Coming of age during a massive recession with few available jobs and even rarer benefits is only one of the issues Millennials have had to face when it comes to their finances. However, with the financial responsibility of adulthood bringing with it mortgages, insurances, and parenthood, among other things, it is time to stop finding excuses and begin taking extra steps to secure financial stability.
Commit to Investing
A lot of millennials have seen their parents lose huge amounts of money through either the stock or real estate markets, making them understandably skittish when it comes to investing themselves. However, with economic conditions significantly improved since the height of the recession, now is the time to start investing, making sure that any long term savings do not fall behind inflation. At the same time however, it is important to make sure to have a separate sum in, for example, a bank account, for emergencies and unexpected expenses which could otherwise cause an unnecessary and expensive use of credit cards.
Do Not Get Tempted by Credit Card Offers
Once out of college, a lot of people find their mail boxes overflowing with offers for credit cards, offers that they are better off skipping. Getting into debt on credit cards, which usually piles up on top of an already significant student loan debt, can create the financial trap of continuously trying to catch up, and never really getting ahead. Avoiding this pitfall can have a significant positive effect on future savings.
Take Advantage of Parents’ Experience
Money should not be a taboo subject between parents and children, and both sides should make sure that there is an open line of dialog when it comes to the matter. Many millennials can learn a great deal about responsible saving and a proactive approach to how they handle their finances from their more experienced parents.