Posted On: October 29, 2020 by Exchange Bank of Northeast Missouri in: Budgeting Personal Finances Save Money Savings Spending
If you’re in your early twenties to late thirties, you’re in the millennial age range, also called Generation Y. Individuals in this generation are known for their creativity, openness to change and tech-savviness. It’s important for millennials to understand how to properly save money as they’re in the prime age for the biggest and most expensive changes life brings about. Keep reading to learn six helpful tips!
1. Retirement, Retirement, Retirement
The importance of contributing to your retirement fund at this stage of life cannot be expressed enough times. There are two groups of people in their 20s and 30s – those who have a good start on their retirement savings and are continuing to contribute to it and those who are still procrastinating. Don’t find yourself in the second group! If you haven’t made saving for retirement a habit, now is a great time to start.
2. Stay Away from Credit Card Debt
By only paying the minimum amount due on a credit card, you’ll be leaving yourself with a whole lot of charged interest. Make sure you’re paying your bill on time and in full, only buying what you can afford. If you have credit card debt, it’s time to start chipping away at it!
3. Pay Down that Student Debt
Find an effective strategy that will get rid of your student debt as soon as possible. Whether you’re on the early twenties side of the millennial generation or in your late thirties, student debt is a common problem among individuals of many ages. Start paying more than the minimum amount to make sure you’re getting ahead of the game.
4. Make Smart Purchases
Saving for a new car or your first house comes with making some sacrifices. You’d be surprised how much you can save by cutting out some of your unnecessary coffee runs, monthly subscriptions and impulse purchases in the store.
5. Build Up the Emergency Fund
Who knows what unexpected events life might throw your way. Be prepared by continuing to build your emergency fund, even if you’ve reached your goal amount. Setting up an automatic transfer to a savings account will make building your emergency fund even easier!
6. Reach Out
Finances aren’t always a breeze and sometimes the best decision is to simply ask others for advice or help. Whether it’s a trusted friend or family member who has had a smart financial history or a finance professional, getting a second or third opinion on your money situation is always a good idea.
While there are dozens of stereotypical views on millennials, saving tips are beneficial for any and all generations. The ambitious and problem-solving qualities this age range is known for can be put to great use when it comes to personal finances! Get a head start on your future by opening a savings account with Exchange Bank of Northeast Missouri today!
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