Financial advice for young adults entering the work force
Laying the right foundation as you start your career is the key to future financial success, and at this lifestage, TIME is your greatest asset. Consider that each dollar you save in your 20’s can be worth ten times as much as one saved in your 40’s. Peoples Bank & Trust believes now is the prime time to start saving towards retirement.
During this time, young adults have the exciting task of learning how to manage the spending and saving of their money within the constraints of their income.
Peoples Bank & Trust encourages the following steps to become and continue to be financially prepared for the future:
Your short term goals of less than five years might encompass a wedding, honeymoon, furniture or a new car. Medium term goals could include the purchase of a home and financing your future children’s college education, followed by long-term retirement goals. These goals will help you determine how to spend and save your money.
Tips for Effective Financial Management
- Set a savings goal and keep track of your progress.
- If you have a job, don’t spend everything you make.
- Record ALL your transactions daily for your checking and savings accounts, whether they are made with debit or credit cards or paper checks and deposit slips.
- Know your account details such as overdraft charges, interest rates, withdrawal restrictions, minimum balances, etc.