A study of millennials, those around 18 to 35 years old by Northwestern Mutual, found them to be anxious, worried, sick, and often depressed about their debts and finances.
The study found about 70% of this generation experienced anxiety because of their incomes, and 53% because of worries in losing their jobs. More than a quarter of them admit that their financial stress impacts their job performance. Of course it would! Imagine a lot of debt and barely being able to make it through the month. Now your boss wants to see you. What do you think is one of the first things to flash through their mind? Oh boy – I might lose my job. And what do you think the odds are that someone in financial stress will every stick their head above the crowd or would ever make any suggestions for fear of being targeted? No chance.
Their cell bill gets paid on their credit card, one paycheque is wiped out with rent, the other will their car payment, utilities, and other necessities. Then the credit card for spending money to keep up appearances while they’re sinking further into the hole.
It’s not a fun way to go through life – whether it’s older adults, or those just out of school and now working. That kind of stress leaks out. It’ll manifest itself in physical sickness or depression. But that happens when nobody is around. I’ve been there – I’m not making this up! To the world, and most often to their parents, they continue to put on their happy face as if everything is great.
There are solutions. They’re not complicated and won’t take all that long to implement – honestly.
First, get down to Mosaic, or go to Amazon, and invest the $20 in the Money Tools and Rules book. No, it’s not a cop-out for me to make a net of $4 from you. One-third of the book is literally targeted to millennials. Three chapters in there will give you the tools and confidence to change your life around. You may not do it – but that’s up to you. Here are a few steps that will decrease your financial stress in a hurry:
Pay out your cell contract and switch to a 2nd tier carrier like Koodoo or Fido for around half of what you’re paying. There’s $60 a month
If you have a credit card balance, switch it to one that’s 11% not 20% and no annual fee. On a $4,000 balance, there’s $150 or so a month
No more lunch, snacks, or coffee out until you get your finances under control: Your work has coffee – no it’s not the same, but it’s free! There’s probably $200 if you were to be honest with yourself.
$400 saved right there is the same as a $600 raise. Now get a no fee savings account and put at least $75 a paycheque in there. Within six months you’ll have $1,000 in emergency savings and $2,400 less spent that’ll show up in your lower credit card balance or chequing account.
There’s more – but just do this for a six month test drive. If you’re overwhelmed, email me off the back of the book at yourmoneybook.com