What To Do With Your First Salary?

Are you young, wild and free? This post is for you. If you’re young, but not wild and not really free, this post is also for you.
Young investors, here is a financial plan for you, a framework to manage your monthly income. If you have just started working, this is what you start doing with your first income.
For every 1000 you earn:
500: You can spend up to 500 – that’s your money: your petrol, your food, your installments, your utilities, your rentals.
200: You keep 200 in your emergency fund, a liquid fund – this is equivalent to your 6-month income. The idea is to have something safe in case you couldn’t work for 6 months.
100: This is for insurance or takaful protection.
100: Another 100 for investment such as unit trust, stocks, and many more – something you don’t cash out before 50yo.
100: The remaining 100 is for your education e.g. financial education, soft skills, self-branding.
This is the model that gets you a good start in life and balance your lifestyle. When you have enough in your emergency fund, it is time to step up your game, and that is for another post.
#financialgoals #financialfreedom #financialplanning #financialeducation
#personalfinance #moneytips #moneytalks

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