Managing your money with Nutmeg

Being an adult is a complicated business where we have to face up to grown up responsibilities such as having to do self-assessments for the Inland Revenue, trying to find the best broadband provider whilst living in a rural area, finding the best mortgage for our personal situation and negotiating the best deal on our car insurance. Another area that we have to tackle is how to best manage our finances.  Let's face facts: life is expensive. These days being a parent comes with a massive financial burden. It has been estimated that it can cost a staggering  £227,266 to raise a child to adulthood (according to the Centre of Economic and Business Research) making it vitally important that we make the most of our savings. Managing money can be a minefield, which is why we need to make sure we do our research before making any long term decisions. 

Nutmeg.com offers a financial solution to investors offering a simple way to manage savings online. It provides a effective way to create a professional portfolio that can help people make the most of their savings.

Nutmeg is an investment company that has reinvented the wealth management industry, with an aim of making it accessible to everyone, giving complete transparency and peace of mind. With a team of talented, dedicated individuals, they aim to create an intuitive service that is an example of how investing should be. Nutmeg can help you set up your portfolio in under 10 minutes; you can create as many funds as you like and you can top up, transfer or withdraw whenever you like. They regularly rebalance your portfolio, selecting from a diverse, global range of assets, to ensure you have the best chance of staying on track.

To set up a professional portfolio, all you have to do is tell Nutmeg’s team about your financial situation, how much you want to invest, your time frame and your attitude to risk. With this information, Nutmeg build and manage a portfolio for you, diversifying your investments. Their experienced investment team monitors your portfolio, adjusting the asset allocation and rebalancing every month.  In this way, they aim to produce the best return, at low cost, for the risk level you choose.

You can start with as little as £1,000 per fund (plus minimum monthly contributions of £50 for portfolios below £5,000) and set up as many funds as you like — whether you are investing for your children's university fees, saving for a deposit on a new home or just saving for a rainy day— each with their own time frames and risks. You can open a Nutmeg ISA, start a Nutmeg personal pension (min investment £5,000) and transfer your ISAs and personal pension pots from other providers, consolidating your investments to suit your financial needs.

You have access to an online, jargon-free overview of your investments whenever you like, so you’ll always know exactly how they’re performing and how much you’re paying.  You can then sit back and relax while the investment experts constantly monitor and rebalance your portfolio to keep it on track with your goals.

The cost of choosing Nutmeg to manage your investments is similar to the cost of doing it yourself, and avoids many of the fees charged by primary alternatives, making it a good value service.
Nutmeg charges a simple fee of between 0.3 and 1.0%, which is based on the value of your investment, which gives you:

• Professional discretionary investment management
• Free withdrawals on a weekly schedule
• 24/7 access to an online account
• Regular rebalancing to keep your funds on track
• Live chat, phone, and email support


As with all investments, your capital is at risk. The value of your portfolio with Nutmeg can go down as well as up and you may get back less than you invest.  This post has been written in association with Nutmeg.

Kalixa Pay - helping you to manage your finances at home or away!

There is no getting away from the fact that many of us are struggling to manage our finances in this economic climate. Times are hard with prices in supermarkets going up every week.  The price of petrol and our household fuel bills are at an all time high.  Our hard earned cash has never been so stretched.  With a few changes we can however regain control of our bank balance and get our budgets back on track.

The Kalixa Pay prepaid MasterCard® is a pay as you go card which can help you stick to a monthly spending budget safely and easily.  You simply transfer the money you wish to spend for the week or month onto the card, and use it instead of your usual debit card.  It is a simple, secure and effective payment option  for online or in store purchases, helping you keep track of what you are spending.  It is a great solution for families trying to manage their finances in the New Year.

The benefits of using Kalixa Pay to help you budget are:

• You receive a free email or SMS alert every time you use your card (for purchases over £5) detailing what you have spent and your updated account balance ensuring you always keep on track of your spending.
• The account includes an online portal (eWallet) so you can keep an eye on where your money is going how much is left to spend. 
• The card has no overdraft facility so you can rest assured that you cannot exceed the amount pre-paid onto the card. This means you will not be stung by expensive unexpected overdraft charges.
• Your Kalixa Pay account is not linked to your main bank account, so even if the worst was to happen and your card is cloned or stolen, you will not lose your entire bank balance.
• Sticking to your budget will definitely help to improve your finances!  With the Kalixa Pay card, when the money's gone, it's gone, so you won't be tempted to overspend.

The Kalixa Pay prepaid MasterCard® also gives you a simple solution to spending when abroad. With zero foreign exchange fees and the most competitive rates on the market, it allows you to top up with one currency and spend in any other giving you total flexibility and convenience.  Perfect for both business or pleasure trips and a great way for families to manage their money when holidaying abroad.

This simple payment solution is perfect if you need multiple currencies or frequently travel to different locations. Kalixa Pay enables you to pay securely in any currency, both online and at over 36 million locations worldwide, eliminating the hassle of carrying and exchanging cash. Simply top up your card and you are ready to go. If you do need cash on your travels you can also use your Kalixa Pay card to withdraw your money at over 1.2 million ATM’s worldwide. (International ATM Fee - £2.25)

Once your trip is over, if there is money left on your card you do not have to worry about the exchange rates  or charges involved in converting your money back to Pounds Sterling. You can just continue using your card once you are back home - no fees, no hassle. 

The free SMS alerts detail exactly what you are spending allowing you to make your holiday spends go further and keep track of how much you are using to buy souvenirs, ice-creams, sun cream or meals out! Especially useful if you are one of the 10% of holidaymakers who admit to recklessly spending all their holiday money within 48 hours of arriving at their destination!

I really like the idea of the Kalixa Pay cards for older children, allowing them to go out shopping independently with a budget they can't exceed.  You can give them a clothes budget or the money for a day out already pre-paid onto the card.  This way, they won't be carrying large sums of cash and you, as a parent, can keep tabs on what they are spending.  It gives youngsters the opportunity to learn about budgeting and gives them independence, while you keep hold of the purse strings.  It is also a simple way to help a child who is away at university, by topping the card up weekly for grocery shopping or other expenses.  Again it allows them to learn how to manage money in the real world, without the danger of going over budget.  

The Kalixa Pay prepaid MasterCard, including the eWallet service, is available for a one-off payment of £6.95.

For more information and to register for your Kalixa Pay MasterCard visit www.kalixa.com/Pay.

This post is a PR collaboration.

Thrifty Tips For Living

I often post ideas for money saving ideas, as having five kids and a grandchild means that my finances are often stretched to the limit.  Even once the kids leave home there is no respite, they still cost a fortune to support!  So I like to make our hard earned income work better and harder for us.  From everyday thrifty tips to long term financial planning, we do our best to make the most of our money.  I still want to have a full and rich life, I just want to reduce the price tag!

From Spending to Saving is looking for money saving tips, so here are some ideas on how to reduce the cost of living today and prepare for tomorrow.

Everyday

Stop and think "Do I really need that?" when you are about to buy something non-essential such as a coffee in Starbuck's or a glossy magazine.  It's these little impromptu purchases that can really add up day to day.  Instead, you can find alternatives so you don't need to feel in any way cheated by not buying those things. Why not make your own morning coffee in an insulated cup to take to work? You could also follow a glossy mag's feed on Twitter to catch up with all the celebrity gossip.

Take a packed lunch instead of eating out.  It is so much cheaper and will probably be a healthier option to the usual fast food outlets.

Look out for competitions that are free to enter and have a go.  It is not only a fun hobby, you could end up winning some great prizes. Check out Facebook, blogs and Twitter for current competitions and give it a go!


Weekly

Don't let your grocery shopping get out of hand.  The price of food and household essentials has rocketed, but there are ways to save.

1: Do regular cupboard / fridge /freezer stock takes.  If you are anything like me, you will stock up with things when they are 2 for 1 or on special offer and put them in a cupboard and forget about them.  Knowing what is hidden in the back of the fridge or shelves means you can shop more efficiently.  Don't buy more pasta sauce this week if you already have three jars in the cupboard!

2:  Buy things you need to make planned meals for the week ahead taking into asccount what you already have in stock.  Combining this with using things you already have in your cupboards is a very economical way to shop and stops things going out of date and needing to be thrown away.

3:  Have some good "use up" recipes for when you have perishables that need using up.  This is a Slow Cooker recipe that I use when I have veggies that need using up.  Any combination of root vegetables will do making a wholesome, healthy meal along with a few store cupboard essentials.

Vegetable Stew with Herby Cobbler

4 sliced carrots

1 small chopped swede

2 chopped sweet potatoes

2 chopped potatoes

2 sliced red onions

1 leek sliced

1 parsnip chopped

2 crushed cloves of garlic

carton of tomato passata

1/4 pint boiling water

1 teaspoon of Italian herbs

1 veggie stock cube

8 oz flour

4 oz margarine

1 teaspoon of Italian herbs

milk to form a dough

Put all the ingredients into the slow cooker for about 5 hours.  Make the cobbler by rubbing the fat and flour together.  Add herbs then make to a stiff dough using milk.  Roll to an inch thick and cut out rounds using a small cookie cutter.  Arrange on top and then finish off in the oven at 180 degrees for about 20 minutes.

4:  Have a "If it's gone it's gone!" policy with kids.  If they eat all the food they like on day one then they will have to go without until the next grocery shop.  There will be no top-up shopping for goodies!  They soon learn to pace themselves and you avoid getting into the habit of doing costly and unnecessary mid-week shopping trips.

5: Forget big brands and give own labels a try.  The quality is comparable but the difference in price is shocking!  Also look in pound shops for brands being sold at their discounted price.  This is great for toiletries, cleaning and laundry products. 

Monthly

Keep an eye on how much you pay to utility suppliers each month.  Check online to see if you could save money by switching supplier.  Websites such as MSE can offer good advice on if and when to switch.

Also review your Sky or Cable TV Subscription.  If you find you are only watching a few channels and not  getting good value from your package, then scale it down.  If you are paying for movies but not watching them, then take that off your subscription and save a few quid each month.

Annually

Car, Home and Life Insurance renewals can be a big drain on resources.  Never just renew your policies.  Always shop around for cheaper quotes, discounts or buy through a cash-back website such as Groupon.

Christmas and Birthdays can prove very expensive, but they don't have to be.  I would personally never get myself into debt to buy all the latest 'must-haves' for my kids.  They don't really need them and these things usually end up being five minute wonders anyway.  Instead, I buy things throughout the year when I see them on offer in the shops or online and spread the cost. Using points on loyalty cards means I can get some things for free.  I use my year's Boot's Advantage points to get perfume for my eldest daughter.   Planning ahead is the key to budgeting for special occasions which makes it easier to save up or spread the cost.

Parties don't have to be elaborate.  More and more parents feel the need to host parties that cost a fortune, when all the kids really need is some space to let off steam, some simple food and drink and the attention of some grown-ups!

Every year I use my Tesco Clubcard points to buy Merlin Annual Passes for the family.  They give us access to all the Merlin attractions: Alton Towers, Chessington, Thorpe Park, Sea Life Centres, Legoland, Madame Tussaud's, London Eye and The Dungeons etc.  This saves us a fortune over the year and allows us to do days out without having to worry about the entrance costs.

For a budget UK holiday, look out for super cheap advanced booking hotel rates and plan a road trip around the Merlin attractions using your Annual Pass.  Book a room for each night in a different venue and spend the days exploring some of the UK's best attractions.

Have an annual sit down discussion with the family to work out ways of cutting costs.  It's a great way of taking all your outgoings into account and work out ways that you can trim down expenditure as a family.  Involving the kids helps teach them about finances and the cost of living and gives them some financial responsibility, which are invaluable life lessons.

Long Term

Have a financial MOT with an expert.  Make sure that any financial products you have are appropriate to your circumstances and working best for you.  Money is a complicated business and sometimes a little financial advice can save you a small fortune in the long run.

Whichoffshore (the sponsor of this competition) is a company offering Offshore Pensions among its financial products.  These offer some quite attractive features such as giving you the ability to pay into the fund by credit card or standing order; increase or decrease payments; make adhoc payments and withdraw funds midway through the plan.  This makes it a very flexible way of preparing for the future, which may be a more appropriate method of reaching long term financial goals for ex-pats.

When each of my children were born, we opened them a bank account.  Any extra cash they had left over from birthdays etc was put into their savings.  Over the years, this cash has built up and has already proved invaluable to the older children when they left home to go to university or to put towards their first car.  Introducing children to the concept of saving at a young age forms good habits which will (hopefully) last a lifetime.

Superkids Savers Challenge

Being a mum with five children, budgeting our money has always been a very important part of everyday life.  I am quite frugal and do lots of things to make our money go further, so we can get to enjoy our lives without having to stress about debt or not having enough money to enjoy the odd family treat.  Teaching these skills to the children is really important, especially in this day and age where the economy is not working in anyone's favour.  I'd hate my children to end up in a spiral of financial difficulties when they are adults and I believe that learning about saving and handling cash starts when they are very young.

• Leading by example is one of the most effective ways to instill a respect for finances in your kids.  My children see me being careful with my cash and understand that resources are not unlimited.  I'm not one to spend lots of money on myself (in fact I'm very low on the list when it comes to buying things for myself!)  I don't aspire to own the best brands, the latest must-have items or designer labels and I'm more interested in finding good quality, good value products on the market and keeping my money in the bank.  Thankfully, my girls are following in my footsteps and do not expect the latest mobile phones, designer clothes or shoes.  In fact they are proud to be individuals who don't follow the fashion hungry crowd.  They have developed a love of Primark, which will stand them in good stead for the future!  Being a savvy shopper goes hand in hand with being a savvy saver!

• I've always let my children handle money and introduced ideas of spending and saving through play.  From popping pennies in their money boxes to counting it up to see how much they have saved, it starts an early understanding of cash.  Playing a game of shops is great fun.  Letting your toddler be the shopkeeper or the customer and buying and selling things with pretend money is a good introduction to money handling.  The song "Ten Currant Buns in a Baker's Shop," is all about money and shopping and another idea for an activity for pre-schoolers to enjoy.   "Paying the lady" in the supermarket is also something we do with the children from a young age so they understand that the money is handed over in exchange for whatever we have purchased.  Freddy at 3 asks if we have enough money for our shopping when we do our weekly shop, which shows he is starting to grasp the concept of cash and whether we can afford what we are buying!  This is definitely a good firsts step in becoming financially aware.

• Saving is so important.  I always tell me children about the fact that I saved my money when I was a child which meant that by the time I needed to buy a car and pay a deposit on my first flat, I had the money to do so.  Surely being able to do that is more important than buying packets of sweets every week?  In fact it is useful to make them understand that if they are spending £2 a week on sweets they are spending over £100 a year.  If they are buying the latest released CDs from One Direction, JLS or Nickie Minaj every month, they will have spent in excess of £150.  Yes it is nice to buy things, but be sure you really want them and you aren't just buying them because your money is burning a hole in your pocket!!  All those £1's soon add up to a substantial amount that could make a real difference to your future if you had popped those pounds into a savings account!

• Each of my children has had a bank account since they were born.  When birthdays and Christmases have seen them receive a nice chunk of cash, I always encourage them to put some into their savings.  Again, if they want something specific they can buy it, but I do not support the idea of them frittering it away on bits and pieces they don't need or even really want.  The girls have always been happy to save at least half of what they get given.  In fact they enjoy going into the local branch of the bank and paying the cash in.  Seeing the total balance going up gives them quite a thrill and they enjoy some healthy competition with their siblings as to who has the most money in their account!

• We recently discovered  Roosterbank, an online virtual savings account where Kizzy is given 'pocket money' which is recorded in her Roosterbank account.  To access the money she has to send me a request and funds are then used to make a purchase or are deposited into her real bank account.  This gives her control over her finances and allows her to watch her money grow.  A virtual wishlist can be created so if she wants to save up for something specific, she can see the total cash she has in her account approaching the target sum she needs.  When given such a visual incentive, the urge to spend the odd pound here and there on sweeties is nowhere near as powerful.

• As a family we talk about money openly which I think is important.  Money should not be a taboo subject and I want my children to experience real life finances within the family.  Ian and I discuss our credit card bills and the fact that we pay the full balance off every month in full so we are not charged interest.  We never take out loans or buy things on HP.  Ian really wants a 3D TV but he is having to wait.  I don't think it is a good message to buy such a luxury item straight away...I don't want the children to think they can have whatever they want whenever they want.  (Especially with powerful advertising from shops like Brighthouse who suggest otherwise!)  We do enjoy treats as a family, but we don't ever take them for granted.  We often say "yes we can afford it, but we can't justify the expense" if one of the kids asks for something that is expensive and unnecessary.  I think it is important to realise that just because you have cash doesn't mean it needs to be spent! Our financial viewpoint is conveyed to the children naturally and organically and will hopefully help shape their opinions and give them first hand experience of what it's like to be an adult responsible for making financial decisions.  Fingers crossed they will see how being savers has benefited our family.

I am proud of how my girls handle their money and I hope Freddy follows in their footsteps with a respect for saving and an understanding of what you save today helps you in the future when you really need it.  Living in the 21st century isn't easy.  Everything is so expensive and we are earning less due to cuts in hours, pay and benefits.  Loan companies are constantly trying to seduce us with promises of quick cash fixes.  Their adverts are shown on the kid's TV channels, exposing our children to them from an early age. It's more important now than ever before to make sure our children understand money so they can become a future savvy saver!! 

This is my entry into the MoneySupermarket.com Superkids Savers Challenge. 

Roosterbank...Reinventing Pocket Money

As a parent to five kids who rarely uses 'real' cash for financial transactions, pocket money is not something that I've ever really bothered with.  The children know that if there is anything they want or need, I will buy it.  Clothing, sweets, magazines, books, music, DVDs and other things on their wishlists have been purchased for them, at a rate that costs me about the same as if I were parting with cash every week.  Thankfully, my kids are not too demanding and they don't have designer tastes, so this system has always worked fine for me.

Kizzy, however,  is the sort of child that enjoys list making, scheduling, organising and generally future planning.  So, although she is grateful for everything we buy for her, she has always hankered for her own financial independence.  She would rather have some cash earmarked for her that she can use to budget for her next wishlist purchase.  Paying money into the bank account that she has had since birth is fine to build her a nest egg for her future, but would not work as an alternative to paying her weekly cash amounts.  To access the cash means a 20 minute car journey to our nearest bank!  That just equals more hassle for me!

Roosterbank is a new online website that is re-inventing pocket money for the 21st century.  Parents like me, who favour online transactions, can keep kids like Kizzy, who wish for some control over their finances, happy!  The site allows children to manage their money, learn about money matters and have fun whilst doing it.  Sounds good!

Roosterbank have invited Kizzy and I to test out the site for a month to see how we get on.  As a parent I can 'pay' cash into Kizzy's online account on a weekly or ad hoc basis.  It is not a bank account, and no real money is deposited, it is instead a virtual savings account for Kizzy, containing pocket money that I promise to honour.

There is an online shop that has thousands of products that children can save up for.  Once the money in their account has built up, these can be ordered directly via the parents and delivered to the door.  The equivalent sum is then removed from the child's saving account.  It gives the child control over their finances and purchasing decisions, helping them learn important lessons about money...they can not order anything until they have enough money saved up!

In addition to the educational benefits of learning about money and good spending habits, Roosterbank has a safe online community where kids can play, learn and chat.  There are games which are fun but at the same time can involve maths, counting or money skills.  Children can earn Roosties which is a virtual currency that can be used to buy things in the village for their virtual farm.   Kizzy has already played some games and is building herself a farm using her currency.  She loves the fact that she can polish up her maths skills whilst playing games!  She has picked something from the shop that she wants to save up for and I have set up her pocket money to be paid in every week.

The children have their own dashboard and parents have their own area where they can oversee their child's activity, set up pocket money payments, pay in money to their account for odd jobs etc. and check out purchase requests.

We'll be reporting back throughout the month to let you know how we are finding the experience of Roosterbank!

Take a look at www.roosterbank.com for more information and to sign up.