Those days are gone when your mum gave you 10 bucks and you felt like the King of the world. The truth is adulting is hard and expensive. When you start paying your own bills you realize how fast the money can last.
In your 20s it can seem impossible to save anything. Between high rents, cable bill, and gym membership, there is hardly any way to stretch your paycheck and save some money at the end of the month. Regardless, you should try to save as much as you can without compromising your basic needs, making use of saving techniques such as coupons and sales, and making yourself bored to death.
Saving truly is the way to becoming an adult. If you learn how to save, you have matured and finally become an adult. You will learn that savings can turn your life around. There is so much you can do with the money you save. You can save yourself in an emergency, go travel the world, or start your very own business.
Before we tell you some ways to save money, know that saving should be treated as a habit. Once you start saving even a few bucks a week, there is only going up from there. Here is how you can make it happen:
Forget Everything and Pay Off Your Debt
Most adults are one way or another under debt in their early 20s. Many of them have large student loans to pay off. In the US, the collective student loan has crossed $1.5 trillion to become the second highest consumer debt.
Now, this is actually opposite to saving money as you will be giving away more money but think of it as an offset to start saving money. When you have no debt left, any extra money is basically your saving. The reason why you need to pay off your debts as early as possible is that it keeps on increasing. The interest keeps escalating over the years and the next thing you know you are under a mountain of debt. Such a scenario can limit your career and freedom to move, not to mention all the depression and anxiety.
It is true that this is easier said than done but if you strive hard it is plausible. In fact, the next few tips will help you save enough to pay off your debt first.
When it Comes to Want VS. Need, Make Sure Need Wins
How you spend your money can affect your future in more ways than you can imagine. Some individuals are naturally adept at saving money (lucky them!) but it is essentially a behavior and can be acquired. When you get your paycheck, make sure you do not overspend by getting everything you want.
Want and need are two very different things. It is okay to buy things you want once in a while but if you end up buying everything you want you probably would not have much left behind. There are ways you can focus on spending only on what you need:
• Make a list of essentials
• Buy in bulk if it is economical
• Avoid going to malls or visiting stores online to avoid the temptation
• Set a certain percentage of your monthly income aside as saving and spend only from the remaining
Plan Things Smartly and Prioritize
You can save a lot if you become smart about how to spend your money. Prioritizing what needs to done first can help you get what is important done without overspending your monthly budget. Planning and prioritizing should go hand in hand.
For instance, your car is due for service and you are also supposed to change the wallpaper in your bedroom. Now, what is more, important of the two? Obviously, your car as you need it every day. In such a case, go with the car service and leave wallpaper for another month when you do not have anything important lined up.
Hunt Down Deals and Coupons Like Your Life Depend On It
Do you know that you can buy almost everything on discounts? Why would you want to pay full price when you have the blessing of coupons? If you want to save money make it a habit to look for coupons and promotional deals for whatever that you are buying. You can find great deals at most departmental stores especially for clothing, shoes, and electronics. You can easily save as much as 50%.
All the money that you save from your purchases can go into your savings account. Discounts on clothing at departmental stores are easy to get but there are other discounts that are not so easy to find. You can try your luck on days like Black Friday or Labor Day. In short, find any way possible when shopping in stores or online to save some bucks.
Eat Healthily and Stay Fit
You probably will need a minute to process how eating healthy can save you money. If you think long-term you will see how keeping your diet simple and healthy can go on to quickly fill up your pockets. It is simple: if you eat healthily you will not get sick and therefore, avoid huge medical bills. You will not gain weight and need not join expensive gym classes.
Now, you are probably wondering eating healthy is expensive than eating not so healthy street food. This is partly true as organic stuff can be expensive but eating healthy is not. Prepping food at home with easily available vegetables will not cost a lot. Buying fruits for the entire week will not cost a fortune. Drinking regular milk daily instead of almond milk will keep your bones strong without making your pocket weak.
Young adults need to learn how to save if they want to be happy and have a fulfilling journey. Nobody teaches you in schools or colleges about real life stuff. If you keep on spending every month’s pay and avoid clearing your debt, soon you will be living on paycheck to paycheck. You will not have time or money to follow your dreams.
You don’t want to be that person! Tell your spendthrift teenager side goodbye and get saving from today.