The Meaningful Money Handbook

As the hit Cabaret song tells us ‘Money makes the world go round’ and unless you’ve been hiding under a rock, it’s all everyone seems to be talking about right now.

In the current economic climate, many of us are grappling with the ongoing cost of living crisis and subsequent financial strain this is creating, leaving some of us living in fear, feeling helpless and overwhelmed. Amid these challenges, gaining control over our personal finances has become more crucial than ever.

While no book can remove these burdens or the very real struggles people are facing, there is one I recommend to help you navigate these uncertain times - The Meaningful Money Handbook by Pete Matthew.

The Meaningful Money Handbook by Pete Matthew is a practical, no-nonsense guide to personal finance, specifically tailored to a UK audience. The book is centred around three steps: spend less than you earn, protect against disaster, and invest wisely - a simple but powerful framework that underpins all successful financial planning.

Step one is all about spending less than you earn with Matthew encouraging readers to take control of their finances. He outlines how to create and stick to a budget, pay off debt, and build healthy financial habits. The emphasis is on intentional spending and understanding your money mindset to avoid lifestyle creep and unnecessary expenses.

Step two dives into protecting your finances from unforeseen events. This includes building an emergency fund, having adequate insurance cover - such as life, critical illness and income protection - and ensuring that you’re not financially vulnerable if the unexpected happens. He also touches on the importance of having a will and setting up power of attorney.

Step three focuses on investing wisely. Matthew demystifies complex financial jargon and explains the principles of long-term investing, diversification, and risk tolerance. He discusses pensions, ISAs and other tax-efficient vehicles, providing clear guidance on how to build wealth steadily and sustainably over time.

Throughout the book, Matthew’s writing is engaging and accessible. He strips away the intimidating language often associated with financial advice, making the content approachable for readers of all backgrounds. Practical exercises and actionable steps are included at the end of each chapter, helping readers to apply the concepts to their own lives.

Whether you're just starting in the workplace and beginning your financial journey or simply looking to get back on track, The Meaningful Money Handbook offers a solid, easy-to-follow roadmap to financial wellbeing, empowering readers to take charge of their money with confidence.

Now, let’s dive into five key takeaways and actionable tips from the book so you can begin to get your finances under your control.

✏️ 1. Budgeting is Your Superpower

“If you don’t know where your money is going, you’ll always wonder where it went.”

Budgeting isn’t about restriction; it’s about awareness. When you know how much is coming in and going out, you gain control over your financial choices.

Use the 50/30/20 rule as a starting point:

50% of your income on needs (housing, bills, groceries etc)
30% of your income on wants (Netflix, entertainment, eating out etc)
20% of your income on savings and debt repayment

💪🏻 Actionable Tip: Automate your budget by setting up direct debits and standing orders to go out on payday. Pay yourself first, saving what’s left at the end of the month NEVER works.

✏️ 2. Debt is a Wealth Killer

“Debt robs your future to pay for your present.”

High-interest debt, especially credit cards and payday loans, can significantly hinder your ability to build wealth and can leave you feeling helpless and overwhelmed.

Create a debt snowball plan:

1. List all your debts from smallest to largest (regardless of interest rate).

2. Pay minimums on all but the smallest.

3. Attack the smallest with intensity.

4. Once cleared, roll that payment into the next debt.

This builds momentum and gives you a sense of progress, keeping motivation high.

💪🏻 Actionable Tip: Create a visual tracker that you can tick off/colour every time you make a payment towards your debt. Whether it’s a spreadsheet, tearing down a post-it note or colouring a block on a piece of paper have something that you can look at when things get tough to prove you are making progress.

✏️ 3. Build a Safety Net

“Emergency funds aren’t optional - they’re essential.”

Life is full of surprises - from job losses to car breakdowns to dental bills. An emergency fund ensures that these bumps in the road don’t become financial disasters.

Aim to save 3 to 6 months’ worth of expenses in a high-interest, easy-access savings account. As this is only for emergencies, the high-interest will hopefully compound to make your money go further and being ‘easy-access’ means your money isn’t locked away for a set period of time and is there when you need it.

💪🏻 Actionable Tip: Set up a standing order of £50-£100/month to go into a savings account on payday. Over time, it’ll grow into your financial safety net, giving you peace of mind knowing that you have a cushion to soften an unexpected financial blow.

✏️ 4. Investing is Easier Than You Think

“You don’t need to beat the market - you just need to be in it.”

The earlier you start investing, the more you benefit from compound interest - interest on interest, which accelerates wealth over time. While yesterday was the best time to begin, it’s never too late to start - if you’re unsure of what to do, platforms like Vanguard, Nutmeg or Moneybox offer beginner-friendly options.

💪🏻 Actionable Tip: Open a Stocks & Shares ISA and start investing in low-cost, diversified index funds. Begin with a monthly contribution (even £50 is a great start). The key is consistency - not perfection.

✏️ 5. Protect What Matters Most

“Building wealth is meaningless if you haven’t protected it.”

Insurance and proper estate planning ensure your family and assets are protected if the unexpected happens.

Review your insurance policies:

• Life insurance if you have dependents

• Income protection if you’re self-employed

• Will and lasting power of attorney

While the book focuses on insurance to protect your money and wealth, this also applies to other forms of insurance such as your home contents and building insurance. Always know what’s covered.

💪🏻 Actionable Tip: Clear a date in your calendar to review all your insurance policies. No, it’s not going to be fun, but it’s an essential step to set yourself up to be as financially secure as possible.

Want to learn more? If you would like to buy a copy of The Meaningful Money Handbook and support us at the same time, you can shop at our affiliate link here. When you buy through this link, we will receive a small commission at no additional cost to you. We’re excited to share our takeaways and insights from the top non-fiction books every fortnight and truly enjoy writing this newsletter. Thank you for your support and for being part of our growing community. 📚️ 

Pete Matthew’s The Meaningful Money Handbook is more than just a finance book - it’s a blueprint for living a financially confident and stress-free life. It reminds us that financial wellbeing isn’t about being rich; it’s about being in control. Jargon free and straight to the point, this book is a MUST READ for anyone living and earning money in the UK.

Whether you’re dealing with debt, trying to save for a house deposit, or planning your retirement, Pete offers clear, practical advice grounded in real-world experience. By applying even a few of the principles from the book, you’ll begin to make meaningful progress towards the life you want. 🤑 

Until next time, stay thriving!

Beck
Team Thrive in Five