5 Money Habits to BREAK before you turn 30!


When it comes to money, there are only benefits to understanding it as soon as you can. When you are in your twenties, likely earning money for the first time, it can be overwhelming figuring out how to manage your money. It's also seemingly inevitable that once you start making money you are going to make some mistakes, and even when those mistakes are fun it's best to establish a healthier relationship with how you spend, save and grow your money!

Here are some of the money habits you should break:

1. Waiting to invest

Investing seems like an older person's game, once you have more money and more responsibility but the younger you start the better. The more time you have to grow your money the more money you will ultimately have, even if you start with a small amount that makes sense with what you earn.

Setting aside money to invest each month builds the habit of doing so in the future when you�re earning more.

2. Living paycheck to paycheck

It can be tempting to blow all the money you get in one go, the freedom to buy what you can when you want it can be intoxicating but it�s simply not sustainable. Once you start earning figuring out how to make a budget and live within that budget is one of the best money habits you can take forward with you in life.

The 50-30-20 rule, that has 50% of your income going towards living needs, 30% towards joy or fun spending and 20% towards savings is a good model to build off of and adapt for your specific needs.

3. Late and minimum payments

Late payments rack up late fees which put you in a loop of paying more than you owe to your credit card and bills. Establish a habit of paying your bills off on time to avoid unnecessary costs. Similarly with credit cards the bare minimum is a cycle that can be hard to break out of and costs you more in the long run. Only spend what you can pay off.

4. Spending without seeing

Know what you are spending and where. Keeping track of what you spend and on what is a critical habit to develop when you�re earning, and spending money regularly. This makes clear exactly how you spend and in what areas of your life and is a key factor in figuring out how to budget and how to make your money work for you.

Keep it on your phone, in an Excel spreadsheet or go old school and keep a paper record, spend tracking is one of the best habits you can adopt.

5. Being scared of your money

Money is scary for many people. Not having enough of it can send anyone into a tailspin but what's worse is not facing your money when you have it and yourself on how you spend it. Get comfortable with your money by doing weekly check ins, seeing how much you spend, how much you have left over and if you are hitting your saving goals.

Getting comfortable with money is a habit that will make all the rest easier for the rest of your life.

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