Learn 4 Tips for Managing Finances for Millennials

Learn 4 Tips for Managing Finances for Millennials

Unlike the previous generation, the millennial generation lives with technological advances and all the conveniences it provides. As a result, the millennial generation tends to have a consumptive lifestyle, is more extravagant, and has difficulty managing finances.

Although financial management is very important to maintain the stability of financial conditions in the present and in the future. No matter how much money they have, it will quickly disappear if they are not able to manage it properly.

Therefore, the millennial generation must be willing to change to become a generation that is financially aware and smart. Here are some tips for managing finances for millennials:

Also read: 10 ways to save money to buy a house

4 Financial Management Tips for Millennials

1. Create a monthly budget

The first step in managing finances can be started by making a detailed financial budget each month. This monthly budget is useful for controlling incoming funds as well as outgoing funds.

From your monthly budget, you can determine which expenses are important and which are not, because a scale of priorities appears. You can also use the 40-30-20-10 method to create a monthly budget.

From the monthly income, 40% is allocated for daily needs, 30% to pay obligations such as debt repayment, 20% for savings and investments, and 10% for social purposes.

manage finances

2. Practice frugal living

The second tip, apply a frugal lifestyle. The frugal lifestyle in question remains the lifestyle of consumption, being able to determine which things are the main needs. The millennial generation must be able to stop and distinguish between the need and the desire to succeed in managing finances.

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Instead, you can live a simple but meaningful lifestyle without spending a lot of money. In addition to this, do not be affected by any tendency which continues to grow through social media.

3. Avoid debt

Now many loan offers have appeared, for example as functions pay later which can be found in various market. This feature makes it easy to purchase desired items.

But in reality we can plunge into debt. In addition to being able to fix the financial condition, millennials must avoid going into debt so that their income does not flow just to pay the installments.

consumptive lifestyle
Avoid a consumptive lifestyle

4. Save and invest

The last tip is to be consistent in saving and start investing. Everyone certainly wants old age with good financial conditions, right? Therefore, savings should be made as soon as possible.

Try to put 5 to 10% of your income for savings. In addition to preparing for old age, savings can also be used as an emergency fund. The millennial generation can also start investing, investing can become passive income when you can no longer work. One of the popular investment tools is real estate investment.

The property investment is considered to be able to provide a high yield because the price is always increasing and the demand is also high. Gardens at Candi Sawangan may be the best choice for millennials to start investing in property.

Sawangan Temple Gardens: The Best Housing in Depok Sawangan

great friendship cluster
Grand Amity Cluster

Here are some tips on managing finances for the millennial generation. Strong determination and discipline in carrying out the above tips are the main keys to maintaining financial stability.

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Financial management can also be the first step to owning a private home. Make your dream home come true at Gardens at Candi Sawangan. There are many choices of house types with a minimalist style that combines function and aesthetics.

Not only equipped with various suitable facilities around it, Gardens at Candi Sawangan is also located in a strategic location in Depok Sawangan, easy access and mobility, and surrounded by a beautiful and comfortable environment.

For complete information, you can contact the following numbers (021) 7470 7959 or 0812 9360 6612 (WA) or you can also visit the official Gardens website here.