I know our parents always stress to us that we must take responsibility for our actions and never to place blame on others. But when it comes to being financially responsible, the fact still remains that there aren’ t any required courses taught in high school or college about personal finances. When young adults are making the transition into adulthood most of them are clueless about how to manage their money, so they learn by trial and error. In order to avoid some costly mistakes the following are 7 ways a Young Adult can become more Financially Responsible.
1 . Discipline Yourself
Most financial mismanagement comes from being impatient and the need for instant gratification. The sooner you learn the art of discipline the sooner you will be able to get your finances together. Instead of using credit cards for everyday purchases, learn to save and budget for the things you need and only use credit cards for emergencies. The money you will save on interest alone will be well worth the wait.
2 . Make Your Own Financial Decisions
It is imperative that you learn how to manage your own money. Relying too much on others (Especially your parents) will cause you financial harm for sure. You know the saying …Give a man a fish and he’ ll eat for a day but teach a man
how to fish and he’ ll eat forever… That’ s what you want to do… Eat forever!
Too often our parents, uncles, aunts, cousins and friends give us advice based on their situation or experiences and because we don’ t know any better we listen. Their advice is never ill-intentioned but you also know the other saying …what’ s good for the goose isn’ t always good for the gander. Instead of relying on their advice, take control and read as much as possible; start with a few basic books on personal finance. Once you are equipped, don’ t allow anyone to throw you off track of your financial destination! (This includes your significant other as well. It is a fact that most frivolous spending comes from people trying to impress their loved ones).
3 . Keep a Spending Journal
Once you start making your own financial decisions and have equipped yourself with some personal finance knowledge via your new book collection you’ ll start to realize the importance of budgeting, the difference between a need and a want, and small ways to cut back your consumption to make sure you are saving more and meeting your financial obligations. Before you can stop the money leaks you must first figure out where they are. Begin by writing down where you spend your money daily. Doing this will open your eyes to where most of your money is going. Doing this will give you clear direction of where you are and where you are going.