Money and Millennial’s
Your future self will thank you
Last year I helped a group of people conduct a study on millennial’s and what keeps them in your area for employment purposes. It was a very interesting study into the mindset of our biggest employment group since the baby boomer generation. We pulled tons of statistics to complete the study and I pulled some of it out this weekend to get it filed away. As I was creating file folders for the data, I noticed a couple of items regarding millennial’s financial habits that I didn’t remember, and I thought I would share them with you.
- 54% of people in this age group eat out at least 3 times a week
- 30% of millennial’s say that they purchase coffee at least 3 times each week
- 51% say that they visit a bar at least one time per week
My first thought was to calculate out the price of a single coffee and project those monies being saved over the course of a lifetime! But, trying to save nickels and dimes is so frustrating. We talked a couple of weeks ago about how frustrating it is to save money and how it seems to take FOREVER to get a decent balance in your account. Telling a millennial to save $6 per week for 73 years will make them a millionaire isn’t going to cut it!
Here are a few “big ticket” items that could really make a difference in your financial future:
Don’t buy the house
This one is probably not going to be very popular with all my real estate friends but buying a house is expensive. I’m not saying that you should never buy one but wait a while. Stay in the apartment for a little longer and save your money for a bit longer. Buying a house is expensive. You need a lawnmower and curtains and new carpeting and…and…and. The expenses mount up and living in an apartment for a while longer can save you a ton of money.
Don’t buy the new car
I have tried to live this one my whole life. I am notorious for buying a used car and driving it until it falls apart and dies! If you can’t save money, you have no business buying a new car. It is one of the fastest depreciating assets that you can purchase so stick with a decent used car and hold on to your money for a while longer.
No two people are exactly alike and this advice isn’t going to work for every person. Know yourself and understand what works best for you. Delaying gratification is never fun – no matter your age – it always causes some pain. Your future self will thank you if you create good financial habits when you are young.
If this makes sense to you but it just seems impossible or overwhelming to you, give us a call and schedule an appointment. We are experts at it and will be happy to offer you some basic direction and advice. It is what we do at Hollander & Associates.