Convenience is a keyword for Millennials. They have grown up with new technology which allows them to get what you want at the touch of a button. Because of this many, Millennials find it hard to save and manage their finances.  They often spend most what they make and do not plan for the future. Millennials more than any other generation tend to value experience over material possession. Concerts, eating out, travel are of big importance. Second to this, is the need to spend on things that make them feel and look good, such as clothes, cosmetics and gadgets.  Below are 6 survival strategies to help you  manage your  money.

 1 TRACK YOUR EXPENSES

It’s hard to save. Statistics say eight out of ten people live pay cheque to pay cheque. So young people are not alone and trying to balance their finances.

 Here are some basic steps Millennials can take in order to manage their finances. First look at your monthly income and set aside a proportion to save, a proportion to pay the bills and a proportion to invest. Once these three things are taken care of  any additional money can be used for entertainment or treats.

Next make a list of all the bills and expenses. Make sure and write everything down as there are often hidden expenses that you may not remember. Take into account extras such as Netflix , gym membership etc. Do you really need that cable connection when you can watch many things on the Internet? Cutting things out is one way to save money and build up that saving account.

To keep track of your spending try creating separate accounts. Keep one account for all bill withdrawals.  This account will cover items such as credit cards bills, student loans, utilities, rent, gas and groceries. Always top up amount left in that account to make sure all bills are covered. For example if the bills are $1000 monthly, make sure the account  always topped up back to that amount at the end of each month.

Once the bills are paid you can look at what you have left for saving and investing.
Create a separate savings account. Aim to save a specific amount each month. Whether it be $5 or $500 creating a disciplined habit is key. Once you have disciplined yourself to save, you can start researching the best ways to invest your money.

 2 AUTOMATE EVERY THING

An easy way to manage your finances is to automate everything. The automation of savings, investments and bill payments saves time and effort. It also helps to keep you on track. Once your expenses savings and investments are taken care of, you now have a clear picture of what is available for your entertainment budget.

3 MANAGE YOUR  CREDIT CARDS AND CREDIT SCORES

. Many young people do not understand is the importance of building good credit. In terms of mortgages and loans a good credit rating is crucial. The better your credit score the less it will cost you to borrow from  banks and lending institutions.

Paying your credit card bill and your phone bill on time can help you to create a good credit rating.

Credit cards should be paid in full at the end of the month. Paying the minimum will cost between 3 to 10 times as much and will take years to pay off. A trick for controlling your credit card spending is to freeze your credit card in water  to avoid impulse buying.

Paying your bills on time will build good credit. Make paying off student loans a priority. Do not fall behind on bills, negotiate with the loan company if necessary.

 4 BUDGET

All ways budget for your spending. An easy way to keep track of your budget is to create a simple excel budget sheet.  Do the math. For example if you eat out twice a week multiply that by four to get your total cost for spending on food by eating out for the month. A simple budget sheet can track your expenses on a month to month basis. Watch poor spending patterns in your budget and tweak as needed.

5 FIND EXTRA MONEY

Instead of eating out all the time, learn how to cook. It is an investment in yourself. You’ll be eating healthier, learning a valuable skill, feeling better, looking better and you will  be saving lots of money.

 When you spend money you should be getting a return on your investment. Spend money to make money. Invest in yourself whether it be buying equipment to carry out a job or project, educating yourself  or improving your skill base, you will reap benefits in the future.

Perhaps you have a side hustle. For example, do have you have a weekend job at a coffee shop or in retail? Do you freelance? Find positive ways to create new income. Babysitting,  house sitting, doing hair, landscaping, lawn mowing, computer repairs,  are some creative ways of making additional income.

Look at  scholarships if you are going back to school, there are many go unclaimed.

 Living on your own is expensive, if you can stay at home. Living at home has less of a stigma now. Once you are secure in your finances you can take that leap.

6 TALK ABOUT MONEY

Young people need to learn to talk more about money. Financial problems are one of the main causes of relationship break ups.

To build good money management skills ask for advice from people who are good with money.  This could be a parent or relative. Do not ever take advice from people who have poor spending habits. Whether you have a little or a lot learning how to manage your money now is key to your future success,

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With computer technology in the mix, we now have a generation with a whole new way of doing things compared to their grandparents and parents generation.  Online banking, online purchasing, online dating, online friends everything is just a virtual click away.  Millennials are also one of the most onto the entrepreneurial generations ever. They are well versed with technology and they can see the possibilities. According to statistics 36% of Millennials are looking to start their own business.

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The down side is that Millennials, (like generations of young people before them) can become  a victim of fashion or lifestyle. For them the price of keeping up with the latest technological gadget is an expensive one. Having the, latest games, phones, gadgets and trying to keep up with the lifestyle of the “Joneses” is a major drainage of Millennial money. They can fall prey to advertisers who promote a lifestyle which often unrealistic. Wanting everything now, they may fail to save for the future.

Smart Millennials are excellent online price shoppers and price matchers. Disciplined spending habits are key. If young people can manage small amounts and resist the temptations of spending it all now, they will succeed when they get the big bucks.