How to Manage Money in your Twenties by; Ezeani Truth Chimee.

How to Manage Money in your Twenties.

 
By; Ezeani Truth Chimee.

"The twenties", wow, that's the most interesting part of live for most individual, I exactly wouldn't know since I am still living it. When talking about money management, instinctively savings comes to mind, I wouldn't bore you with that.

    What people call saving, I ironically call investment, it's practically impossible to get financial stability without financial literacy and self discipline, so I am going to walk you through five things you need to understand to get started managing money in your twenties.

1. Get more Income

2. Know your expenses

3. Avoid liabilities

4. Invest in your future

5. Invest in your present


1. Get more income

 We live in a world where almost every thing cost money, and there is little income to carry the burden. Getting more income can only be the reasonable solution, how we do this, It's not like money is just handed over to us, we "earn" money. You can only get paid from using your current value to solve bigger problems or finding a big idea to answer that big problem, so my advice is if your current value isn't worth much, add to it. The value defines the hustle.

2. Know your expenses

Fine, it's true. There is an existing social hierarchy and most of us want to keep up to a particular standard. But look, why waste your youth trying to keep up to a standard that is just an illusion instead of developing good habits to make it a reality. Expense is the only way money is actually spent, so if you really think of it the more limit you attach to your expenses the more money you actually get to keep, well I guess what I am trying to say is just 'keep your priorities straight".

3. Avoid liabilities

Liabilities are those things we spend money on that don't reciprocate. When we understand this concept we will understand that even your house can be a liability, well avoiding liabilities only means that we should streamline our expenses to getting things that look out for our financial benefits, by that I mean assets.

4. Invest in your future

Now, I regard investment as a wise usage of potential savings, first off there are many ways to invest in your future either long term or short term, usually the value we get while climbing the social ladder is a form of investment, which is an application of the more income theory. But considering futuristic moves for finance growth. For example opening a retirement account, saving for a house, all these financial moves take a big step towards always becoming a big pillow that you can always fall back on.

5. Invest in your present.

When I think of the best way to invest in my present, only three things comes to my mind, these are, time, value and money. Time is crucial in the present because you are only in control of that moment, taking the presents means you are left with the future, yes because there is pretty nothing you could do about the past. This is simple, invest in yourself now by adding value to your self, get that skill you know will put you in a position to solve greater problems. And get better income while at it.

      As young as been in your twenties, once an individual perfect the above not only are we on the road to achieving financial stability, we are also securing a beautifully pictured future. Note that self discipline which I like to call the perseverance towards self improvement is highly necessary to really achieve the following.