Life Changing Money Saving Tips For Millennials
Though every generation experiences a different set of economic barriers, millennials’ challenges turn out to be unique in every aspect (FYI, Gen Y or millennials refers to the people born between 1980 and 1995). According to a Federal Reserve report, the combined wealth of U.S.-based millennials ranges in the whopping $10 trillion marks! But, what’s also worth noting is that they’re indebted more than $4 trillion.
With the emergence of the pandemic and their purchasing power severely affected, millennials’ financial burden has increased manifold. Today, they’re worried about paying debts, providing for their families, and most importantly, saving for retirement.
If you’re a millennial too, deal friend, please stop worrying. Take a deep breath, grab a cup ‘o cocoa, and take a close look at the money-saving tips below that can help you wade through these tough times.
Open up a productive savings account
A high-yield savings account offers a higher interest rate and helps grow your money faster. Check out the pros and cons of such an account:
- It offers a higher interest rate.
- During inflation, the value of the savings doesn’t decrease as it does in a traditional savings account.
- You don’t have to pay monthly maintenance fees or early withdrawal penalties.
- You don’t have to maintain a minimum balance.
- You can access your money approximately six times per month.
- After reaching a said value, your interest rate might reduce.
- There’s a limit to withdrawing money.
- An online high yield savings account can make depositing and withdrawing money stressful.
Consolidate your debts
When you consolidate your debts, your payments merge into one single outgoing cut. Some benefits and drawbacks of consolidating your debt include:
- You can get hold of a low-interest loan.
- Since all your loans will merge into a single one, managing it would be easier.
- You can opt for a fixed repayment timeline while paying your loan.
- In case you have a poor credit score, you might not be eligible for a low-interest rate loan.
- You might have to pay higher lender fees depending upon who is providing you the loan.
Choose to refinance your loans
By refinancing a loan, you’ll be taking a new loan to pay off your previous loans. Everyone knows how stressful loans can be, but they can be paid faster through this technique. Since loan refinancing rates are hitting record-breaking lows right now, you can effortlessly refinance your loan at a lower interest rate.
Wrapping it up
If the Coronavirus pandemic has taught us anything, it’s that you can never predict the future and the trend of increasing expenses. As such, you must always be prepared with a strategic money-saving plan that will help you stay synced with your financial goals. Plus, you must conduct thorough research before getting involved in any money-saving schemes.
More in Advisor
Build Your Post-Pandemic Career With These 3 Secrets
The novel COVID-19 crashed the career directions of many people, leaving them counting their pennies. But when 2020 finally waved goodbye,...March 1, 2021
Check Out Warren Buffet’s Favorite Investing Tips
Most people think investing is the best way to build wealth without much effort. Technically, they’re correct to some extent. A...February 20, 2021
3 Questions Everyone Should Ask Themselves Before Retirement
There are so many things we need to consider regarding retirement. A decision that big requires a great amount of consideration...February 19, 2021
Hate Budgeting? Here Are a Few Easy Tips to Do It Hassle-freely
Everyone loves to spend money on their desires, and come to think of it, that’s fair too. But while spilling cash,...February 15, 2021
Check Out This Expert Advice to Ensure You Don’t Go Wrong with Your First Investment
Making your first investment is like a rite of growing up. Just like graduating from university, getting your first job, renting...February 15, 2021
A Quick Look at Money Advice You Shouldn’t Pay Attention To
There’s no shortage of advisors in today’s world. But the sad part is that while finding genuinely helpful advice is like...February 13, 2021
4 Essential Financial Moves to Set for 2021
2021 has just begun, and with it comes hope anew. People all over the world are changing their lives, and it is time...February 13, 2021
Personal Finance Tips For a Cushioned Life
Finance is an area that perpetually attracts questions – where should one invest, how can one save money, and what kind...February 10, 2021
A Quick Look at The State of Global Stocks On Wall Street
It’s a known fact that global political activity impacts the stock markets. But ever since the pandemic has hit, the Wall...February 9, 2021