When it comes to personal financial management, there are 2 commonly used styles: marathon and sprint. Which one is your favorite? Which style is better?
Personal Financial Management Style: Marathon vs. Sprint
1. Marathon style
You might have run a marathon or watched a marathon. As we all know, a marathon is a long-distance run that requires great physical endurance. Preparation for a marathon is usually done several weeks in advance.
In managing personal finances, those who adopt the marathon style will focus more on the long term. Personal financial management with the marathon style tends to be slow but steady.
Expectations are not too high, but high enough to achieve the financial goals. With expectations that are not too high, the process and journey when managing personal finances and achieving financial goals can be enjoyed along the way.
2. Sprint style
Unlike the marathon style, the sprint style prioritizes speed. The distance covered is short and while running, the runner must run as fast as possible to reach the finish line faster.
What if the sprint style is applied in personal financial management? Those who adopt the sprint style will focus on one financial goal, whether it's saving large amounts in a short time or paying off installments or debts as quickly as possible, for example.
The faster, the better. After one financial goal has been achieved, they can move on to a new financial goal.
Which One Is Better?
So, Jagoans, which is your favorite personal financial management style? Are you more inclined to marathon or to sprint?
When comparing the two styles, there is no better style than the other. Each style has its advantages and disadvantages.
With the marathon style, investing and saving are diversified to meet a variety of financial goals. The risk of financial anxiety and stress is minimized. However, having multiple financial goals can be discouraging when you're making slow progress.
With the sprint style, you will feel more encouraged once you succeed in achieving a financial goal and more excited in setting the next goal. However, because there is only one goal, the focus becomes narrow, which can trigger financial anxiety and stress in the use of money.
The two styles can be combined to achieve balance. For example, when you choose to achieve only one financial goal, make sure you don't experience mental exhaustion because you always set aside money for savings.
Managing Personal Finances with Jago
In managing personal finances to achieve financial goals, it would be nice to have a friend who is ready to support and help at any time. With Jago, managing personal finances becomes easy and practical.
Create Pockets to manage many needs
For saving needs, you can create a Saving Pocket. You can create more than one Saving Pocket, depending on how many financial goals you want to achieve. You can set a target in the Saving Pocket and then monitor the saving progress at any time. Even better, you can also save automatically by using the automatic saving feature available in every Saving Pocket that you have.
Before saving, you certainly need to fulfill obligations such as paying monthly bills and setting aside money to meet daily necessities. For all of this, you can create Spending Pockets. You can also schedule routine or recurring transactions for automatic payments through the Plan Ahead feature.
Save and invest with Bank Jago and the ecosystem
Bank Jago offers a variety of savings and investment options. In addition to Saving Pockets, you can open Locked Pockets and Jago Term Deposits directly in the application and enjoy competitive interest rates. To learn more about these options, you can read about the differences between Locked Pockets and Jago Term Deposits in this article.
You can also invest in mutual funds and stocks by linking your Jago account with Bibit and Stockbit. Learn how to maximize your investments with Jago and Bibit in this article, and how to benefit from opening a Jago RDN account in the Stockbit application in this article.
