In recent weeks, you can’t have failed to miss the headlines stating that the UK is currently experiencing a cost-of-living crisis. According to data from the Office for National Statistics (ONS), inflation in the UK rose to 7% in the year to March 2022.
Due to this recent spike in the cost of living, many of us have had to tighten our belts and look for new ways to save money. If this is true for you, making the most of your workplace perks can be a great way to do this.
Many companies offer a variety of benefits to their employees, on top of a regular salary. If you want to save money, read on to find out how making the most of your workplace perks can help you.
The cost of living has reached a 30-year high
In recent months, it’s been hard to ignore the rising cost of goods and services. From loaves of bread to litres of petrol, there has been a noticeable increase in the price of many products. According to government data, the rise in the cost of living is at its highest level in around three decades.
One of the main drivers of this is the fact that the economies of countries across the globe have been in lockdown in recent months. This has meant that the production of many types of goods has fallen, causing prices to rise.
The war in Ukraine has also contributed significantly to the increase in inflation. According to figures from the ONS, in 2021 the UK imported around £830 million worth of goods from the country, mostly in the form of agricultural products such as wheat and vegetable oils.
Since we’re having to pay more to import from elsewhere, this has made many types of food more expensive. On top of this, the sanctions on Russia have also increased the price of fuel and the cost of energy bills, as the UK is refusing to buy their gas and oil exports.
With these price rises in mind, it’s understandable that many people are trying to find new ways to save money. This is where making the most of your workplace perks can really benefit you.
Making the most of your workplace perks can save you a considerable amount of money
In recent months, many companies have learned that employee benefits can be a useful way of attracting new staff. According to a recent survey by Metlife, published in This is Money, half of Brits stated they would be willing to sacrifice some of their salary in exchange for personalised workplace perks.
These benefits can come in a variety of forms, with some of the most popular including:
- Ability to work flexibly from home
- Private medical cover
- Life insurance
- A company car
- Mental health support.
Many workplace perks can help you to save a large amount of money, which is why it’s important to make the most of the benefits that your company offers you.
For example, the ability to work flexibly from home can not only enable you to spend more time with your loved ones, but it could also cut out your daily commute. Whether you drive or take public transport, this can help you to reduce your household expenses considerably.
Private medical cover can also be a very valuable perk, especially given the current NHS backlog due to the pandemic. If you already pay for this service, switching to a plan paid for by your employer can save you a significant sum each year.
Some healthcare providers also allow you to claim money back whenever you need to pay for check-ups, such as eye tests or visits to the dentist. This can potentially help you to save a large amount of money, especially if your loved ones are included in your plan.
Workplace perks don’t only benefit employees but can also be useful for employers, as keeping your team happy can make them much more productive. They also help to improve employee retention, which can save you time and money on training new staff.
Working with a planner can help if your employer offers you financial perks
Of course, while many perks are simple to understand, others may not be. For example, if your employer offers you financial benefits, such as stock options, which we discussed in a previous article, you may not feel confident making decisions with them. This is where seeking professional advice can help you.
At a time when it’s important to manage your finances carefully, making the most of valuable benefits such as stock options can be essential. If you use them correctly, you have the potential to boost the value of your portfolio by a significant amount.
Working with a planner can enable you to make properly informed decisions about your finances, giving you more confidence when building your wealth. This can help to reassure you that, even if there are bumps in the road, you’re on track to reach your long-term goals.
Get in touch
To find out more about how we can help you to make the most of your finances and workplace benefits, get in touch. Email enquiries@bowmorefp.com or call us on 01275 462 469.
Please note:
The value of your investment can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.
Bowmore Financial Planning Ltd is authorised and regulated by the FCA.
