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Personal Finance Guide

Whatever you think of money, it plays a central role in our lives. At a basic level, it helps to clothe and feed us, to put a roof over our heads, and pay the bills. If we have a bit more money to our names, we might aspire to a bigger home, a flashier car, maybe an exotic holiday. Having money can help us to feel free and secure.

And yet do most of us feel free and secure? Probably not.

For many of us, life can feel like a constant financial juggling act. We probably owe money on our credit cards, our living costs are going up, our children want ever more expensive trainers, and even the modest wish to have a secure income stream to pay for our home and to secure our pension seems pretty ambitious.

Besides, how much money is enough these days? A hundred thousand? A million? Ten million? Who can say. Spectacular falls from financial grace do happen. Remember ear-munching, low-punching boxer Mike Tyson. He's managed to blow an estimated personal fortune of $500m and end up over $15m in debt.

OK, so we're not likely to have that sort of money available to us. If we did, I'm sure we would make a better fist of it than Tyson did. The fact is, though, that quite a few of us have got into some very unhealthy financial habits. If you've ever used a credit card to spend money you didn't really have on something you didn't really need, you should know what I'm talking about. Perhaps you're carrying long-term residual debt on your high interest charging credit card. Or maybe you're ignoring the fact that your mortgage or pension arrangements are heading for shortfall.

Whatever your personal financial situation, there's probably room for improvement. That's where this guide comes in. It's aimed at anyone who would like to do one or more of the following:

• Earn more
• Spend less
• Manage what you have wisely
• Save what you can
• Sell stuff you no longer want/need

OK, so that's pretty much everybody on the planet: let's get a bit more specific about the content.

This is a guide about the principles of managing your personal finances, presented in the form of 52 ideas. Some of these ideas are action-oriented, others are more reflective. All are designed to get you thinking about your personal situation. What I'm offering you is a series of prods and prompts that add up to a comprehensive financial health check. Feel free to dip in and out of this book wherever you would like.

If you're a bit concerned about dealing with all of the technical gobbledegook that the financial field has spawned, you can relax. This guide is intended to be a plain English guide for real people like you, not financial specialists. This is not a guide for those who want a specific tip about whether to buy Consolidated and sell Conglomerated. Nor will you find phrases like 'fiscal drag' (well, only once anyway). And although the suggestions made in the book are very practical, they express broad principles not specific and detailed advice.

In case you're wondering who I am to be offering you pointers about your personal finances, I'm somebody who has experienced fiscal highs and lows, been in and out of debt, and who has worked in and around the financial sector for a number of years. You might also like to know that I've got all the money I'll ever need in my life - provided I die by half past two today.

OK, that's enough preamble. Let the detox begin.

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