Here at MNB, we completely understand that financial success can play a big part in nourishing your mind and body. Getting your finances in order can significantly reduce things like stress and overwhelm so we can focus on living our best life!
Here are five tips to help you achieve strong financial health in your twenties.
Do your plans involve attending university or college? If so, your early twenties may involve accumulating a hefty student debt. While you pay off this debt, avoid other forms of debt where possible, particularly credit cards. That may require putting your overseas trip on hold for a couple of years, but trust me – it will be worth it when you can travel without the burden of existing debts.
Most women in their twenties don’t think about saving money – the temptation to buy new clothes and shoes feels so much more rewarding in the short term! It is important to balance your purchases so that you can plan for future big-ticket items, such as a deposit for a house.
Credit cards attract high interest rates, which many of us forget until it is too late. Unless you can afford to pay for your charges each month, don’t be tempted to spend beyond your means!
Use your credit card for non-negotiable expenses, such as paying your monthly telephone bill by direct debit. This way you will develop a good credit history for when you need to apply for a loan in the future.
In your twenties, retirement can seem like a long way off. However this is an important decade for making your superannuation grow.
If you are working for an employer, make sure you regularly check that superannuation contributions are being made into your account. You can also choose where your funds are deposited, so if you have moved from job to job, consolidate your superannuation accounts to avoid duplicate fees and charges. You can find your missing superannuation accounts by visiting the Australian Taxation Office website here.
Scoring your first ‘real’ job in your twenties can feel like the best opportunity to purchase items for your wardrobe on a frequent basis, however this will not help you achieve your savings goals. And when it comes time to move house, you will regret having such a large wardrobe!
Here at Lorna Jane we value quality investment pieces our wardrobes, including active wear! Consider saving up for items of clothing and shoes that will last beyond this season’s fad. You will save money (and wardrobe space!) in the long term.
Amanda is on a mission to inspire professional women to be their happiest and healthiest self. An accountant in the busy corporate world, Amanda knows first-hand the challenges women face to prioritise their wellbeing and she is passionate about changing this mindset. Amanda proudly admits that she is a Lorna Jane addict and is dedicated to the Move Nourish Believe philosophy. She loves homemade Kombucha, Bikram yoga and lifting weights at the gym.