If you could send a message to your 20-year-old, would it look like this? And what advice would you give? We put together 8 of them that we could playfully manage in 20, but nobody told us how important they were. And because theoretical advice is usually useless, we have added practical tips proven by years of experience.
Your account may not be at the end of the month
Everything paid, two days to pay and a few thousand more? So go to the party or for new shoes! But the payout may be delayed or your phone will break tomorrow. That’s why it’s good to leave your balance as it is.
Tip: Get a savings account to transfer your remaining money so that it doesn’t lure you.
Being negative with your account balance is not good
An overdraft is a great thing at twenty. But the more you get used to using it, the worse you will be with money no matter how many you have. Use it only in emergencies.
Tip: Lower the overdraft boundary to a minimum or zero.
The sooner you start saving, the better
Even if it’s only a hundred times a month, you’ll get the habit you need and you’ll put your money down automatically.
Tip: Set up a supplementary pension insurance . You won’t even feel a few hundred a month at twenty, but they will certainly be useful for retirement.
Do not throw your moneybox
On the other hand, place it in a place of honor and throw small coins , such as ten and twenty crowns . When it comes to breaking bread, you can pull a few hundreds out of it.
Tip: Introduce a daily money box ritual . When you arrive home, open your wallet and, if there are coins you want, throw it into the moneybox.
Keep an eye on expenses
At twenty money disappears so quickly that one is not surprised. And that’s a mistake. Regardless of age, everyone should know where their money ends.
Tip: Try to pay by card as often as possible. Withdraw cash minimally and record each payment. You get great data for budget planning.
Plan a monthly budget and save
If you end the moon at minus or zero, something is wrong. To see exactly what you need, compile a revenue and expense report . You can then identify areas where you can save money.
Tip: Most often you save on food. Bring discount flyers to plan your weekly menu . This will also save you the time you would otherwise spend choosing goods in stores.
Do not delay paying important things
Rent, energy and some other bills simply have to be paid. Otherwise, there are fines and much bigger problems.
Tip: Once you receive your payout, pay all your bills and transfer some of your money to your savings account. Budget the remaining amount according to your monthly spending plan.
Instead of borrowing, go to temporary jobs
If you’re studying, don’t be lazy and go to the brigades. You meet new people and make money for the things you want. In addition, if you put the money in one day of the brigade into a savings account, you will get at least a basic financial reserve .
Tip: A loan is a simpler solution, but if you do not have a regular income, it is not ideal for you.