Eight steps to fix all your finances

Sorting out your finances really doesn't need to be difficult. In fact you can learn the basics of everything you need to know in just eight steps...

Step 1. Make a will

Step 2. Pay off your credit cards

Step 3. Get term life insurance if you have a family to support

Step 4. Fund your company pension to the maximum

Step 5. Buy a house if you want to live in a house and can afford it

Step 6. Put six months worth of outgoings in a tax-free Isa savings account. You can put up to £3,000 into an account each year.

Step 7. Take whatever money is left over and invest 70% in a stock index tracking fund and 30% in a bond fund through any discount broker/fund supermarket and never touch it until retirement

Step 8. If any of this confuses you, or you have something special going on (retirement, college planning, tax issues), hire a fee-based financial planner, not one who charges a percentage of your portfolio

source: thisismoney.co.uk