Personal finance tips for millennials

Millennials account for around 25 percent of Singapore’s population and they are touted to be the next wealthy generation.

However, not all millennials are preparing to secure their financial future. As a matter of fact, in a Statista survey of Singaporean millennials, it showed that 41 percent of the respondents struggled to stick to their savings plan.

And with the pandemic making everything worse, many young people find it even harder to put their financial situation as the top priority.

The tough times, however, shouldn’t be an excuse for millennials not to be mindful of their spending. If you’re one of those who need help in ensuring a bright financial future, here are some of the tips that you can take advantage of.

• Track where your money goes. The only way to know the potential amount that you can save on a regular basis is to record all of your spending and expenses. This way, you can identify which ones are indispensable and which ones can be permanently cut from your monthly expenditure.
• Practice self-control and don’t spend on anything unnecessary. Before you buy anything, ask yourself if it is a want or a need. If it’s the former, then, by all means, don’t purchase it. Yes, the temptation will always be there but always exercise great discipline so that you can achieve your long-term financial goal.
• Open an emergency savings fund. Financial experts recommend that you open up an emergency fund that contains at least three months’ worth of your basic living expenses. This will ensure you have sufficient funds in case you lose your job or if a fortuitous event happens (case in point: the pandemic).
• Invest in your health. Take care of yourself and don’t forget your vitamins. Avoid stress and get enough sleep. Doing so will help you steer clear from medical conditions that might lead to costly hospitalisation and medication.

Start looking at investments. If you’re ready, check your investment options in stocks, real estate, bonds, and other securities that can grow your financial situation in the long run.

Be smart with your hard-earned money! Subscribe to www.thepeoplesinc.org for more tips on personal finance management.