Life is expensive. This is true for everyone, but a harsh reality for young people just starting out. Unless you have a trust fund just sitting there ready to use, you are probably wondering how you can afford all of the things that you see others having, when you are simply struggling to get by. If you are a part of the millennial generation be sure and pay attention to these tips on how you can save big and you can be one step ahead of the game at a young age!
Get Rid of your FOMO (Fear of Missing Out)
As fun as it is to create fun acronyms, FOMO is a real thing and it is a real problem. When you see others headed out to the hottest club or restaurant, you undoubtedly want to join. The problem is, restaurants and bars are expensive and one of the quickest ways for you to blow your hard earned money. Set a limit on how many times you can go out per month and stick to it. You may be missing out on a night on the town, but you are saving money that is better spent elsewhere. Just remember your long term goals. Do you want to buy a house or would you rather go dancing? Keep those thoughts in mind and you will realize that you aren’t really missing out after all.
Start an Investment Account
It’s great to have a savings account, but when your savings account is attached to your checking account or at the same bank, it is easy to dip into those savings when you feel the need to. Choose to put savings into an investment account that is not quite as easy to get a hold of and your savings will grow! Whether it’s a 401k, an IRA or other type of investment account, they all have more growing potential in interest than your typical savings account.
Set a Budget
A budget is good for everyone, no matter what age you are. Setting a budget helps you to understand where your money is going and where it should go. Millennials are all about technology right? Download a budgeting app on your phone and start there! It’s easier than you think.