What are the biggest financial mistakes we make? Let’s learn from each stage of life

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Although we are dependent on our parents, we are slowly starting to become independent .

15-20 years

money loan

After school we go to the brigade to earn something. We never know where our pocket money went. And we try to convince grandma that our age is too early for retirement benefit.

Major mistakes?

  • We cannot manage .

 

What with this?

It is practical to set up the first current account in which a young person will have an overview of their incomes and expenses and will learn to manage. After all, thinking about retirement in high school is a bit premature, and any long-term savings are unnecessary.

 

20-30 years

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We have successfully completed school and found our first job. Now we are just trying to see what it means to stand on our own feet . We have no obligations, so we want to enjoy everything to the fullest. And best now.

Major mistakes?

  • We do not plan
  • We won’t save

 

What with this?

It is clear that the first paycheck in life must be properly celebrated. But from the next one, let’s try to think a little ahead. Planning pays off. When we go on expensive holidays and buy a new car every three years, we never save a crown. All you have to do is to get a little frustrated and put at least small amounts aside regularly. Send money to your savings account right after your payout, along with the necessary expenses, and let it appreciate.

In the foreseeable future you will want to arrange your own housing and not have building savings would be a sin. The sooner you start saving, the better. The first crown invested will earn you more than the last.

So it is better to start saving sooner and shorter time than vice versa. If you leave two thousand a month aside for twenty-eight from the age of twenty-five and then leave them interest, you will get more in your fifties than if you started at thirty-three and give the same amount regularly for seventeen months every month.

 

30-40 years

30-40 years

Time flies like a wind, and we start a family. We start building our own house or buy a larger apartment. While we are building a career and have more money, the cost of living is increasing. With the repayment of the mortgage we start living from payday to payday and we no longer want to give money to anything else.

Major mistakes?

  • We spend too much money on housing
  • We do not want to invest unnecessarily
  • We don’t think about the future

 

What with this?

When else than now to start addressing housing. The ideal time to use a mortgage or building savings loan . However, you do not have to try to pay off your debts as soon as possible.

Stress or a tight family budget is not worth it. Adjust your installments to a lower amount. This will also allow you to have financial reserves . Generally, a family should spend a maximum of 40-50% of their monthly household income on housing.

Do not save in the wrong place. Do not forget necessities such as home insurance or personal accident insurance . Investing in yourself is the best you can do. You have a nice piece of life in front of you, and if something happens to you, you’ll depend on someone else for a very long time.

With one salary and maternity pay, you can’t jump too much. It is better to wait for the establishment of supplementary pension insurance. But it’s never too late to start looking for information . Find out if your employer will contribute to your retirement.

 

40-50 years

40-50 years

Finally, we can relax a little. We are repaying housing loans and looking for a cottage purchase. At work, we are virtually on top, so we make enough money to invest in stocks.

Major mistakes?

  • We will not save for retirement
  • We do not have spread investments
  • We have no financial reserve

 

What with this?

Without your own savings, you can not do without retirement. It is better to think about it in time and start a supplementary pension insurance . Try to promise not to touch him until retirement.

Occasionally, he may be tempted to use it as a moneybox to improve his family vacation budget. However, its strength lies in the long-term interest on the money deposited. When you select them, you will simply waste your money.

You have the right idea to invest the money. But try spreading your investment across multiple product types . This will reduce the potential risk of loss. If your heart leaps in shock every time you find out how stocks have fallen a bit, you can bet on more stable bonds.

And what if a fifteen-year-old fridge stops working or starts leaking into your house? Don’t invest everything in bonds or stocks. Keep some financial reserve that you can touch if necessary.

 

50-66 years

The children have already moved out of the house and do not need financial support. Our work phase is coming to an end. We are already looking forward to retirement, contributing a small amount each month. We think we’ll be happy with a new car.

Major mistakes?

  • We won’t save enough for retirement
  • We do not create reserves

 

What with this?

Well, you think of retirement. Spend a little more on savings . You will see that in a few years you will remember and will not regret it. Maybe the time has come when you can reap the rewards of your investment and get a nice financial reserve .

So rather than hire it, buy things from your own resources.

Or think about the grandchildren. Maybe you can give them something to start their own independent life. Though the biggest contribution for them will be just as much advice on how to properly handle money in life.


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