Ironic how students seem to lack it at the worsts times.
Does, being far from home and not being able to afford a taxi, sound like a familiar situation?
It is known that many young people in education or who are fresh out of school usually find keeping money in their hands without it miraculously disappearing the next morning difficult.
If you’ve ever been a victim of such memory loss, please pay attention, these 3 Top Tips could SAVE your life.
Tip #1 – Invest, Invest, Invest.
You’ve heard this a million times elsewhere, but this is the first time you’ll here that it matters to young people as well.
You don’t need to have multi-millions and a sky-scraper to invest in, investing means – Putting in, in order to get out a profit.
This could mean investing in yourself, learning something knew or gaining another experience or investing on your family taking them out for a meal.
It is understandable that you are not making much money as a younger persons, however, small amounts go a long way.
If you started saving £50 a month (£600 per year) until retirement at the age of 65.
At age 65, you would end up with an investment account worth £524,384.50. Saving money is powerful.
Tip #2 – Never Withdraw more money than you need.
Many people may have intended to save some money and then experiencing the temptation to spend that money shorty after.
Many others convince themselves that they will pay it back.
This rarely happens.
To understand money, you need to understand yourself; if you know that you suffer the temptation to spend than don’t leave money in cash.
Although, you can spend digitally, this is a step forward in managing your money.
Tip #3 – Reduce Lending and Borrowing
Debt can be useful if used responsibly, to enable you to purchase things that you may otherwise not be able to afford.
Less lending & borrowing means less problems.
It is advised that you should only borrow or lend money under extreme circumstances.
Two things to remember – Money borrowed from the bank must always be repaid and interest is a cost that restricts your ability to save money.
Essentially, there is no running from debt and saving for it becomes difficult because of interest.
Don’t worry! You may not be an expert in managing your money, it takes time and practice.
However, as long as you take one of these tips and use it in your everyday life, there’s no doubting your finances will improve.