Today’s post is a guest feature from Hannah Harvey! Please enjoy!
Still relying on the bank of mom and dad to get you by each month? Many young people are, but we encourage you to cut the reigns and be financially independent before you hit the big 3-0.
Relying on parents for money has been all too easy – they don’t want to see you go without, and so it can often be easy to win them round, getting them to give you a little extra cash each month. Perhaps you’re lucky enough for your parents to even pay your rent or cover some of your bills, but how long can this go on for? Your 20s is the decade to get yourself on your feet, but by the time you reach 30, you really don’t want to be knocking on mom and dad’s door anymore. So, this quick guide gives you some tips to being financially literate, financially settled, and ultimately financially happy by the time you’re 30.
Look at your salary
You don’t want to jump from job to job because this can look bad on your CV, but if you believe you don’t get paid enough for what you do, you might want to address this with your manager. Perhaps you could take on more responsibility at work. You could also commit to more overtime if you’re able to. If it really looks dead-end, why not look elsewhere, rather than get stuck in a pit?
Stop bad spending habits
Getting the latest gadget is, incredibly, a commonly cited reason for the younger generation taking out an online loan. It’s important to appreciate the differing perspectives on debt, specifically what makes it ‘good’ or ‘bad’. In short, I encourage you to stop creating debts on these ‘bad’ items, and invest in yourself instead. If you need to draw on a loan, do so wisely, we’re talking mortgages and student loans here for instance.
If you want to make a big move and get on the property ladder, but can’t afford so on your own, maybe you want to partner up with some reliable friends and invest in a property together (look at this guide on how to make that work out!) Get some solid financial advice before making your move, and draw clear terms and conditions out with your pals.
Save, save, save
Remember how important it is to save money. Even a little each month can mount up over time. You never know when you’ll need to draw on that money, and much better a savings fall-back than a loan with high interest rates. Consider your employer pension too. It can be easy to dismiss this when offered it, because retirement feels like ages away – but by paying in now, you invest in your future. It will cost you a little each month out of your pay packet, and your employer pays in too.
What else do you think should be in this guide? Anything else that might help with financial happiness before one hits the BIG 3-0??
About Hannah: Hannah Harvey is an Irish born technical financial blogger! Follow her on Twitter!