It may not seem like the ~*coolest*~ thing to be passionate or even excited about personal finance, but it's something you really need to be more aware of even in your 20s. Like we've said before, money is freedom! Managing your money can be a HUGE weight off your shoulders. Here's how to know if you're doing it right:
1. You can handle an emergency.
Emergencies happen all the time! That's why you need to have an emergency fund, which is completely different from a savings account, btw.
2. You can treat yourself.
Splurging is okay once in awhile. Being able to treat yourself means your budget can handle that special purchase. Never feel guilty about that.
3. You don't fight with your partner or family about money.
Oooh, everyone knows money is such a sore subject when you're struggling. But when you're financially stable, it means that everyone is on the same page and is working towards the same goal.
4. You're honest about your money.
You aren't defensive about how much you earn, and questions about your financial stability roll off your shoulder. You also don't feel the need to lie about your expenses, because you aren't guilty about where your money's going.
5. You can rest peacefully at night.
Money can keep you up at night, especially when you're short on cash. But when you're not fearful about making it until your next paycheck, it's easier to catch those Zzzzs!
6. You are smart about the way you commute.
Alam na. Financially responsible people know their limits when it comes to transportation. Tiis muna.
7. You're all about being debt-free.
Your number one goal is to be debt-free. That means avoiding being in a stuation that forces you to borrow money OR working your ass off to pay off all your utang.
8. You live below your means.
This means living below what you make. Hindi mo sinasagad yung paycheck mo, girl. A good goal is to be able to save half what you make, but we know that's not something everyone can do. Determine your number!
9. You've stopped caring about trends.
Hindi ka na affected by the latest gadgets or the newly opened cafes! You know how to distinguish what you need from what you want.
10. You keep track of your expenses.
Maybe you have a money app. Maybe you just write it down on a notebook. It doesn't matter, as long as you know your spending habits. Being confronted by your daily expenses can help keep you in check.
11. You're not worried about losing your job.
Don't get us wrong, getting fired SUCKS. But not living paycheck to paycheck will keep you from seeing it as the end of the world.
12. You have a side hustle.
Or you are aware of the side hustles you can explore if you need a little extra cash. If you find your niche and get a little creative, you'd be surprised at how easy it can be to earn outside of your monthly income.
13. You take care of your health.
This one's important! Yes, your income and health are connected. When you're financially stable, you take care of yourself better. You're aware of what you feed your body. You know how much it can take before it completely shuts down. You invest in your fitness.
14. You look at money differently now.
Aimlessly spending doesn't appeal to you anymore. You keep track of every centavo, and you know that it isn't about being anal; it's about being responsible.
15. You have plans for the future.
Traveling? Investing? Going back to school? Saving up to pay for your own wedding? When it comes to your money, you know it's not all about #YOLO or #FOMO!
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