Do Millennials Need Financial Planning?
Many people assume that when we talk about financial planning, it meant for the wealthy or older people. The reality though is that it’s meant for anyone who’s looking for positive financial changes in their life. It can look in the form of spending your money more wisely to learning how to deal with debt. Yes, a lot of it has to do with investing and growing your money, but you don’t need to have millions of dollars to get started. There are many financial planners who work with you, without needing to have hundreds of thousands of dollars first. There are also endless number of resources online, from books, to videos, to courses to help you start your financial journey. Regardless of where you are in your life, there will always be a bit of planning for the next stage of life.
So, if Millennials do need financial planning, what are the different areas to address? Wealth101, an amazing online resource on personal finances, illustrated it perfectly:
From the infographic above, you might realize that personal finances is an entire domain of life that needs to be learned and mastered. We can break it down to the main components to address as a Millennial:
1) Goal-setting and life planning
2) Managing your cashflow
3) Dealing with debt and building credit
4) Protecting your wealth
5) Growing your money
6) Becoming financially literate
7) Building positive financial habits
8) Financial aspect of your career/business
9) Minimizing taxes
10)Balancing life now and the future
11)Making a difference in the lives of others
These are all areas of financial planning that Millennials can work on, from the moment you graduate from school. It becomes very empowering once you realize you are in control of your finances, and it builds a compounding effect on your financial future. You get World’s ahead financially and emotionally if you start financial planning early in life. #millennialplanning