Seven Money Habits To Start In Your Twenties

Building habits can be hard and when they involve your finances ever harder. Let me help by telling which seven money habits to start in your twenties and why! Click through to read about budgets, savings, and what it means to invest!

In case you are wanting to get started working on your finances this year and don't know where to start, I have seven money habits that can help you start to make monumental changes in your finances!

You'll be setting your twenties and every decade after that up for success!

Seven Money Habits To Start In Your Twenties


If your mom or grandma has ever told you to get a savings account and you ignored them on the basis on wanting to "live free" I'm about to burst your bubble, kind of. You see having a savings actually lets you "life free". When you don't have any emergency fund, savings account, or back up money, then you are tied to the money you make monthly. You can't really take a week off to travel, or even a day off to be sick, when you are dependent on the money you have continually coming in. Not to mention you are building no future when you don't have any money in the bank. I'm telling you, start building the habit now of not spending all the money you make. Set some aside each paycheck and put it in an account where you won't see it or think about it!


What do I mean by this? I mean quit paying extra for the convenience factor in your life. Make a cup of coffee at home before heading out instead of running through Starbucks. Make your own peanut butter and jelly sandwiches instead of buying the "Uncrustables". Buy vegetables and lettuce and make your own salads instead of picking them up for x3 the price. There are tons of great products out there that are helpful because they are so convenient. However, if you start the habit now of not buying into those just because they are convenient you'll save a lot of money and as a bonus, won't become lazy. ;)


If you don't learn to plan out a budget and stick to it now, you may be so far into your bad money habits that it will be hard to later on. Start the habit now of knowing your budget and sticking to it in order to run your finances instead of the other way around!


If you are in the habit of using a credit card, you need to cut that, like now. That will never ever do you good and yet has a high chance of getting you into a lot of trouble. Cut it up, put it away, and start learning how to spend only when you have the money in hand. If you are using the argument that you are using a credit card to earn credit that's fine, BUT as a good rule of thumb, you should only purchase things with your credit card if you have the money in your bank account at the same time!


Mixing money and friendships or relationships are never a good idea. Just like with a credit card you should never be buying something if you don't have your own cash in hand. If you don't have the money, you don't get the item. That is a basic rule you should stick to keeping in your twenties. You'll get to keep your relationships and your pride.


I don't just mean the typical stock market type of investing, (Though it is a good thing to look into in your twenties and get started doing.) I mean investing in things for your future instead of the here and now. Much like not buying for convenience you want to start buying things that will serve you in the long run. For example instead of renting, save up a little money and invest in a home. It's possible sometimes to get houses without a down payment (though I would recommend putting something down) if you are a first time home buyer and a lot of times mortgages every month are cheaper than rent! (Just be prepared for the other responsibilities that come with owning a home. But if you are sticking to these other habits, you should be financially ready for those if they come!)


This is probably the most important habit to start of them all and might be the hardest to convince you to do.

We live and are raised in a society of, "I earned it, it's mine, don't touch" and so often turn our backs on helping others out when they are going without. Truthfully all the things that we have are not of our belonging anyways and are owned by the creator, given to us out of blessings. Your home, your job and the money you get from it are things that you have been given by God. The right thing to do is to give back. Managing your money correctly can allow you to do that. We give a few hundred a month (usually a little over 10% of our income) and still manage to save thousands each year. It can be done.

Truthfully even if you have no religious affiliations or convictions about giving it is still a habit that needs to be started, especially in your twenties. Learning to be generous with the things you have is a habit we all need to exercise daily, regardless of religious practices. Helping out someone personally or giving to charities and different causes helps you to realize you are not the only one out there and that you do in fact have something to give to the world.

I wish you the best in luck in trying to build new habits, it is a hard fleet! But I also believe in you, and as always if you have any questions or want any help, reach out!


Now, Let's Chat! What money habits are you in? Are they good or bad? Do you agree or disagree with these seven? What would change in your life if you started to implement these into your life?