Hi Readers,
This post is dedicated to younger generation, mostly to freshers who have just graduated and have started working. It is at this crucial phase, that most of the middle class youngster actually take part in finance. Finance is normally managed by the parents till the child starts working.
When the youngster starts working, he/she opens up an account. Since, youngster are more attracted to modern technology and gadgets, they take up credit cards, new and costly handset, a new bike, before they even sit back and think about money that they earn.They spend hefty sum on handbags, mobile phones, bikes even without realizing how big the hole has been made on their own wallet.
Youngster have several excuses such as, have no time, it is complex, no idea where to begin and how.
Firstly, to understand and manage personal finance, one has to consider self as an asset. What is an asset? Asset is something that pays you, earns income. So, you are inevitably an asset which generates income for self.
The second things is If you save and invest part of your income, then that will pay you more. If you spend more than your actual income, you would need an alternate source to fill in the gap.
So, better late than never, start financial management and take this seriously. Once, you start learning about it, this will become easier. This can help you build a debt free life. When to take debt and how to pay back, how to assess how much to invest and spending wisely would come to you naturally in a couple of years.
The point, which is important in this whole process, is to get started and to take it seriously.
Secondly, most youngster have a casual approach to life, like just enjoy. Go on holidays, get all things that you like without a proper plan on place. Today, the job market is not the same that used to be 70's and 80's. So, you have to make cautious decision to have a backup in case of any disaster like loosing a job. You to evaluate the risk, keep money aside for it before jumping into fun.
Living a frugal life is not easy for youngster these days, everyone wants to look cool over net. But, to have this life you have certain risk , just don't keep the risk under pillow. Take this into account and build yourself adequately to have a longer sustainability in disaster.
This post is dedicated to younger generation, mostly to freshers who have just graduated and have started working. It is at this crucial phase, that most of the middle class youngster actually take part in finance. Finance is normally managed by the parents till the child starts working.
When the youngster starts working, he/she opens up an account. Since, youngster are more attracted to modern technology and gadgets, they take up credit cards, new and costly handset, a new bike, before they even sit back and think about money that they earn.They spend hefty sum on handbags, mobile phones, bikes even without realizing how big the hole has been made on their own wallet.
Youngster have several excuses such as, have no time, it is complex, no idea where to begin and how.
Firstly, to understand and manage personal finance, one has to consider self as an asset. What is an asset? Asset is something that pays you, earns income. So, you are inevitably an asset which generates income for self.
The second things is If you save and invest part of your income, then that will pay you more. If you spend more than your actual income, you would need an alternate source to fill in the gap.
So, better late than never, start financial management and take this seriously. Once, you start learning about it, this will become easier. This can help you build a debt free life. When to take debt and how to pay back, how to assess how much to invest and spending wisely would come to you naturally in a couple of years.
The point, which is important in this whole process, is to get started and to take it seriously.
Secondly, most youngster have a casual approach to life, like just enjoy. Go on holidays, get all things that you like without a proper plan on place. Today, the job market is not the same that used to be 70's and 80's. So, you have to make cautious decision to have a backup in case of any disaster like loosing a job. You to evaluate the risk, keep money aside for it before jumping into fun.
Living a frugal life is not easy for youngster these days, everyone wants to look cool over net. But, to have this life you have certain risk , just don't keep the risk under pillow. Take this into account and build yourself adequately to have a longer sustainability in disaster.
