There are a lot of things young adults can do to save money. Young adults are known to have difficulties when it comes to saving money because whenever new shoes, new technology, or any new designer product comes out, they instantly want to buy it. Young adults can get out of this habit by simply asking themselves 3 important question: first, do I need it? Second, is the quality great? And third, will it be worth it on the long run? Deals such as buy one get one free and 50-70% off sales are examples of what makes people spend money in unnecessary ways. These are great ways to get clothes for less but if you don’t need any of the clothes on sale then don’t buy it. A popular garment to buy is jean shorts. You can find an old pants that you don’t use anymore and cut it into a short. Saves you $30 by recycling and put away that money in a savings account.
Young adults can keep saving even larger amounts by making an automatic transfer to the savings account. This will help you become a better saver without much work. If you earn $200 every 2 weeks and $100 gets put away each time, you will have $2600 at the end of the year in case of emergencies. Short term saving goals like I mentioned are a good place to start but you have to be optimistic of the future. A long term saving goals is much more beneficial because this could be a life line. A good example is saving for retirement. If you save money through a 401(K) plan this money will save your life when the day comes that you cannot work anymore. And keep this in mind, do not take money from this plan to pay off your bills or anything, this money is for
Saving money is important but you also have to be debt free. Establishing credit will help you help you save money in the long run. If you get a very good credit score you will be able to buy big things such as a car with low interest rate which means you pay less in the long run. Repaying your debt strategically will also keep you debt free. For example if you have multiple loans such as student loans, car loans and mortgage loans, and you pay the one with the highest interest rate then make minimum payments on everything else, you will owe less money because you got rid of the one that can be very expensive quickly and saves you a lot of money at the end. I’m not saying young adults should stop buying things that will them happy, I’m saying that they should just buy things that they need. Rather than things that just look nice. If young adults decides to do any of these, not only they will remain debt free they will also learn how important it is to handle money especially in a capitalist world that encourages young people to keep spending.