If you’re a millennial, chances are good that you’re educated- millennials are the highest degree-earners of all current generations! However, Freedom Debt Relief Reviews has found that even though they’re more likely to have a college degree, millennials are less likely to have a grasp on Money Management 101. Unless you want your 20’s to be spent worrying about drowning in debt, avoid making these common millennial money mistakes!
Not building a budget. Freedom Debt Relief Reviews has found that millennials are more likely to take a laissez-faire approach to their household budget- which can be costing them serious cash and putting them further in debt. One of the easiest money mistakes to make is not setting up a budget. When you’re making more money and you’re out of college, it can be easy to slip into the trap of believing that you’ll always have enough cash to cover all of your expenses. Unfortunately, this causes many millennials to lose track of where their money is going-and can stunt them on the road to saving for long-term financial goals like retirement or purchasing a home. If you haven’t already, Freedom Debt Relief Reviews recommends sitting down with all of your bank statements, credit card accounts, and pay stubs and determine how much you’re spending in which areas. You may discover that you’re spending way too much on unnecessary expenses like eating out- and that packing your lunch just a few days a week can bring you closer to paying down your debts!
Being too optimistic with their career search. Millennials can be a picky set. In a completely customizable world, Freedom Debt Relief Reviews has found that many millennials believe that they will be able to land their dream job relatively quickly after they graduate from college. On their list of demands, millennials usually look for flexibility, a large number of vacation days- and a massive salary. This optimism that they will be in their dreams jobs within a matter of years after starting on their career path may stem from their comfortable lifestyle growing up. Forgetting that their parents had to work for sometimes as long as twenty five years to get to their current salary can cause them to go further into debt than they can pay off. Instead of assuming that they will be able to quickly reach a salary level that will allow them to pay off their student loan debt, millennials should research the average starting salary of the careers they are interested in pursuing- and to use this information as the basis for determining how much debt they can safely take on.
Posting their retirement plans. When you’re in your 20’s, it can seem like retirement is so far away that it’s not worth taking the time to worry about or plan for. Unfortunately, this causes many millennials to put off saving for their future retirement- and missing out on some serious cash in the process. Most employers offer a 401(k) matching program in which they will contribute to your retirement account up to a certain percentage of your income. By opting out of saving for retirement early, millennials can be giving up the opportunity for free money to contribute to their future! If you currently aren’t taking advantage of your employer’s 401(k) program, take the time to speak with your HR representative to get back on track to saving.
Freedom Debt Relief Reviews has found that millennials have the potential to not only reach the lifestyle level of their parents, but to also use technology to enhance their money management- something that previous generations did not get to take advantage of. By planning ahead, taking the time to build a reasonable budget, and thinking in the long-term, millennials can get back on the path of building a brighter financial future for themselves.