1 Millenials: Live Today, Save For Tomorrow

 
How Millennials Can Live Today While Saving for Tomorrow
Each generation faces certain challenges and enjoys certain advantages. New times set new requirements that bring new opportunities, so all people need to do is to adjust.

While previous generations were faced with recessions and shortages, Gen Y enjoys a relative stability and good things that the new round of history has brought.


Gen Y or more popularly known as “Millennials” (people born between 1981 and the late 1990s), want it all and they want it now. They look at their parents and grandparents and they don’t want to be like them. They don’t want to work hard and wait for retirement to finally start living their lives to the fullest, such as of course, to travel a lot. Most of them don’t think about their distant future – the life after retirement – simply because they plan to work in their 70s.
 
When you are in your 20s, it’s quite difficult to save money as there are so many seductions and unavoidable expenses. You think that you’ll start saving later, but that time may not come at all. Is it possible to live a quality life and at the same time save up for the future? Nothing is impossible. But the earlier you start saving, the more you’ll have in the end. Those in their 50s regret they didn’t start saving 30 years ago.
 
So today, why not give your undivided attention to learn from the older generation’s mistakes and learn from Casanova style how to be frugal without missing out on important things. Shall we?

Avoid debts at all costs
When you’re almost broke, it’s quite tempting to apply for a loan or use your credit card. Remember that the instant relief you get from the money you borrowed to solve your financial woes would usually double the trouble come paying time. Borrowing money from friends is not a good practice too, though at least they can give it to you without any interest. But make sure you pay them, ok?

Avoid debts at all costs

Save smartly
One of the easiest way to start being frugal is to activate the automatic transfer from your payroll account into your savings account. Most banks have this feature, just visit your bank and ask them how or call their customer service. You can start small and then gradually increase the deducted sum. This way, you don’t even notice how your assets grow month by month. Follow the principle of delayed gratification. It means you should avoid spontaneous expenditures but make purchases only after you’ve accumulated a certain sum of money. You can then splurge your money without guilt since you already paid yourself first in form of saving.

Save smartly
 
Keep track of your budget
Even if you earn a lot of money and can afford anything (which may not be typical of young years, of course), you still should put some money by. You can challenge yourself with the following financial “scheme”. Promise yourself to put away a certain amount of cash each week. For example, you can start from 1,000 pesos per week and end up saving 52,000 pesos at then of the year!


You also need to have a full control over your cash flow. In order to figure out whether you’ll be able to save something this month or will have enough to live, you should jot down your basic daily or monthly expenses. Check how much you spent each week so that you know where to switch on “Budgetarian” mode.

Determine what you want
It’s human nature to have many needs and demands, but it’s important to prioritize them. If you want to go on a trip, you should start saving for it by cutting down some expenses. For example, you can do without Starbucks and brew coffee at home and take with you thus saving a good sum on it. Besides, most offices have free coffee nowadays! Each time you want to drop by a cafĂ©, remember about your dream.

Determine what you want
 
Reduce your expenses
A good way to save up is to spend less. Why buy an expensive jacket if you have a good one now and you can easily wait and buy it in a sale. There are a lot of discount coupons which can cut the price significantly. We spend much on food, so be frugal – many products can be bought in the bulk section for less.

Reduce your expenses
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1 comment :

  1. hmm..makes me rethink my finances and how I handle my salary

    ReplyDelete

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