Studies show that most millennials have great financial goals but not enough drive and insufficient planning. Aside from those factors, your generation is mostly weighed down by debt, inability to properly budget and save, and very little to zero concept of investing.
So here are 5 of the most financial goals millennials must overcome to achieve financial independence — according to financial planners and advisers.
Learning How To Budget
Probably the most basic step of all is to learn how to budget finances. Achieving financial stability starts at being conscious of your money moves and taking full control of them. Study your monthly income and outflows by keeping track of what goes in and what goes out — and where the money actually goes to. Note that if you don’t have savings at the end of each month, that means you’re spending too much.
Start a Savings Account
While some millennials would beg to differ, survey reveals that there’s still a large number of millennials who don’t take saving up seriously enough. There is an alarming number of millennials without their own savings accounts, or with zero balance in their accounts.
However, it’s important to have “emergency funds” that cover around three to six months of your living expenses. This allows you to not have to worry about a “rainy day” or about diving headfirst into a career path that you’re not passionate about — because we all know that’s not the millennial way of doing things.
If you want to go the route with more chances of achieving your KPIs, why not try starting a savings account with insurance like IPONsurance. This gives you the best of both worlds a.k.a. savings and your own life insurance.
Get Your Own Credit Card
One of the best part about being a millennial in this day and age is having the buying power to provide for yourself. And what best way to maximise that than by having and using your very own credit card. This allows you to build good credit as you get older and rise up your career ladder.
Also, having your own credit card gives you access to a number of rewards, loans, and even special limited edition offers. Not to mention, allowing you to explore with less worries about finances.
Start developing and diversifying your portfolios to be on your way to meeting your financial goals. It may be confusing and daunting at first but learning at least the basics of investments can help you decide whether you’re more of a stocks or a bonds kind of investor. To reduce the risk, you can also go for both to increase your opportunity for long-term growth.
Have A Stable Career
Whether you prefer traditional employment or self-employment, as long as your work situation is secure, then you’re on the right track. Opt for career paths with a salary that can cover your present expenses and with the opportunity to increase as your needs increase in value and quantity as well.
Consider also a career that will give you growth and the opportunity to expand your knowledge and skills. Aside from these, a job that allows you to have more than own cashflow is also a benefit you may want to take into consideration.
Ideally, you’ll get to overcome these milestones before you reach the age of 35. But your needs and aspirations will start getting bigger as you age. That’s why it pays to look into loans that can help you acquire the things you need and want to live your best life. Achieve your dream home with the Go! Housing Loan and your dream car with the Go! Auto Loan without going off track on your financial path.