Millennials have received a great deal of press due to their radical cultural and generational differences from their parents. The particular aspect that makes millennials a drastic contrast to the generation of their parents is the way they approach the job market and the way that they spend money. What makes millennials truly distinct is the lack of loyalty they have to one single company. Millennials are more egocentric in the way they approach their career path and finances because if a job is suiting them, they are not afraid to walk away and find something else. This has caused significant changes to the job market overall, particularly the technology sector. Millennials are paramount to the technology industry because their skills are coveted by employers from their parent’s generation.
Pertaining to finances, millennials are less fiscally conservative than their parents. They place more value on experiencing and living life than settling for a job that they do not like. As a result of this, they do end up spending more money than their parents did. In order for millennials to create the kind of financial freedom they would like to travel and pursue career paths that they are passionate about, they have to be fiscally intelligent. Here are some viable tips for the prospective millennial to get ahead financially and still live life to the fullest:
It is imperative to start saving early! The reason for this is that retirement is something that takes years to fiscally plan for. One great idea for millennials is to use technology to their advantage. One excellent way to itemize your finances effectively with technology is by using site like Mint.com, which also have an app. This allows you to divide your various expenses and set target saving goals for yourself. This is a sensational way to get ahead and to know exactly what you have to go out to eat, travel, etc. while still staying on top of more important obligations such as your rent and electric bill.
Be aggressive about paying off your student loans! Many millennials only pay the minimums; however, this strategy is quite foolish. The reality is that your student loans are not going anywhere! You have to pay regardless if you pay today or in twenty years. The best idea is to pay early so that you do not pay triple or quadruple what your principal balance is in interest. A viable option to consider are the plethora of partial repayment plans that are available on the market. If you fluctuate your payments to your advantage, you will be out of debt many years sooner and can put your money towards better things.
Be careful with credit cards. Credit cards are surely the evil nemesis of millennials because they use them to live a lifestyle that they are realistically unable to afford. The idea that millennials should practice is using their debit cards instead of credit cards and to only use their credit cards when they are going to immediately pay off the balance. If millennials utilize this, they will be amazed at how much less credit card debt that they are going to accrue overall.
Freelancing is a great way to make additional money. Freelancing has become quite a great option to make additional money. In fact, you can make enough money freelancing to make a significant dent in your student loan payments. If you do this, you will supplement those payments with another income and be able to use your salary for other things that are more enjoyable. Freelancing provides you networking and a way to increase your skills for your next interview.
Cook at home, it will save you money! According to a recent study conducted by Bloomberg, millennials spend more money on eating out than on groceries. For health reasons, it is better to eat at home because you can control the ingredients that are put into your food. Aside from saving a great deal of money, cooking at home can save you a great deal of money on weeknights. For example, it is best to save your going out to eat nights for weekends. This will allow you to still enjoy and also save money eating at home during the week.
Extra — Tip 6
When you have to send money abroad, do not use your local bank. Domestic banks charge substantial fees that should be avoided. Use foreign exchange companies like World First Currency Transfer for your wiring needs and you will save a great deal of money overall.
The bottom line is that there are many ways to save money, if you implement some of these tips you will be able to get yourself ahead financially while you achieve your prospective career goals.