6 financial jobs you should be completing in July

As we fully enter the heat of summer, you may be spending more time outside (well, perhaps...), getting together with family, and maybe even pushing the boat out on some summer fun.  

As such it can be a great time to do a budget check-up to ensure you’re able to enjoy the warmer days to their fullest. 

While July is a quiet month in the financial calendar, that actually makes it a great moment to stay on top of your monetary to-dos. 

If you can manage these six tasks, you'll find your accounts are more on track and your filing system is running smoothly – perfect for those panicky moments when you need to make a quick financial decision or find a key document. 

1. Prepare for an interest rate drop 

Without a crystal ball it’s impossible to accurately predict what’ll happen to interest rates over the next few months; however, the markets are very much readying themselves for a base rate reduction by the Bank of England in the coming months. 

Sarah Coles, Head of Personal Finance at Hargreaves Lansdown, says: “Inflation has dropped but with wage growth remaining strong the Bank of England may be hesitant to cut rates as soon as August. We could be waiting until Autumn for the first move downwards. 

“Once the banks start to think interest rate cuts are around the corner, variable rates on savings accounts tend to be cut too. 

“Before this happens, it’s worth checking exactly what you’re making on each of [your accounts], and what’s available elsewhere, so if your bank makes a cut, you already have a switch in mind.”  

While you’re investigating the interest you’re receiving, it’s also worth looking at your savings balances and consider what you’ve got available in case an emergency crops up. 

Experts typically recommend having three to six months of living costs in easy access savings, but if you’re retired and potentially living on a lower income than when in work, it makes sense to keep a bit more in reserve. 

That’s because it’s harder to top up your pot, should you need to access it. 

• Why you should build a reserve fund 

“If [your emergency pot] is a bit low, think about ways to boost it. Even small, regular deposits can make a big difference over time,” says Emilie Bellet, founder of @vestpod and The Wallet podcast. 

One option is to put your income and expenditure under the microscope and work out how much you could feasibly afford to save each month, then set up a standing order paying that amount into your savings account every four weeks or so.  

That way the money is paid regularly, without you having to think about it. It doesn’t matter if you aren’t saving much, a little will always be better than nothing at all. 

• How saving even small amounts can help you sleep better

2. Pay your mid-year tax bill 

If you pay your tax by self-assessment – perhaps because you’re self-employed or have multiple income streams – you might have a July tax deadline. 

Some taxpayers will need to make a ‘payment on account’ – an advance payment on the coming year’s bill.  

This is made up of two payments: the first half must be paid by 31 January, the second by 31 July. These are based on an estimation of the next year’s tax bill. 

(If you expect to pay less tax for this period – for example if your income has fallen  – tell HMRC and your payment on account can be reduced.) 

There’s no need to panic – you should’ve been informed if you needed to make payments on account, but if you aren’t sure just log on to your HMRC account to check. It will tell you whether a payment is due this month.  

You can also contact HMRC online, on the phone or by post – all the details are listed on HMRC’s site. 

• How to register for self-assessment online 

If you do have a bill to pay, make sure you have the funds available and ready to pay before 31 July, otherwise you could be hit with a penalty charge. 

3. Plan ahead for energy bills 

You might be sitting in the sunshine, pleased that the energy price cap has just fallen by 7%, your bills have come down and that your meter whirrs more slowly at this time of year.  

But there’s no ignoring that the wholesale cost of energy remains high. Analyst firm Cornwall Insight predicts that on 1 October the energy price cap will rise 10% and, looking ahead to 2025, it anticipates the January-March cap will stay at a similar level to October.  

This means the average household dual fuel bill, currently £1,568 a year between 1 July and 30 September, is predicted to rise to £1,723 a year (when paid by direct debit).  

Therefore it could be time to switch to a fixed deal, so you’ll know what you’ll be paying for the next 1-2 years. Keep an eye out for new fixed-term tariffs coming through and get ready to compare it with what your existing supplier offers.  

It’s not easy to predict when the right time is to fix your monthly energy spend – now might not be the right time, and it can quickly become a ‘crystal ball’ exercise – so it’s better to have an idea of your ideal budget and see if anything on offer fits what you can afford. 

Energy price comparison sites make it easy to shop around – they gather deals from different providers and help you compare prices with your current tariff, making it easier to see if you can move to something that better fits your budget.

• Is now the right time to fix your energy bill? 

4. Prepare your summer spending budget – and brace for grandchildren 

It’s easy to get carried away with spending in the summer — there are more opportunities to socialise, eat out, go to events and travel...and the costs can mount up.  

Keep a check on your weekly/monthly budget for overspends that you can claw back, and plan adjustments down the line, suggests Ban Mahsoub, Spend and Save Director at Tesco Bank.  

“Consider whether you’re using all your subscriptions, such as TV streaming services, and if you can cut back on anything non-essential. Even a temporary cutback can help save some money over the summer months,” says Mahsoub.  

However, Saga research also reveals that grandparents spent an average of 16 days providing childcare last summer holidays – and if that applies to you, balancing your budget can be even more important if you need to spend anything to keep them entertained. 

There are loads of budget-friendly ideas that can be conjured up with some forward planning, such as cheap cafes, heading to charity shops, baking or going on ‘smartphone camera adventures’ – while still having a fun and enriching time together. 

• 9 ways to entertain your grandchildren on a budget 

If you feel the need to push the boat out for a special treat though, you can save a fortune by researching activities and deals in advance. For instance: 

• Going by train? Find 2-for1 entry to dozens of attractions, including London Zoo, Kew Gardens, the Science Museum or the Grand Pier at Weston-Super-Mare, when you book through National Rail (and make sure you’ve got a Senior Railcard for just £30 too...)
• Looking for a show? ‘Kids week’ in London’s Theatreland runs from Wednesday 24 July to Friday 6 Sept. A child aged 17 or under goes free when accompanied by an adult paying full price. Plus, an additional two children can attend for half price. Check out participating shows. 
• If you work for, or are retired from, a publicly funded organisation (such as the civil service and public sector employers like the NHS, armed forces, emergency services, education and local government), check out membership club Boundless. For £40 a year, you get unlimited access to many top UK attractions, deals and discounts on dining and days out. 
• Find more ideas in our piece on smart hacks for cheaper days out to cut the costs of memorable moments with grandchildren. 

5. Have a financial declutter 

One thing we all can rely on: summer in the UK isn’t always filled with baking, balmy days. On rainier ones, where you’re stuck inside, try weeding your bulging filing system rather than the garden.  

Organising files and ditching out-of-date paperwork is always easier when things are quiet, rather than as part of a panic search for vital documents. 

• Find out what happened when our writer couldn’t find their will... 

It could also flag tasks for other days too, such as checking you’re still on the best broadband tariff or reminding you when to shop around before your insurance auto-renews – put these in the diary and your future bank balance will thank you. 

Apart from the identity and legal documents that need keeping indefinitely, a good rule of thumb for general paperwork (such as old utility bills, insurance documents and receipts), is to keep things for two to three years - or six years if you’re self-employed.  

But there’s no going back once it’s shredded, so it’s important to know what’s worth keeping and what you can get rid of to keep the clutter in your life to a minimum.

• What you should and shouldn’t shred 

6. Share the location of your important documents folder 

It might not be top of your to-do list, but you need to make sure you loved ones know where all your important documents are – and before you go on holiday is as good a time as any. 

Jenny Walsh, Partner, Private Client Department at Osbournes Law, says: ‘Whilst none of us want to imagine the worst-case scenario, should anything happen to you whilst away those people will need to be able to access those documents to deal with your finances or health decisions and they will be glad that you made life a little easier for them at a difficult time’. 

Be systematic and think about all the documents or information someone could need to deal with your affairs – repeating this task over a few days (or weeks) allows you to remember some key information that might not be apparent on the first look. 

Financial jobs: your checklist for today 

1. Do a financial stocktake.  
2. Review the emergency fund. 
3. Pay your mid-year tax bill. 
4. Plan ahead on energy bills. 
5. Save on seasonal spends. 
6. Find discounts on summer fun with the grandchildren. 
7. Declutter your filing system. 
8. Tell a family member where your important documents are.