The Money Checklist

Everyday basics

Five habits that do most of the work. If you only do one section, do this one.

• Move savings out on payday. Set an automatic transfer for the day your pay lands, so saving happens before spending.
• Build a starter emergency fund. Aim first for one month of essential costs in an easy-access account, then grow it toward three to six months.
• Know your monthly essentials. Rent, bills, food, transport and minimum debt payments. This one number drives almost every money decision.
• Cancel one subscription you forgot about. Check your last two bank statements. Most people find at least one.
• Pay down your most expensive debt first. Credit cards and overdrafts usually cost far more in interest than savings earn.

The 60-second check before any transfer

Most of the cost of moving money hides in the exchange rate, not the fee. These checks find it.

• Look up the mid-market rate first. Search the currency pair on Google or XE at the moment you convert. That is the real rate banks trade at between themselves.
• Ask what will arrive, not what the fee is. A transfer with no fee can still be the most expensive one. The only number that matters is the amount that lands.
• Work out the margin. Compare the rate you are offered with the mid-market rate using the formula below.
• Compare at least two options for any amount you would not happily lose a few percent of.
• Ask whether the rate changes at weekends or at night. Some providers add an extra markup when currency markets are closed.

The account setup that does the work

You do not need many accounts. You need the right four, each with one job.

• A local current account where you live. For rent, bills, local transfers and anything that needs a domestic account number.
• A multi-currency account that can hold several currencies and convert close to the mid-market rate, so you choose when and where to convert.
• A card with no foreign transaction fee for spending in other currencies.
• A backup card from a different provider. Cards get blocked, lost or declined abroad. One spare saves the day.

Getting paid from abroad

If your income crosses a border, small leaks repeat every payday.

• Receive money in the currency it was paid in, into an account that can hold that currency. Convert later, where the rate is better, instead of letting your bank convert automatically.
• Know which payment network is used. Euro payments inside the SEPA area are usually cheap and quick. International SWIFT payments can pass through intermediary banks that take a fee on the way.
• Compare what was sent with what arrived for the first few payments. A gap you cannot explain is a fee or a rate you can question.
• Keep a record of every conversion: date, amount, rate and fee. It makes tax returns and disputes far easier.
• Check where you are tax resident. It usually decides where your income is taxed. Rules differ by country, so confirm with a local tax adviser.

Spending abroad without the extras

Card machines and cash machines are where most travellers lose money without noticing.

• Always pay in the local currency. When a terminal offers to charge you in your home currency, that is dynamic currency conversion, and the rate is set by the machine's operator. Say no.
• At cash machines, decline the conversion too, and prefer machines owned by banks, which are less likely to add their own withdrawal fee.
• Know your card's free limits. Many cards include a monthly free cash allowance and charge after it. If you pay per withdrawal, take out less often.
• Check your banking app works abroad before you leave, including how you receive security codes if your phone number changes.

Moving countries

The money part of a move is mostly paperwork and timing.

• Find out early what a local bank will ask for. Many want a local address, a residence document or a local tax or identification number before they open an account.
• Keep one account open in your old country for refunds, deposits, pensions and anything that still pays out there. Check whether the bank allows non-resident customers.
• Plan large transfers before you need them. Compare providers for big amounts and check their limits and verification steps in advance, so a deadline does not force a bad rate.
• Update your address with every bank and card provider, and keep copies of your passport, residence documents and proof of address in one safe place.

The yearly 10-minute review

Fees and free allowances change quietly. Once a year, check that your setup still earns its place.

• Check what each account and card costs you now. Fees and free allowances change.
• Close what you no longer use, unless it has a job, like the account in your old country.
• Rerun the 60-second check on your most frequent transfer and see if it is still the best option.

Your setup at a glance

Fill this in once, on screen or on paper. It makes the yearly review take two minutes.