Insurance Blog

Money habits of millenials

Everyone in their 20s to 30s – the generation that we call the millennials, are very much tired of being called the spoilt generation. It’s as if the world around us, looks at the Millennials as if they were from a different planet.

We’re not aliens.

In fact, studies show that our generation is smart and conscious with spending money compared to the ones before us.

1.       Open and Straightforward

The millennials are more upfront than any other generation. They know how to talk about their finance and are quite clear in the goals that they have set for themselves.

Interestingly, this straight talk attitude is not found only in money matters, but also in their relationships. They discuss finances with their partners and are open to supporting each other’s careers.

They’re not embarrassed with sharing their financial status with others, whether it’s student loan debt, credit scores or salaries.

2.       Creative

Young adults are skeptical of most institutions and the traditionally slow way of doing things.

For example, they don’t like banks – most of the millennials are comfortable and safe with using online banking facilities. With the piles of innovation coming up, the millennials are certain about making their existences in the future comfortable.

With Paypal, Paytm, etc, they are finding easier and more creative ways to manage their money. 

3.       Happiness Oriented

Long-gone are the days when the ideal lifestyle was to have a steady nine to five job. The millennials are more happiness oriented. They want to follow their passion, and are perhaps the first generation that has been true to its heart.

Millennials are driven by a desire for meaningful experiences rather than just plain, blatant materialistic goals.


READ ALSO: Getting financially independent from your parents

Five money habits you need to master

All of us have bad habits. Some ruin our mind, while some others ruin our fitness.

But the lesser known of all bad habits are the ones that ruin your wealth. Just like the bad habits, there exists a great deal of good habits that can help maintain and nourish your wealth as well!

So, here are five habits that you need to nurture so that your finances are well managed.

1.       Tracking your income and expenses

We have already stressed this in previous posts, it is very much essential to be aware of where your money comes from and where it goes.

2.       Clearing Bills on Time

This begins by opening your bill as soon as it arrives, and paying it on time. It is even advised that you use online portals to make this quicker and swifter. One of the deadliest sins of personal finance is to accumulate late fees and penalties.

3.       Minimising Credit

Try and make cash payments wherever and whenever possible. Remember that credit cards aren’t easy money, they’re loaned money.

4.       Retirement Plans and Emergency Funds.

Having a lush retirement plan is very essential. So is having a rainy day fund. It’s never too early to start saving and being always prepared is the first step to staying financially fit.

5.       Insurances

The more assets you have or the more people you have depending on you, the more crucial it is that you get insurance. Remember, the insurance is a safety blanket on your wealth and your loved ones, and it protects them from sudden misfortunate events.

Just like bad habits can get you into financial trouble, good habits can help keep you out of it. When you spend wisely, save well and, most important, plan strategically it helps you reach your biggest financial goals faster.