Wellbeing Guide from Police Mutual LTM_How_to_spend_less_Dec_2025
We are all aware of the current cost of living crisis, with energy prices, and food costs all increasing. In order to still be able to afford everything you need and want you may need to cut back and spend less. Especially with Christmas around the corner.
Before you can start to reduce the amount you are spending, you firstly need to work out what you are currently spending your money on. The best place to start is by writing down everything that you purchase over a typical month, you can then use this list and categorise each item, is it an essential or a non-essential spend.
The list below will give you some guidance:
Essential
• Mortgage or rent
• Utility bills – electricity, gas, water
• Council tax
• Loan or credit card repayments
• Car tax & insurance and fuel for essential travel
• Childcare or child maintenance
Non- Essential
• Mobile phone, internet or subscription TV
• Leisure – eating or going out
• Non-essential food, alcohol and/or cigarettes
• Clothing, footwear, toiletries
• Holidays
The non-essential items will consist of items you have more choice over how much you spend on them, for example, you can buy designer clothes or items from your local supermarket. You can eat out or have a take away or make meals at home. There are also potential savings to be made on expenses in the essential items list too, for example, you may be able to move to a different electricity tariff or change mortgage deals to a lower rate.
Once you are aware of how much you have coming in and going out you can then start to put together your budget.
Read more from the Retirement Planning wellbeing guide HERE