personal finance Archives | Page 5 of 39

8 Money-Saving Hacks for Young (& Broke) Adults

Saving money when you are young and broke can seem like an impossible task. With the right mindset and strategy, you can save money despite the hurdles ahead. Putting your spare cash each month can make a world of difference. All you need to do is be willing to commit to your financial goals! The following hacks can help.

#1: DRINK MORE WATER

You will save more money if you stop buying bottles of soda and cups of take-away coffee. Bottled water is cheap and tap water is cheaper. There are many great options for filtering your water if you are not a fan of water from the tap. Nonetheless, eating out with a family of 3 can easily save you money just by drinking water alone.

#2: GET A PART-TIME JOB

If you just graduated and you are trying to reach a goal that seems to be taking longer than expected, you can get a part-time job. This job can be a temporary solution to get past whatever situation you are in. Moreover, it is a wonderful way to pay off your dues and debt. If you are building an emergency fund, having another source of income can aid your quest. Market your skills online to boost your job search.

#3: CREATE A MEAL PLAN

Whether you are living alone or living with your roommate, you can save more money by planning your meals. It eliminates food wastage and helps you create more affordable meals. Rather than buying what looks good at the grocery store, you can opt for budget-friendly alternatives to complete your dishes.

#4: CANCEL YOUR UNNECESSARY MEMBERSHIPS AND SUBSCRIPTIONS

You are cash-strapped! You do not need your hefty gym membership or subscriptions to different music and entertainment apps. Think about all the wasted money because of not taking the time to cancel the things that you no longer use.

Image Credits: unsplash.com

#5: ALWAYS BRING A SHOPPING LIST

One of the easiest ways to go over budget is going inside the grocery store without a plan! If you do not want to spend too much money in one place, always bring a shopping list with you. Only go down the aisles that you truly need to grab what you need. Skip the rest!

#6: KEEP YOUR SAVINGS ACCOUNT SEPARATE

Are you breaking because of your shopping habits? Keeping this from happening again by having your savings completely separated. Find an online savings account or open a separate checking account. Make it a little more challenging to take money out of your savings. Your future self will thank you.

#7: EMPLOY THE 30-DAY RULE

When you are considering making large purchases, use the 30-day rule. If you still want it just as much after 30 days, consider saving money for it. Having a waiting period eliminates impulsive purchases made out of excitement or other overwhelming emotions.

#8: DO REGULAR CHECK-INS

Before spending a large amount of money on a significant purchase, have your trusted partner or friend assess the situation with you. Have regular check-ins to look into your current financial situation. This might sound silly at first, but it can keep you from spending money impulsively on things that are not in your budget. Find someone that can help make you accountable for your spending.

Sources: 1 & 2

Having a Credit Card is Not a License to Spend

Convincing yourself that you are not spending real money is easy when you charge for items on your credit card. Technically, you are correct! You are not spending money, in fact, you are borrowing money.

Using your credit card means that you will have to pay the bill eventually. The promise of small minimum payments can entice you into thinking that these purchases are bargains. Unless you pay back the purchase immediately, you will not feel the pain of the bill for another month.

Be responsible with your credit card by treating it like cash and swiping only what you know you can pay back in full. You can reap its benefits by using your credit card in the following situations.

#1: GROWING YOUR REWARD POINTS

Many credit cards provide reward points for certain categories of spending like groceries, gasoline, air fares, and restaurants. When earning thresholds are reached, points can be redeemed for travel, shopping, and more. Choose a card that best suits your spending patterns.

#2: PAYING RECURRING BILLS

As long as you make payments on time, recurring payments will keep that line of credit open so you can continue to maintain or boost your credit score. Any recurring payments you have such as subscription on Spotify or Netflix can be paid through your credit card.

#3: SHIELDING YOU FROM EMERGENCY

Are you ready for unexpected expenses? When this happens, you need some time to cushion the blow. You can use your credit card in case of an emergency, including fixing, changing your tire or repairing a broken window. Be sure to repay more than the minimum on your credit card payments to avoid unnecessary interest.

Image Credits: unsplash.com

#4: SHOPPING ONLINE

Senior Industry Analyst at CreditCards.com once said: “Chip-enabled cards are very good at deterring in-person fraud but that doesn’t help you online, and that’s where most of the fraud has gone.” You can use your credit card when shopping online instead of shopping with your debit card.

Check your browser and shopping apps to ensure that your debit card is not saved on any of these platforms. You can either add your credit card information or delete all your card information to make it harder for you to overspend online.

Sources: 1, 2, & 3

6 Tips to Attract Luck during Ghost Month

What is Ghost Month?

Ghost Month is the seventh month of the Chinese Lunar Calendar. Because the Lunar New Year falls on a different day each year, the start of Ghost Month also varies. For 2022, Ghost Month started last July 29 and will end on August 26.

The Ghost Month, according to Chinese tradition, is the period when souls are given a “one-month pass” to roam among the living. This festival also pays respect to the homeless spirits, or those without families. China, Singapore, Taiwan, Malaysia, India, Thailand, Vietnam, Japan, and Cambodia are just some of the countries that observe Ghost Month.

Many people take precautions during Ghost Month to avoid running out of luck. After all, there is no harm in being extra careful. On that note, here are 6 Tips to Attract Luck during Ghost Month.

#1: POSTPONE YOUR MAJOR PURCHASES

Ghost Month typically brings uncertainty. Use this time to plan your purchases, especially on major items that you do not urgently need. If you are thinking of purchasing a new camera or gadget, postpone your purchase to the following month when you are more certain about your funds. Plan your budget and allocation ahead of time.

#2: STAY AWAY FROM UNNECESSARY DEBT

Apart from impulsively spending significant amounts of money, borrowing money during Ghost Month may not be the best idea. If you are planning to use the money on unnecessary purposes, you have to slow down. Prioritize your needs and pause any huge spending until things start picking up.

#3: EVALUATE YOUR BUSINESS PLAN

Starting a business during Ghost Month is often ill-advised as many investors take a break during this time, which can influence the economy. Use this period as an opportunity to recalibrate your business plan. Ensure that you have everything ready before you finally launch your business.

#4: DO BURN PAPER MONEY, INCENSE, AND CANDLES

The candles and incense will help light the spirits’ way. While paper money will give them wealth in the afterlife. If you have budget to spare, you can treat them to other creature comforts like paper car.

#5: LIGHT UP YOUR HOME

It is said that spirits tend to lie in wait in dark and rarely used corners of a home. Bring positive energy to the space by adding lights. Put lights in hallways and corners. If the space does not have a lighting fixture installed, here is your chance to put a decorative floor or desk lamp. You can opt for energy-efficient LED bulbs. Apart from being earth-friendly, this option is also economical.

#6: WEAR BRIGHT COLORS

Hungry Ghosts are attracted to muted or dark colors such as black, gray, and dark blue. Bright colors may keep them at bay. Pick cheerful colors for your sheets, curtains, pillowcases, and more. Shades of yellow, orange, pink, green, red, and pastel encourage positive energy and uplift the mood.

Image Credits: pixabay.com

Sources: 1, 2, & 3

6 Money-Saving Tips for Singaporean Teens

Let us face it! Saving money as a teenager is challenging, especially when you have friends who are constantly buying new clothes or are going on yearly overseas trips. However, it is possible. Here are 6 tips on how teens can save money despite the temptations and less income.

#1: OPEN A SAVINGS ACCOUNT

Opening a savings account with the help of your parents or guardians is a good idea as it will train you to manage your money. It is a surefire way to boost your educational savings and to cover your other expenses. There are multiple junior accounts available in Singapore such as the CIMB Junior Saver Account, OCBC Mighty Savers Kids Account, and UOB Junior Savers Account. These banks offer about 0.05% to 1% interest p.a. and minimal initial deposits.

#2: SEPARATE YOUR NEEDS FROM WANTS

Organize your finances by separating the money for spending and the money for savings. Although you have stashed the money away in your savings account, it might be tempting to touch it when your cash runs out. Stop! Refrain from doing this.

Your savings are for emergencies and essentials, not for straightforward purchases like food and clothes. The smart thing to do is to have a direct deposit account which you can access on demand.

#3: CREATE A REALISTIC BUDGET

Keep track of where your money is going by creating a budget. You can either write everything down or have software that stores all the data. Be diligent when it comes to encoding what you spend in a week or in a month. Most of us tend to spend more cash on the weekends, so you can start encoding during this time.

Once you have an idea of where your money is going, you can set limits and targets next.

#4: TAKE ADVANTAGE OF THE STUDENT DISCOUNTS

Your student ID is more than just a card that enables you to go to school. It is your means of getting discounts such as cheaper public transport or cheaper books. Many businesses and services offer student discounts throughout the year. Do your research to get more information.

#5: ASK YOUR PARENTS FOR HELP

There is no shame in asking your parents for help while you are starting to build your wealth. You can ask your parents to match your monthly savings by contributing to your account. If you put aside S$25 a week for a month, you can ask your parents to contribute S$100 at the month’s end. Do household chores in return for this favor.

Do not be afraid to ask! Once you have shown your parents that you are serious about saving money, they will reach out and offer their support.

#6: CONSIDER GETTING A PART-TIME JOB

For many young Singaporeans, having a part-time job is a rite of passage. Students can be able to find part-time jobs in the administration, hospitality, or retail fields. Investigate to see who is hiring in the area.

If these are outside of your interests, you can use your passion to create your own online shop. Use your extra income to grow your savings even more.

Sources: 1 & 2

How to Maintain a Great Relationship with Money

Establishing a healthy relationship with money takes effort, but it pays off. You must manage the highs and lows, and everything in between.

#1: PUT IN EFFORT FOR IT TO FLOURISH

Much like any other relationship, you have to put in effort to your finances for it to grow. A positive mindset and the right attitude towards money can help strengthen your relationship. Plant the seeds of appreciation and contentment for what you already have. Perhaps, you are grateful for your recent promotion, or you are thankful for having additional online vouchers. Working towards a positive mindset can go a long way!

#2: SCHEDULE REGULAR CHECK-INS

According to clinical psychologist Joe Lowrance, “financial wellness is a component of overall wellness”. Regular financial check-ins are necessary for you to know which areas you need to improve on. Then, you must create an action plan to reduce your unnecessary expenses.

Image Credits: pixabay.com

#3: PAY ATTENTION TO SMALL THINGS

If you indulge in artisan coffee on a Saturday afternoon, take the time to relish the moment. You could also purchase a small gift for attaining your saving goals or celebrate a small win at work. Acknowledging the little thigs can keep you motivated and improve your relationship with money.

#4: RESPECT EACH OTHER

Respecting your money means taking care of it properly by practicing accountability. Your money is influenced by how you treat it. Give it the respect it deserves, and it will reciprocate in the same way.

#5: PLAN SOMETHING SPECIAL

Money is a tool used to meet your needs and to achieve your financial goals. If your money does not give you pleasure and is only tied down to sacrifices, then you are likely to feel overwhelmed. To relish the rewards of your income, you must plan for it. Use your extra savings to plan something special for yourself. You can also bring along a friend or your loved one.

#6: ADMIT WHEN YOU ARE WRONG

Some people cannot admit when they have made a financial mistake or deny their poor relationship with money. Be honest with yourself. What is your current financial circumstance? Being honest about your financial situation is necessary for you to learn from your mistakes and to attain financial stability. Try to ditch the excuses and look at your relationship with money through clear lenses.

Image Credits: pixabay.com

Sources: 1 & 2

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