Your 20s are filled with so much joy. The world is your oyster! You're starting your first real job and making your first moves towards a fruitful career. You’re probably also house hunting for your first flat, looking for a car, or relocating for work. Along the way, you'll learn a few lessons. Some lessons will be easy and others will be hard. One of the toughest lessons you'll learn is how to manage your own money. That includes budgeting for expenses like paying your rent and utilities, commuting costs, and contributing to a retirement fund.

Relax! We're not trying to overwhelm you. Our goal is to arm you with the information you need to make the right decisions.

On that note, let's have a look at a few tips you can consider to ensure you're set up for financial success.

5 Tips for success

Avoid relying on credit cards

Applying for a credit card is a good way to build your credit score, an important element of your credit profile. Credit cards also enable you to 'buy now and pay later' which can be really good for your budget when there are unforeseen expenses.

What you want to avoid is becoming dependent on your credit card to make it through the month. You can use your credit card to pay off certain debts quicker, but it is recommended that you not make any additional purchases with your card at the same time. This will help you to fulfil your repayment obligations on time.

A good rule of thumb with a credit card is to buy only what you can afford to pay in cash. This will help you to stay within the limits of your budget and avoid accumulating debt that you might struggle to pay off later.

Make saving your priority

Your 20s is the ideal time to start saving mindfully. You've probably heard the term 'pay yourself first'. It means that the first spend from your income should go towards your savings account before all other expenses. It’s a good way to make saving a priority and not something you do when things get rough.

Set your financial goals

Many of us set our goals in January each year but, honestly, you can set your financial goals whenever you feel ready. If this is your first time setting goals, go easy on yourself. You are just starting out, so keep things simple. For now, your goals could centre on allocating a set amount every month for savings, setting a monthly budget, and researching your investment options. To manage your goals, use your MyWORLD Account and allocate each goal to a Savings Pocket. It's an easy way to keep track of your goals and monitor your progress.

Set up your emergency fund

As you venture out, you’ll more than likely face an emergency or two. It's part of life. An emergency fund can help you make it through whatever catastrophe you're facing, at least financially. To make the most of your emergency fund, keep it separate from your day-to-day banking account and allocate money to it each month.

Start investing

You've definitely been advised to invest by someone you know, probably by a parent or a teacher. And they weren't wrong! Investing is the best way to grow your money. What you need are clear guidelines and options. Some of the things you should consider when you're deciding how to invest your money are compound interest, diversification, and your long-term financial goals. You can find out more about investing here.

Don't look back!

'Adulting' is not easy, but it's so rewarding! Staying disciplined and handing your finances with care are some of the best gifts you can give yourself.

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