It’s way easier to change your habits and mindset in your 20s than in your 50s. So why not save yourself some trouble? Use these 3 things to do in your 20s now!
1. Take a Deep Breath
If you haven’t started saving for retirement, or you wasted a bunch of money when you first got out of college, it’s understandable that you would be a little freaked out. And that’s okay!
But I promise you, none of that matters. You can’t change it; you can only change where you’re going from here. So take 5 minutes, take a deep breath, and let go of any previous mistakes you’ve made. Write it down on a piece of paper and rip it up. Give yourself a clean slate, and move on to the next step!
When you notice yourself thinking about old mistakes, remind yourself that it’s okay, and also that it’s time to move on.
2. Know What You Want
Do you want the huge house, fancy car, and first class travel? Are you working towards early retirement? Do you want to pay off your student loans?
You’re going to have a different budgeting strategy depending on what’s important to you. So what’s the #1 most important financial goal you have? That’s your #1 priority. And you should be able to see your top priority by looking at your expenses from last month.
My priority right now is saving $15K for my emergency fund. The very first thing I do when I get paid is transfer money to my that account. That way, I always contribute to my goal, instead of running out of money at the end of the month. If I’m going to make sacrifices, I’ll cut out eating out or something else I don’t really care about- not my #1 goal.
You don’t need to worry about investing AND paying off debt AND buying a house at the same time. Just pick one and give it your all.
3. Talk to Your Friends
I love that it’s becoming popular to talk about money. I’ve been a fan of Mr. Money Mustache and Budgets are $exy for years, but I’m just now finding people in my real life that I can share with.
So whether it’s your real-life best friend, an online forum, or me (I love talking to my readers!), I’m going to challenge you to have at least 3 people you can talk to about money. It doesn’t matter if they’re just starting out on their journey to better finances or they’re an investing expert. You just need someone you can talk to, whether you’re admitting you don’t know what a 401(k) is or when you kicked ass on your bonus this year.
Do you know a friend who needs these tips?
Use tip #3, and start the conversation with the sharing buttons below!