05 Feb Top Saving Tips For Graduates In Singapore
Top Saving Tips For Graduates In Singapore
The end of graduation marks the beginning of independence. It is time for you to live responsibly and embrace the endless opportunities that await you. You’ll be moving out of campus, entering a full-time job and becoming financially independent.What you do with your money when you first graduate can make a big difference on your finances when you get older. Saving money and becoming financially independent does not mean having to give up having fun. In order to help you manage your finances well, here are a few tips to help young fresh graduates save money in Singapore.
Track Your Spending
The first step to cultivating good spending habits and working towards saving money is to know where your money is going. Set up a budget to ensure that your do not spend more than what you should be.After working for a few months, and getting used to the amount you are earning, figure out how much you can afford to spend every month. You should be able to identify your spending patterns and know how much you can afford to spend each month.In order to help you track your spending, there are many apps available for your mobile phones that can help you do so easily. Your spending can be tracked anytime when you are out, conveniently. Then in order to cut spending, you can be more cautious when spending in the area you tend to splurge most.
Live Within Your Means
Getting your first pay checks can be exciting. You can finally afford expensive exercise classes, nights out, fancy meals out and more. However, such expenditure will take a toll on your budget very quickly and hamper your ability to save money.This doesn’t mean don’t have fun at all. Instead, perhaps pick out a few restaurants, bars or exercise class that you have been keen to try out. Then, try them out once in a while. Such luxuries can be enjoyed as long as they fit within your budget.
Save A Portion Of Your Pay Check
Try to put aside some of your pay check that you will not touch. This amount could be 20% of your pay each month but will vary depending on your commitments. Regardless of how much money you set aside, it is important to save some of it.Once you start working, it is a good time to start building wealth. It is best to avoid living from pay check to pay check as early as possible. Putting aside money will help you to live more comfortably in the future.
Adopt Healthier Spending Habits
One thing that causes people to be financially strapped is spending habits. It is best to adopt healthy spending habits from the get-go rather than having to kick poor spending habits in the future.Some good spending habits include:
- Saving money on commute by taking public transportation instead of cabs
- Don’t buy a car
- Eating out less often
Such small efforts can save a few dollars on each occasions. However, accumulated, this could lead to a large sum over time. Small savings might seem insignificant but in the long run, they can become a significant amount.
Learn To Say No
Graduating from university and gaining full freedom in life can be liberating. Best part is – all your friends are to. This means everyone is finally earning and can afford to go out more often.However, sometimes it is important to learn to say no to social outings that will break a hole in your wallet and ruin any budget you have set for yourself. This does not mean having to be a party pooper and not having fun with friends. Your university friends are likely to be in the same boat as you where saving money is beneficial for them to. As such, you can hang out with your fresh grad friends by looking out for happy hour deals, restaurant discounts and low cost activity deals.
Not many fresh grads think about investing when they have just graduated. Many have the misconception that they should pay off all their debts before thinking about investing. The reality is, you should start as soon as possible.One important factor in investing money is time. As a fresh grad, time is on your side. Time will give you the greatest advantage when investing. When you start investing at 30 you might need to save about 2 to 5 times more to build the same amount of wealth as you would if you had started when you just graduated. Therefore, try to set aside some money each month to invest. It will benefit you in the future.
Clear Your Student Debts And Credit Card Loans
Having just graduated from university, some might have accumulated student debt from expensive tuition fees and credit card debt. It is important to clear them off as soon as possible to avoid incurring higher interest rates.However, if your pay check is insufficient to sustain your lifestyle while paying off your debt, there are ways to minimise your debts.If the interest rate applied on your student loan is high, you might consider getting a personal loan from a moneylender in Singapore with a lower interest rate to pay off the tuition debt first. As such, you can incur lower interest rates over time thus reducing your debt.In addition, if you have outstanding credit card payments on several credit cards, getting a loan from a moneylender consolidate your loan can help you save some money. Instead of incurring interest rates from a few card companies, you’re consolidating your credit card payments into one such that you can manage your finances more easily. This is especially beneficial if the interest rate on the loan is much lower than that of the credit card company.
How JD Credit Can Help You
For more information on personal loans and payday loans that can be taken to consolidate credit card debts, contact us at JD Credit. We are a legal money lender in Singapore. Our professional, qualified team will help you in your journey to achieve financial independence.