Yogyakarta, 5 October 2024 – PT Bank Jago Tbk collaborated with the international youth organization AIESEC to bring together hundreds of young people at Universitas Pembangunan Nasional (UPN) “Veteran” Yogyakarta to discuss global leadership challenges in achieving sustainable development goals, particularly in the area of financial management.
Edo Velandika, Consumer Business Community Manager at Bank Jago, stated that most financial issues faced by young people stem from consumptive behavior that is not balanced with healthy financial management.
“That’s why the younger generation needs to be financially literate and learn how to manage their money wisely. It can start with evaluating lifestyle choices, then saving or creating budget categories based on priority, and finally beginning to invest early,” said Dika at the AIESEC UPN “Veteran” Yogyakarta Welcoming Party on Saturday (5 October 2024).
On this occasion, Dika introduced the basic 3F concept of financial management: fix, fun, and future—referring to three key budget categories that should be understood in financial planning. “Fix” means separating fixed costs such as food, rent or mortgage payments, and other mandatory expenses. This typically takes up about 50% of monthly income.
Then comes “fun,” which refers to discretionary spending on enjoyable activities like watching movies or concerts, hobbies, sports, or traveling. “This budget brings joy if spent, but it’s not a necessity. Ideally, the fun budget should not exceed 30% of total income,” advised Dika.
The last category is “future,” which refers to funds set aside early for unforeseen needs or long-term goals. Examples include emergency funds, retirement savings, or education costs. The future budget should ideally account for at least 20% of income.
According to Dika, the most important aspect of financial management is not the amount of money one wants to accumulate, but rather building good financial habits. This includes setting personal financial goals carefully and realistically, detailing and calculating fixed or routine expenses, and allocating budgets based on priorities and long-term goals.
He added that today there are many apps and methods available to help separate budgets. One of them is the Jago App, which features "Pockets." Users can separate their funds into up to 60 different pockets, each with its own account number, tailored to their needs and preferences.
If monthly income isn’t sufficient to cover expenses, Dika recommends seeking additional income sources, such as side jobs or starting a business. If the income already exceeds needs, then it’s time to start investing early—starting small but doing it consistently and regularly.
“Learn the basics of investing first—don’t just follow the crowd or act on FOMO (fear of missing out). If someone hypes an investment and promises unrealistic returns, it’s likely a scam,” warned Dika.
As a technology-based bank, Bank Jago developed the Jago App to be integrated into various digital ecosystems, making it easier for users to manage their lives—including financial and investment matters. To support investing, Bank Jago has partnered with online investment platforms Bibit and Stockbit to enable seamless investment experiences for Jago users.
“Everyone has their own challenges, life needs, and unique ways of managing money. That’s why the Jago App was designed to give users the flexibility to design their own financial solutions,” explained Dika.
Fahish Akbar Laksmana, Local Head President of AIESEC UPN “Veteran” Yogyakarta, expressed appreciation for Bank Jago’s concern for the various leadership challenges faced by youth, including financial issues. “We hope with Bank Jago’s support, AIESEC UPN ‘Veteran’ Yogyakarta’s activities can raise awareness and inspire the younger generation to create positive impacts in society through better financial management,” he said.
AIESEC UPN “Veteran” Yogyakarta is part of AIESEC Indonesia and AIESEC Global.
AIESEC is the world’s largest international youth organization, with members in over 110 countries, including Indonesia. This independent nonprofit was founded in 1984 as a platform for young people to explore and develop their leadership potential through programs that support the Sustainable Development Goals (SDGs).
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