Millennial Debt
Millennials’ collective debt hit nearly $4 trillion in the last quarter of 2022. With prices rising and average savings dwindling, millennials are relying on credit cards and loans to bankroll their purchases. Plus, things like student loan debt, graduating during the Great Recession (which can hinder long-term earnings), and higher costs of living are taking their toll. Which is, in part, why many millennials may put off having a family or purchasing a home. Here’s how to build wealth when the cards feel stacked against you.
Your move:
Ditch your credit cards. They’re great if you pay off your balance on time and in full. We repeat: On time and in full. But if you’re racking up interest on your payments, use cash or a debit card instead.
Sign up for a balance transfer card. If you have credit card debt, take advantage of a card with a 0% APR introductory period and work on paying down that principal amount interest-free.
Cut expenses. Create a spreadsheet or use a budgeting app to see where you can cut your spending. Or, avoid slashing your budget by starting a side hustle or job hopping to earn more $$$.
Automate your savings. Remove the temptation to spend money once it hits your account by sending a portion of your paycheck to savings. Start small, and boost the amount you contribute over time.
For The Group Chat
On-site counseling, daycare for your parents, and sabbaticals…
Just a few potential work perks of the future.
How much does it cost to go on a date every day for a month?
One woman on TikTok found out.
If homeownership feels out of reach…
Investing in a fraction of a home could be easier.
Want more out of life?
Highs and Lows
FTX’s collapse continues to have a ripple effect on the crypto space. Coin markets dipped again this morning after crypto bank Silvergate suspended its payments network, Silvergate Exchange Network (SEN),which FTX had been a client of. Now, some speculate that SEN faces the possibility of receivership.
5-Minute Money Tip
Start a seven-day, no-spend challenge.
ICYMI, money-saving challenges are popping up all over social media. Wondering how to get started? Cut out all unnecessary spending (think: ditching Uber Eats) for one week, pocket the extra $$$, and watch your savings blow up. Before you know it, you’ll have enough to live out your “White Lotus” vacay dreams in Italy.
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