Just Getting Started? Read This!
As a young adult, you have a world of opportunity in front of you but are likely also facing a tight budget. When you are just getting started out, you can do a few things to help set yourself up for financial success today and in the future. To help you achieve your financial goals, consider these tried-and-true tips for young adults.
- Start Your Retirement Planning: Retirement may feel like it is eons away, but that is the point. By starting your retirement savings now, you get compound interest working in your favor. Putting a small amount away each month now will benefit you in a big way. If your company offers a 401(k), choose that. If not, open an IRA.
- Know Your Money’s Value: When you start earning your first paychecks, it will be tempting to spend them on the things you have always wanted. To ensure you buy items that will actually benefit you instead of blowing your money, calculate how much time the cost of items is worth. For example, if you are thinking about a $500 purchase, divide that by how much you earn hourly. Thinking of the days of work you would be putting towards that one item can slow your impulsive buying.
- Be Careful With Credit: There is no quicker way to find yourself in a bad way financially than by maxing out credit cards. Start with one credit card (make sure you choose one with rewards) and never put more on it than you can pay off monthly.
When you are getting started out, finding out you need an escrow account might feel overwhelming. Fortunately, you can get an expert to help you handle your Southern California escrow needs. To learn more about how we can help you, contact Eastland Escrows in Covina.