Proficiency in managing finances is not only needed by certain age groups. Starting from children, teenagers, adults to the elderly, they must be proficient in managing their own finances.
This is important to do because it can support life in the future and in order to achieve financial freedom, which is the dream of many people.
Tips for Managing Finance for All Ages
The following are some tips on managing finances that can be done by all ages:
Children (5-11 Years)
In this phase, children can be taught slowly but consistently about how to exercise self-control, especially in spending their money and the risks of being in debt. Get them to set aside money regularly and tell them the important benefits of saving.
Youth (12-25 Years)
Adolescence is a time when we are engrossed in following trends in order to be accepted socially and socially. Teenagers can be given education about the importance of choosing the right circle of friends and the impact on their financial capabilities. At this age, it’s a good time to start keeping simple personal financial expense records.
Adult (26-45 Years)
At this age, we are more mature in making decisions including managing finances. We can make a scale of financial priorities and divide them into several groups.
In addition we can start setting aside a few percent of income for insurance and retirement savings. However, don’t forget to detail the financial reports to make it easier to calculate and allocate your finances.
Elderly (> 45 Years)
Old age is a time when we can enjoy the financial management efforts that have been carried out so far. In this age category, we can help our parents to withdraw scheduled money to keep it balanced and not overdo it. Also avoid unnecessary debt and pay off existing debt as soon as possible.
Those are various financial management tips for all ages that can be applied in everyday life. Hopefully it can be useful for those of you who want to achieve financial independence and a higher quality of life.