It's Never Too Early

Hey, millennials, you still have time to save for retirement. Start by establishing good money habits that will help you throughout your lifetime. These ideas may help.

Keep a Spending Journal

To see where your money is going, take the two-week challenge. Write down everything you buy over the next 14 days — even that pack of gum. Once you add it all up, you might be surprised at how much money you’re spending on small or impulsive purchases.

Know What You Owe

It’s easy to lose track of how much you’ve charged to your credit card. If you’re charging more than you can pay off each month, your purchases are accruing interest on top of interest. Plan to pay off the balances. The money you’re paying in interest could make a good start on saving for your future.

Create a Spending Plan

Create a budget that lists all your expenses — mortgage or rent, utilities, insurance, car payment, and include a category for savings. Subtract those expenses from your take-home pay to see what’s left for food, entertainment, clothing, and where to cut. Start with carrying lunch to work.

Make Saving Automatic

You can arrange to have money from each paycheck deposited automatically in your retirement plan or other savings account. Because you won’t see that money in your checking account, you won’t be tempted to spend it.

Pay with Cash

Use cash or your debit card for all your purchases. That way, you can spend only as much as you have in your bank account.

Talk with your financial professional who can help you come up with a strategy for reducing debt and saving more for your future. Also, working with a tax professional may lead to more ways to help minimize the amount you pay in taxes each year.