“Can you please write a blog on how to budget on a lash tech wage!”.
This is a great question, and one that I am asked a lot! We are rarely taught at school how to budget, how to manage a family’s finances or even just our own. We take the plunge to do something we love, then we become disheartened or worried when it just doesn’t seem to cover our bills. Here are my absolute top tips, coming from a Mumma who has lived on a tight budget with a new business.
So, first of all, I’m going to set you a task. It should take you around 5/10 minutes to do.
STEP 1 – Write down ALL of your out goings.
STEP 2 – CIRCLE/HIGHLIGHT your top priority outgoings e.g. RENT, HOUSEHOLD BILLS.
STEP 3 – The remaining outgoings –Do you really need it? Can you reduce the cost? Can you completely erase it from your outgoings?
E.G Do you really need Sky TV, do you really need that gym membership that you never go to?
STEP 4 – Add up your outgoings again only including the top priority bills. How much have you saved?
STEP 5 – Hopefully if you’ve saved some money, be it £10 or £100 you can put this into savings (build up that interest). Put towards a member of staff, use for more essential things like clothes for the kids, or the important rainy day or backup fund.
Don’t forget to check your entitlements for childcare or Tax Credits regularly. As a taxpayer, you may be entitled to this support- don’t be afraid to use it!
Recognizing EXACTLY where your money is going to is STEP 1 of managing your money.
Reducing or eliminating bills to save you money. Get your partner on board if you have one- this is something you have to sit down and do together.
A great website for more resources is www.moneysavingexpert.com/banking/Budget-planning/.
B U D G E T.
Set yourself a limit and stick to it.
Meal prep– arranging what meals you’re going to have for the week is one way of reducing food going to waste, not to mention how much easier it’ll be for you not having to decide dinners etc. on the day. There are some fantastic IG pages out there for meal plans and prep.
BASKETS FOR EACH CHILD. (Hear me out!)
One thing I had as a kid that I only appreciate now as an adult was my mum was on a tight budget and me, my brother + sister would have baskets each for our lunchboxes (great thing to do if you have school age children).
We would each have 5 packets of crisps, 5 chocolate bars, 5 packets of raisins (or similar).
Doing this my mum could budget and not over spend. It also gave us a responsibility as kids, we knew IF we ate the treats after school we wouldn’t get any more. It also meant we were limited to sugary snacks (I’m glad we never had a drawer full of snacks as a kid like most my mates did because I probably would’ve been a chubby kid, I just can’t help myself!).
Aldi + Lidl are amazing low-cost quality items. The Aldi nappies + wet wipes are the cheapest and my favorite! A packet of pasta is around 30P!
Organized. Reduces unnecessary purchased. Saves time. Avoid ‘popping’ to the shops, where you will likely spend £30 on just a small basket of stuff. Try to make the most of what you have in the cupboard.
TESCO – I love shopping here as well as you can earn club card points that I usually save up for the summer holidays to use against attraction parks such as Longleat safari park, Peppa Pig world etc.! You can also buy the old fashioned ‘saving stamps’ with your pound coins. Keep them and swap them in store for the stamps, and exchange for cash at Christmas!
STOP BUYING UNNECESSARY THINGS!
Flavored water, sugary treats, ready meals for me are all unnecessary extras.
In my home these items are ‘treat’s and we don’t often buy them. This is also a great way of us eating healthier. Ready meals are not cost effective for instance a lasagna that serves 1 is around £3-£4. If you made a lasagna from scratch it would most likely cost around £2 and you can freeze it and get more servings from it. (not to mention its most likely healthier!).
CHILDCARE /SCHOOL HOLIDAYS
School holidays can be a nightmare for childcare so I’m going to give you some of my top tips.
Tip 1) ORGANISE.
Organizing childcare in advance of the holidays is so important.
I have learnt the hard way, I haven’t organized in advance then it’s got the week before the half term and I panic and it causes me so much stress!
Setting aside a savings account over the year to pay for childcare costs over the half terms + summer holidays! If you’re saving £20 a week that’s a whopping £1040 saved over the course of a year!
You can ask your nursery if they would allow you to overpay in Jan-June to help spread the cost for the summer, this way it is all done in advance with no worrying about accidently spending the money!
TIP 2) FRIENDS + FAMILY.
Know exactly when the half terms are and plan around it. Rope friends + family in to help on certain days.
Exchange childcare with another mum, say you look after her kids on a Tuesday so they can work and she looks after yours on a Friday so you can work = free childcare, you’re helping a friend out + your child will love having a play date! You could even find another beautician in the same situation- work together girls!
TIP 3) SPREAD OUT CHILDCARE COSTS.
If you get government funding some childcare providers will let you spread out your hours over the summer holidays. Ask your childcare provider if this is something they offer! Just remember this will incur a little charge each month to pay for the unfunded hours. Check your entitlement for 30 hours if you have a child over 3.
TIP 4) ADJUST YOUR WORKING HOURS.
If you work from home, work in the evenings when your little human, goes to bed. Work when your partner is home, let them entertain the kids whilst you work.
Work around childcare. Just let your clients know that your hours change during certain times of the year as you have children, they will be understanding and it will encourage them to book in advance!
RAISE YOUR PRICES
The biggest one. Simple as that. Raise ‘em sista!
Like most businesses, every year you raise your prices to reflect your experience, your treatment costs, your skill.
Even if you raise your prices by £5:If your client is coming back every 2 weeks that’s around an extra £10 a month for them. (That’s the same amount they may spend on a bottle of prosecco!).
But for YOU this could be a huge difference to your wage!
E.G If you work part time doing 3 days a week with 4 clients on each day, this could be an extra £60 a week that’s an extra £3120 a year!!! ( 4 x £5 x 3)
If you work full time doing 5 days a week with 5 clients a day that’s £125 a week extra or £6500 a year!
This is by simply upping your prices an EXTRA £5!!!
Now… IF you upped your services by £10 based on the same working + same amount of clients hours as above…
Part time – £120 a week £6240 a year!
Full time- £250 a week – £13000 a year!
If your client comes to you twice a month this is around an extra £20 for them a month!
(a bottle of prosecco and a bag of chocolate!)
So there you have it, some of my top tips on how to cut costs + make your life easier!
Please let me know your thoughts and what else you’d like me to talk about in our comment box below!
Lots of love