Millennials have to face greater financial challenges than previous generations. Many of them have to take care of their college debt or try to be independent in these insecure times. As a millennial, you probably have similar issues, and these tips will help you deal with them successfully.
1. Get your budget in order
Take care of your bank account. If you regularly receive money from abroad, do research on which banks are most profitable for it. In case you are a student, search for banks that offer good deals to students, for example, low fees for unexpected expenses. On the other hand, maybe e-banking is the best choice for you – you won’t waste much time and money, while many online services like Payoneer have fees affordable to most people. Lastly, keep track of your monthly expenses. Try to determine if you have any bad habits and get rid of them. You need to know where your money goes every month to know how to save it.
2. Create a saving account
Once you know where you can save money, start doing it – put a certain amount on the side every month on a separate account just for savings. You won’t really need that 10% of your income but it will sure come in handy after some time when you need to make a larger investment, whether it’s a car, a real estate or further education.
3. Have a plan B
Long gone are the times when people had a secure job and when being the best in class meant something. Whatever your job is right now, don’t think it’s going to last. You need to be prepared for everything, so a plan B is a smart move. Always have another job in mind that you’re ready to do in case something goes wrong. These are uncertain times, so expanding your knowledge to be able to work in a different niche in case of an emergency is necessary.
4. Have a side-job
If you are ready to learn more and try your luck in as an entrepreneur, why not turn it into your additional source of income? In case you have a business idea on a new product or service, why not try to make some money out of it? Maybe you’ll manage to find people ready to invest in your product or idea but you have to do the marketing part. Try to make yourself visible anywhere possible. You can download a catalog of promotional items such as flyers, brochures and even high-quality displays to start your business and let your target clients who you are and what you offer. Who knows, maybe this will eventually become your main source of income.
5. Cooperate with others like you
If you, as many millennials, work as a freelancer, you probably work from home. As much as this can be convenient, it can also get pretty boring and you also lose the opportunity to meet new people. So, you can try and reach out for other freelancers and suggest them renting a co-working space where you can all exchange ideas and knowledge and also save some money in the process.
6. Avoid unnecessary debt
It’s almost impossible to avoid debt but you shouldn’t get yourself into unnecessary debts like the ones that will allow you to go on a luxurious holiday because they don’t help you earn any money in return. It’s a different thing if you decided to invest in a thing you believe in, so keep track of your credit score so that you don’t get unpleasantly surprised when you really need the money.
Sticking to these tips will help you improve your financial status and have much less headache in the future. The more careful and versatile you are, the better.
Mike is an Australian IT support professional. He’s working with companies that outsource their IT maintenance. He often writes about technology, business and marketing and is a regular contributor on several sites.