Saving is a problem that everyone battles with, even affluent high earning professionals. Why?
Well, a recent survey showed that around 70% of high earning Millennials (ages 25- 40) and 60% of Gen Xers (ages 41-56) are living paycheck to paycheck. *
Ask yourself these questions
Basically, the more you earn, the more you spend. We adjust our lifestyle to our pockets.
The biggest problem of living paycheck to paycheck, is that if something happens, there is no extra cash to help, and we take out more debt to cover the emergency expense.
An emergency fund is vital in case of emergency expenses or job loss. The ideal would be to have 3-6 months’ salary saved up to cover expenses during job loss and for emergency expenses like a major car repair or medical procedure.
This saving should be a priority when you receive your salary. Set up a direct transfer into a savings account so you don’t feel it in your pocket.
If you are not disciplined enough to save, then it is advisable to meet with your financial advisor to help set up a budget and strict spending limits. [email protected]
Please note, the above is for education purposes only and does not constitute advice. You should always contact your deVere advisor for a personal consultation.
* No liability can be accepted for any actions taken or refrained from being taken, as a result of reading the above