive period and can't wait to see you back here, refreshed, in the new year.

Your Money Luna team.

Disclaimer: Please bear in mind that this email does not constitute financial advice. Any choices you make you are solely responsible for. We always aim to provide highest quality, independent views but do your own research to ensure you’re comfortable with any changes you make to your personal finances.