Yahoo Finance 9 Frugal Living Tips Millennials Should Focus On in 2024
If you’re a millennial, you likely have some financial goals you want to reach this year. In 2024, millennials will fall between the ages of 28 and 43. This demographic might be trying to buy a house for the first time or find better ways to pay it off. Or, they just might be trying to save more money than they did last year.
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GOBankingRates spoke with financial experts to gather the best advice for millennials looking to get on top of their finances in 2024.
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Gamify Money Management
Laura Redfern, Certified Financial Planner and Certified Financial Transitionist at Shadowridge Asset Management, LLC, said that thinking of money management as a long-term practice can feel daunting. Instead, try to make it into a “sprint” by gamifying it.
“For example, one couple made it a game to only eat out if it’s free,” Redfern said. “In other words, using points or gift cards or special offers — but only for the month of January. The shorter term made it feel like a fun challenge rather than an impossible burden. It also motivated them to keep up the game even after the time period ended, because they liked the winning feeling they got from getting creative.”
Cancel Unused Subscriptions
Andy Cooper, money-saving expert at CouponBirds, cited a Self survey that said the average monthly value of unused paid subscriptions is $25.34. “It is necessary for people to check their unused subscriptions,” he said.
You can download budgeting apps that identify every service you’re paying for to get a full picture of your finances, then decide which ones you want to cancel from there. Doing this could save you hundreds a year.
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Cut Down on Takeout Expenses
You don’t have to completely nix any takeout or coffee luxuries from your budget. However, Ben McLaughlin, U.S. president at Raisin, said it’s important to trim the fat where you can.
“When we set unrealistic expectations for saving, we get discouraged and can go completely off track when we fail,” he said. “Instead of saying, ‘I’m never going to go to a coffee shop or eat at a restaurant ever again,’ take stock of what small luxuries are essential to you and enjoy them. Live your life. And make smarter choices in other areas.”
Eliminate Unnecessary Finance Fees
McLaughlin said that those small costs at the ATM could be the reason you’re blowing your budget. “On average, Americans are charged $133 on ATM fees and $300 on bank account fees like maintenance charges, withdrawal and transfer fees, and falling below minimum account thresholds.”
If you can, switch to a bank that doesn’t charge these types of fees, or download an app that helps you keep track of what you’re spending so you don’t encounter them.
Switch to a High-Yield Savings Account
If you have some cash building up in savings, McLaughlin suggested moving it to an account that pays you more interest, like a high-yield savings account.
“The average savings account in the U.S. currently pays less than 0.5% interest, while market-leading rates are as high as 5.26%. Switching for a better rate can earn households $2,029 annually, on average, for free,” he said.
Search for Cheap Entertainment
Cooper said that after the pandemic, people spent more on entertainment to make up for lost time. Now, it might be time to opt for cheaper fun to save some cash.
“Instead, seek more affordable activities such as outdoor activities, video games, free museums etc.,” he suggested.
Save Energy
“The soaring prices of energy lead to people’s increasing living costs,” Cooper pointed out. The good news is, there are many energy-saving tips and tricks that can save you a bundle on your energy bill.
For example, try unplugging electronics when they’re not in use, weather-proofing your home, and lowering the thermostat on your water heater to 120°F.
Use a Cashback Site
Samantha Landau is a consumer expert at TopCashback USA and said if you’re not using a cashback website, you’re leaving money on the table. “TopCashback is a great choice since it guarantees the highest percentage of your money back at over 7,000 retailers nationwide, including Macy’s, Best Buy and Walmart.”
In the same vein, if you are using a credit card that does not provide you with cashback perks, it might be time to change.
Buy Off-Season Goods
Saving money doesn’t mean you have to completely forego decking your house out for the holidays. You just need to know when to shop.
“Buying off-season goods can help people save a lot of money,” Cooper said. “It is optimal to buy these goods at the beginning of the New Year. People may save up to 50% of the cost on some items.”
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