5 Good Money Habits for Young Adults in 2024

As a young aspirant, saving money could look like a gigantic task. This is primarily true because as a brewing adult, you have a long list of tasks. It’s obvious to look at your earnings as a perfect model of spending. It may not be viewed as a shield against financial hurdles & backing for medical emergencies. But just saving a little can contribute so much to your financial security later.

5 Ways to Save Money as a Young Adult

Here are the 5 good money habits for young adults to pave the way towards financial success & practice for larger good in 2024.

1. MAKE A BUDGET:

This tip comes out as nothing new. However, it’s simply a reiteration of what we need to begin. Creating and sticking by a budget is one of the best things to save money. Drawing up a budget doesn’t mean giving up on your essentials or luxuries for that matter! It’s basically about drawing a line for all the spending. By creating a budget, you’ll be able to track your money on a routine basis & apportion funds to savings, bill payments, household chores, etc. and in case you’re forced to stretch outside your budget then try using Home Credit Mobile App for online in a click!

2. DON’T DELAY TOSAVE AND INVEST: 

To save & invest go hand in hand literally. Though it may seem like a challenge keeping a few notes monthly does add a world of difference. Efficiently use your budget to understand how much money can be added to your savings account every month. And let’s say if your employer grants ₹40,000 per month, at least put aside 20% of the given salary. This way you’ll keep increasing your corpus.

3. SET ASIDE AT LEAST 1/3RD OF YOUR INCOME: 

If you still haven’t been able to assess the amount to save, then you could follow customary studies. This reveals to save at least 1/3rd of your income if you’re indecisive about the portion. This way it’ll be much easier to tackle financial impediments like job layoffs, car fixes, home interiors & repairs, and other expensive items & pay expenses & sail through comfortably.

4. START AN EMERGENCY FUND: 

The next best way to save is by setting up an emergency fund to tackle the financial crisis. A recent study reveals that its profitable to invest money into a high-interest savings account, CD, or money market accounts.

5. PAY OFF YOUR EXISTING DEBT: 

It always starts by putting money into savings to meet financial commitments. However, it’s equally important to pay off your debt simultaneously. You must maintain a certain level of balance between paying off your debt and aggressively ripping your credit cards off.