Mark: ‘Despite our high income, we often have trouble making ends meet’ | Money

As two-income couples, Mark and his wife still have an excellent income, according to Mark*. He knows that things can be done differently: as a volunteer he works for an organization that helps people with financial problems. He also helps entrepreneurs towards a financially healthy future in his daily work. “In one way or another I can give good advice to others, but I still have trouble with it myself, because we often run out at the end of the month and we don’t manage to save,” says Mark.

What both experts immediately notice is that Mark now says that he has lost 280 euros per month in energy costs, but that due to the rising energy rates from July this will be almost 600 euros: a significant increase. Budget coach Natasja Goossen of Happy Profit: ,,Unfortunately, changing supplier does not make much sense, because the rates are skyrocketing everywhere. The only way to save on this is simply to use energy more efficiently. Especially in the case of this family, because their energy consumption is on the high side.”

Mark admits: “I know that our air conditioners – we have three, one in each bedroom – and our outdoor pool with heat pump are energy guzzlers, so I try to be more economical with that.” Insurance expert Michel Ypma of Independer also indicates that switching is difficult during this period, because only variable rates are possible. Ypma gives another smart tip: ,, Adjusting your boiler down can help. This is often set to 80 degrees as standard, but can also be finely adjusted to 60 or perhaps lower.”

Ypma has even more saving tips: taking a critical look at the insurance policies and subscriptions and switching where necessary can save the family more than 120 euros per month. For example, his car insurance can be more than two tens cheaper and his home insurance can also be considerably cheaper. For 33 euros less, they can go to Aegon for home contents and building insurance. Ypma does add the following comment: ,,That is not all-risk insurance, so falling and bumping is not insured, in other words: you have to pay for damage that you cause yourself. But I think that the family can also do without such extensive coverage: that is especially useful if you have young children, for example.”

Mark can also save considerably on telecom: he currently pays a hefty 37 euros for his telephone subscription including smartphone with BEN, but that subscription will soon expire and Mark indicates that he does not necessarily need a new device. Ypma: ,,Then he can already go to Lebara for 8.75 euros, a saving of no less than 28.25 euros per month.” If the family also wants to transfer internet and television to another provider, they can save even more. A total package with internet, television and a mobile subscription costs only EUR 42.40 at T-Mobile: a saving of no less than EUR 75.50 per month.

Goossen already knows where the money that Mark saves should go: she also sees a loan on his expenditure list. The family repays 180 euros per month. There is also no savings buffer for unexpected repairs and maintenance to the house. “Those two things should be their priority,” said Goossen. “The loan must be repaid as soon as possible, because it is a shame to spend money on sky-high interest rates.

Building up a savings buffer for, for example, unexpected repairs and maintenance on the house is also important.” How high such a buffer should be depends on your situation. Goossen tips: ,,Op the Nibud . website you can calculate approximately how much should be in your piggy bank.”

And Mark’s most important question: where does it go wrong? Goossen: ,,Based on all their fixed costs and their monthly income, there should be an amount of about 800 euros each month. So the question is, what’s that about? Do they regularly eat out and go on holiday, do they spend a lot of money on clothing and cosmetics?” To find out, Goossen has to delve deeper into the family’s finances and compare the income and expenditure down to the euro. Mark is happy to discuss this further with Goossen. “This first saving advice is a nice bonus. Now I want to push ahead and get a better grip on our financial situation.”

*Mark’s last name is known to the editors.