Why you should automate your bills

21 Jul 2015

Automating your bills is one of the easiest ways to get in control of your money.

It means that every month, your bills are automatically taken out of your bank account, so you won’t need to face a mountain of paperwork on a regular basis and set yourself reminders to pay for everything. 

Ideally, you should calculate the amount you pay for your bills each month and schedule for the money to be put into a separate account on a regular basis. From there, your bills will be automatically debited and it’s out of sight, out of mind.

Here are five reasons why automating your bills will help you stay on top of your money.

1. It removes temptation

When you put aside the money you need for bills each month into a separate account, you won’t be tempted to spend it on other things. It also means that the money left in your account is exactly what you have to get you through for the rest of the month, minus the bills.

2. No more fees

Now that you won’t fall risk to paying your bills late, you won’t be hit with pesky interest charges or late fees.

3. It minimises human error

When you’re manually paying for your own bills online, it’s easy to slip up and accidentally pay the wrong amount or even the wrong company. Or sometimes, you might forget about a bill you need to pay and accidentally spend your money on something else instead. Automating your bills means you can avoid this from happening each month.

4. It will free up your time

Who wants to spend the time dealing with lots of paperwork each month? Instead of trying to keep on top of your bills on a regular basis, you’ll now have more time for the more fun things in your life.

5. You’re building good finance habits

Now that your bills will always be paid on time, you’ll know what money is coming in and out of your account and start to create an effective budget strategy.