Becoming a Jagoan at managing personal finances, even though you are still relatively young (in your 20s), is very much possible. By getting used to managing finances from a young age, you will encounter fewer surprises later. Financial stress is also reduced and you can live a more beautiful life.
Become a Jagoan at Managing Personal Finances with These 3 Ways
1. Use money responsibly
Financial health begins with using money responsibly. If someone chooses to use all their money for fun and ignore obligations such as paying monthly bills and without saving anything at all, then this person is not using money responsibly.
To use money responsibly, you can try the recommended budget proportion, which is 50/30/20.
50% for necessities such as bill payments and daily meals. If there is a debt, then it is an obligation to be paid off. 30% for wants such as buying new clothes and eating out. 20% to go into savings such as emergency savings and retirement savings, then can also be invested.
2. Create a budget and faithfully stick to it
It's not enough to intend to use money responsibly. Real steps are needed. For that, you can create a budget, for example, according to the50/30/20 budget above. Having a budget will make your finances more organized.
Once a budget for each need is created, you have to make sure that you stick to it. You need to be faithful not only to your partner, but also your budget. If you have set a budget of Rp 500 thousand for online shopping for a month, then you can only use that much money. Can't add more budget, that's what it means.
For easy and practical budgeting, you can do it in the Jago application. For example, if you have 10 needs, you can create 10 Pockets. The Jago application allows you to create up to 40 Pockets. You can add money to every Pocket from the Main Pocket or whichever Pocket is your main source of funds.
At the end of the month, you can analyze your spending. You don't have to do it alone, Jago is there to help you. Jago's Spend Analysis feature categorizes each expense and then calculates the total spending for each category.
From the results of the spend analysis conducted by Jago, you can decide whether there are expenses, especially non-priority expenses, which can be adjusted in the following month.
3. Get used to saving consistently
Because saving is very important not only for the future but also at any time if you suddenly need money, discipline is required in saving.
Sometimes, due to a lot of busyness, a person can forget to put money into savings. But, this can be avoided. You can set your savings to get automatic money transfers, either every week or every month.
In the Jago application, you can use the Autosave feature for any Saving Pockets. Interestingly, you can set a target in each Saving Pocket. The target does not have to be the same for every Pocket. It all depends on the financial goals you want to achieve. In addition to saving, if you still have extra money, you can also choose to invest it.
Ready to be a Jagoan at managing personal finances? Try the 3 ways above right away. The Jago application can be downloaded here if you don't have it yet.