Seven Money Tips Millennials Can Bank On
As millennials face unprecedented financial burdens such as student debt and rising housing costs, the anticipation of the New Year is a great time to get strategic about finances and invest for the long term. A local bank can help with everything from online banking and mobile resources to in-person check-ups to help this generation identify and reach their financial goals.
The following seven tips will enable millennials to establish good money habits and secure a strong financial footing:
1. Shop around. Be selective and choose a banking partner that is best for your lifestyle and overall financial goals. There are many banking options out there with different advantages – whether it is the most comprehensive range of products and services, the finest personalized customer service, the most convenient locations, the greatest community focus or the most competitive loan rates. Determine which bank can meet your unique financial needs now and in the future.
2. Get a head start. Banks play a major role in helping customers prepare for major life events such as buying a house, financing a child’s college education, and planning for retirement. Ask your banker how you can get a head start on your first major purchase by establishing credit or starting a retirement account.
3. Don’t miss out on free money for your future. If your employer matches your 401(k) or other retirement contributions, contribute enough from day one to get the full employer match. This is free money, and its value compounds over time.
4. Save without thinking about it. Make saving a part of your lifestyle with automatic payroll deductions or automatic transfers from checking to savings. Arrange to have a specific amount transferred to your savings account every pay period. This is a great way to pay down debt or save for a big purchase.
5. Tap into bank technology to make smarter decisions. By literally tapping into your bank’s mobile app, you can manage your finances, track your transactions, and make mobile deposits. Be sure to download the latest app updates as they become available.
6. Set up email or text alerts. Keep tabs on your money by creating account alerts to notify you when you reach a specific balance, a deposit or any other transaction has been posted, a check has cleared, or a bill payment or transfer has been completed.
7. Expect the unexpected – set up a rainy day fund. The last thing you want is additional stress when unexpected expenditures come knocking on your door like a major car repair or leaking roof. Set up a separate checking or savings account just for emergencies.
Carefully selecting and building a relationship with a local bank can make a big difference in planning and securing a sound financial future. So, before the holiday rush sets in, why don’t you work to establish a few strategic financial goals in preparation for the New Year? Doing so may mean less stress and more financial independence for future years.
Lisa M. Miller is Community Banking Manager for ACNB Bank’s McSherrystown Office.