We would all like to have more money in our bank account. There is no problem wanting more money when you have loads of projects in mind. The most generous people do not forget to please themselves.
To have a prosperous financial future, you need to make good financial habits between 20 and 30 years. Whatever amount of money you have, this financial discipline is essential to succeed.
It is not in school that you will learn how to clean up your finances for your family. That’s why we offer you 17 habits to ensure a better financial future.
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It seems rather risky to invest somewhere when you are not sure and you do not know enough about it. Yet this is one of the best ways to grow your money.
Most people do not know where to start and how to do it. There is a multitude of applications allowing you to start investing easily. For example, FinQuiz allows you to improve your knowledge of financial investments.
2. Create a simple budget
There are many ways to create a budget but some can be quite complicated to meet. You will need to do some research to know all the available options.
A fairly easy method for budgeting is the 50/30/20 method. The latter can go quickly enough effective but it will not fit everyone because it retains a significant margin of maneuver.
The zero-based budgeting method may be suitable for a larger number of people. Indeed, it gives importance to every penny spent and simplifies your calculations.
In any case, budgeting is very important to set goals and stop spending money on things you do not need.
Even if you reduce expenses to the maximum, you will still have to spend because we live in a consumer society.
Know that there are websites that help you save money when shopping online. Some sites offer cashback up to 10% and others allow you to search for coupon codes and discounts. Think for example at Ebuyclub
4. Anticipate big expenses
Think of creating a financial cushion for a very common expense but that we often forget: holidays!
You can also open a bank account for this specific need. If you manage to put 50 euros per month on this account, this will allow you to go on a trip with peace of mind.
5. An emergency fund
One of the most common mistakes that concerns young people is to underestimate the risks and therefore to be poorly prepared for a setback. You will always need an emergency fund because you do not know what the future holds.
You could inadvertently lose your job or get sick. Having an emergency fund makes it possible to face this kind of problem with less difficulty. You will avoid using credit cards and incurring new debts.
6. Additional income
You are in the prime of life and you will not have more energy than today to face the difficulties of life. Unfortunately, we live in a time in which working 35 hours a week is not enough to live decently.
The truth is that it is difficult to achieve one’s personal projects in the period of economic crisis we are going through.
Many of us complain about our salary level which is too low for the efforts we provide at work. Paradoxically, we spend all our free time watching Netflix series and eating Doritos …
Try to find an activity that will only take a few hours a day and that can bring you extra money.
7. Meal planning
The waste of food is a bane for your money. If you want to save money on your diet, you must start by planning your meals.
There are services on the internet such as toogoodtogo , which offers you unsold merchants’ day at broken prices . This will help you save money on your meals.
8. Living below your means
Living below your means allows you to save money because you will only spend for things you really need. You will understand that you do not need a luxury handbag or an expensive car.
9. Expensive foods
Now that you are self-reliant and you earn a living, you want to indulge yourself by eating at the restaurant. Know that it will be much cheaper to cook your own meals by buying quality food than spending your money on the restaurant.
Minimalism is a great way to save money. Keep only the objects that bring you joy and sell the rest to make you a few hundred euros. If you want to know more, find out more about Marie Kondo’s KonMari method.
11. The price of housing
Did you know that it is not advisable to spend more than 25% of your income on your rent? If you can, try to stay with your roommate or family until you reach a more interesting level of income.
Many people think that if they did not buy the house of their dreams at age 30, it’s a failure. Most of us will not have bought half of their house at 40, so do not be in a hurry. Start by living in modest housing.
Do not forget the loans because unfortunately, they will not disappear by themselves. It is better to have a plan to start paying them back.
13. The retirement
It’s hard to think about retiring when you’re young and you want to make money. Yet, time is running fast and the retreat is closer than you think. The more money you save now, the more you will benefit at retirement.
14. Forget credit cards
Credit cards are just traps that push you to spend more money than you have. The problem is that they have become so commonplace today that it is difficult to do without them.
Think about the concept of minimalism and you will soon realize that it is not compatible with a credit card at all.
15. The car
If you decide to buy a new car, you will probably have to spend 500 euros a month, which will no longer allow you to save for your emergency fund.
Instead, go on a used car, you do not need to waste your money in a financial pit like a new car.
16. Do not worry about others
Stop fantasizing about the lives of others, the only thing you will see are the best moments of their holidays on facebook and all those expensive things they have paid for themselves.
On the other hand, you will never see the accumulated debts and the ends of difficult months of these same people who do not hesitate to make selfies in front of their new cars. Concentrate on your goals and nothing will stop you in your climb.
Your mindset or your state of mind should push you to learn more and more. It is on learning that you will progress so make it a habit to read books, watch lectures and train yourself. If you know how to be humble today you will be able to fully enjoy your success tomorrow!