Financial Goals to Attain While You’re Still in Your 20’s

When you are still in your 20’s, you’re in the point of your life where you have this so-called “disposable income” — the income that is available to be spent as you wish.

Gadgets, splurges, guilty pleasures and travels, who wouldn’t want such? Aren’t those the reasons why you are working so hard? To attain all the things you wish you had before?

It may seem a dream come true to finally buy or achieve something with your own pocket after almost two decades of studying, still, may you be reminded to not just focus on short-term gratifications.

No, this isn’t meant to scold you for enjoying the fruit of your labor, but to remind you that you still have a long way to go.

Being in your 20’s is also the stage wherein the adult phase transition seems crucial.

You may be establishing your career, getting married, or preparing to start a family, which makes it even more important to establish a good financial ground that would benefit you for long-term.

Now, consider the following financial goals one is encouraged to attain in their early years in order to have something to thank for in later years:

If you want your financial life to prosper, you must first eliminate whatever that is weighing you down. Yep, I am talking about those bad debts. Always make it a habit to just live within your means.

If you can’t afford it, then start saving for it.

This one is so easy to imagine but is so hard to attain. Want to know why most of the millennials fail to build this habit? Simply because they don’t have the drive to be consistent enough.

Know that saving small amounts consistently will accumulate greater value in the future rather than doing it one time.

This is one of the most important funds most people overlook. Having an emergency fund is just like having some savings. The only difference is this is specially allocated for Emergency purposes alone (obviously).

It may be used for unexpected job loss, health issues, car repairs, or whatever unforeseen events that may require financial support.

Having an emergency fund may even save yourself from any bad debts in times of need. So make it a habit to prioritize building yours, and stop making your family, friends and even your workmates as your “Emergency Funds”.

While being in your 20’s is the best time to save and invest, it is also the best time to travel while you are still young and able.

However, giving in to those itchy feet should not be a financial burden to you. Always plan ahead, calculate the projected expenses, and start saving for it months ahead.

It is also important to limit your travels per year. Once or twice is enough. Otherwise, you will always be going back to square one of building your savings once again.

Worse, you’ll have to resort to having bad debts in order to fund your planned (?) getaways.

The best time to save for your retirement is when you’re still young, healthy and free from huge financial responsibilities.

Being in your early years is also an advantage when it comes to obtaining retirement plans such as long-term health and life insurances. The younger you are, the cheaper your retirement plans are.

Most millennials are just focusing on building their savings alone. Though this is one important trait to master, one should also consider saving for investments as well.

Through investments, your savings will have a greater opportunity to grow long-term through having compounding interest.

There are countless investment options available around us. You just have to determine your risk appetite and do your own research before taking the leap of faith for your finances.

Who wouldn’t want to have their own house? This is a good preparation before settling down so you don’t have to worry about paying house rentals in the future. You will only have to worry about who you should marry. Oops!

Starting to build a good financial ground in your early years entails a lot of discipline and sacrifices. But if you are struggling to establish it now, how much more in the future when you have other important priorities to attend to?

The starting phase may be rough, but once you get accustomed to it, it will be a lot easier in the years to come. You just have to start as early as possible. Always remember, in establishing a good financial background, time is your greatest ally.

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