When people think about turning 30, they think of having an established career and finances. But what if you’re late to the party and are in poor financial health? While you may want to panic, don’t! There is still hope for a fresh financial start and people online offered these tips that will help you craft a solid financial future!
1. Keep Expenses Low
A first user advised, “You got a late start, so having a large car or home payments to make will crush your chances of success. Use the car laddering system to buy cars in cash and save up a larger down payment on the home to keep prices lower. Finally, avoid consumer debt like the plague it is. Being debt-free is the best thing anyone can do.”
2. Increase Income
Increasing income will allow you to make more money, alleviate expenses, and save without it being too much of a hassle. When you have more than one source of income and your money is stretched out, it will be impossible to meet your long-term goals.
3. Save, Save, Save!
According to a second user, “Savings should be part of your monthly budget, and you should pay yourself (put money into savings) first when you get your paycheck. Doing this will give you a good foundation for future planning. Continue to log purchases and track your spending.”
4. Build up an Emergency Fund
An emergency fund should be separate from your savings. It will likely see you through rainy days. You want to be relaxed in an emergency and handle it swiftly, as you won’t need to borrow from friends and family. You’ll use your emergency fund to alleviate expenses. To build funds, channel 5% of your earnings to an emergency account.
5. Live Beneath Your Means
Yes, living beneath your means may sound ironic. But you’re looking for a fresh start. You don’t need to be extravagant about anything. Aiming to spend less and save more is the best way to bounce back. Cut back as much as possible so it’s easy to build up your finances.
6. Refinance Student Loans
Another online user added, “If you haven’t paid off your student loans, consider refinancing. This option allows you to take out a new loan with different interest rates. It makes it easy to save on interest and free up your cash so you will put it towards other things and focus on paying the loans slowly but surely.”
7. Make a Budget
A third user chimed in and mentioned, “People will tell you to start saving, and they are right, but the most important thing to do right now is to look back at the last 3-6 months of spending and figure out how much money is coming in and where it’s going. Doing so will give you a good idea of what you spend each month.” Once you know your spending tendencies, you can make a budget accordingly.
8. Learn To Cook
“Learn to cook. Stop making excuses for it. All you have to do is find some simple recipes online and follow them. My roommate is the same way, constantly ordering Door Dash or fast food and then complaining about how broke he is,” mentioned someone else. Making food at home means you don’t have to waste money eating out when you could be saving it.
9. Think Stocks
A financial guru stated, “You need a good amount of security, but you’re also young enough to take on a good amount of risk in stocks. I’d do around 80 percent stocks (ETFs and mutual funds) and 20 percent bonds.” Investing in bonds and stocks is a sure way to make profits.
10. Have a Debt Repayment Plan
You must pay off your credit card, student loans, and other debts. A debt repayment plan is essential to spread your money evenly and cater to debt. Re-evaluate your payment strategy to reach your larger financial goals quickly. For instance, when saving to buy a house, transfer your credit card to one with an introductory annual percentage rate (APR), and you’ll save more in the long run.
Source: Reddit.
Home Sweet Home: 10 Insider Tips Every First-time Homebuyer Should Know
Buying a new home is a big stepping stone for many young professionals. A solid investment and home ownership can set a person up for financial success in the future. But what hidden cost are these homeowners over-looking? If you are looking for advice on buying a new home, look no further, as a group of recent home buyers gathered online to discuss the tips every new buyer should know.
Read more: Home Sweet Home: 10 Insider Tips Every First-time Homebuyer Should Know
12 Things People Admit Spending Too Much Money On
In this revealing article, we delve into the 12 things that individuals openly admit to spending excessive amounts of money on. From guilty pleasures to lifestyle choices, these candid admissions shed light on the quirks and indulgences that can often lead us down the path of financial extravagance.
Read more: 12 Things People Admit Spending Too Much Money On
Understanding the Costco Car Rental Program and How It Can Save Money
Let’s discuss, in detail, the advantages of choosing Costco’s car rental program for your future travel endeavors. Whether your travels include a week-long stay at a luxury hotel or an upcoming family road trip, knowing you have the best package on your car rental will give you peace of mind.
Read more: Understanding the Costco Car Rental Program and How It Can Save Money
7 Anthropologie Shopping Tips That Will Save You Money
If you’re like me and don’t want to pay full price for Anthropologie items, I’ve put together this post on Anthropologie shopping tips to help you save money and make the most of your next Anthropologie purchase.
Read more: 7 Anthropologie Shopping Tips That Will Save You Money
