When it comes to managing your money, things can get quite confusing and fairly overwhelming. Have no fear! It's time we learn how to spend less, and save MORE!
Time and time again, millennials have gotten a pretty bad rep for having financial struggles. Studies have shown that millennials are either spending all of their money carelessly, they’re way too deep in student loan debt, or simply lack the knowledge on how to spend less and save more. In recent years, studies have shown that millennials are venturing away from the common stereotype of being careless with money. In fact, the trend shows that young millennials are developing better money habits much sooner than past generations!
Truth be told, becoming smarter with your money is one of the many growing pains of adulthood! The pressure is truly on for the millennial girl. As young women, we are taught to be anything but dependent (Oh, how times have changed)! The root of a truly independent woman is how she handles her finances.
Proper money management is a great first step towards becoming that courageously independent woman you are destined to be.
So now the question is, where exactly do you begin? What steps should you take to kick start this new journey towards independence!? The truth is, with just a few changes, you can find yourself saving more and spending less in no time!
One of the most common saving blunders we tend to make when first starting out, is having our checking and saving accounts connected. While it is convenient to have your money all in one location, it is also pretty risky. The easiest way to watch your savings grow, is by not watching it at all! Watching our account balance rise, paycheck by paycheck, can get pretty tempting right ladies?
To avoid this, simply open up a savings only account. This particular account shouldn’t be connected to a checking account in any way. Once you’ve opened your new account, you can adjust your direct deposit with your employer to be split into multiple deposits. This practice is also known as “paying yourself first”. The idea is to set aside your savings before you can even get to your money. This trick helps make sure that we are ALWAYS saving.
Track your Spending
The great thing about having a debit/credit card is that we don’t have to spend time fiddling with cash. We can easily shop online and make purchases in the blink of an eye. This swift spending is great, but it also allows us to turn a blind eye to how much we are actually spending. We make small purchases here and there and pretty soon it all adds up!
Downloading an app to help track your spending can save you from making one too many, ‘blink of an eye purchases’. These apps are designed to help you create personal budgets and spending trackers. With the help of these apps, you’ll find yourself spending less and saving more!