Starting your career in Bangladesh can be both exciting and daunting at the same time. However, it is important to properly manage your money. If you can develop a few easy-to-implement financial habits at the start, it will help you avoid debt, save money, and become financially secure.
Financial habits may seem small at first; however, they will ultimately change your financial situation over time.
Keep Track of Your Income and Expenses
The first step to achieving financial security is knowing where your money is going. Young professionals in Bangladesh should develop a monthly budget, so they can follow their income, expenses and savings. Keeping track of all this information can be difficult, but using mobile phone apps or spreadsheets can make it easier to keep your records manually. After starting to record your income and expenses, you will have a sense of where you can cut expenses to save money or invest later.
Have a Reserve Fund
Having an emergency fund is important to set aside money for cases such as a medical emergency or unexpected job loss. The best advice is to save three to six months of living expenses. In Bangladesh, you can put your emergency savings into a strong savings account or fixed deposit account, this will help make your money safe, and earn you about three percent interest .
Look for Investment Options
One of the best ways to build wealth is to start investing early! Young professionals, particularly those in Bangladesh, could consider mutual funds, government bonds, or stock markets as options. To effectively use your investment aside from investing it, review or research local financial blogs, web sites, or articles that you trust. For example, to help you get started, we recommend continuing to read through our investment guide for young professionals in Bangladesh to help you with options that are appropriate for first time investors with advice on either mutual funds and/or investing strategies.
Don’t Get into Unnecessary Debt
While credit cards and loans are accessible options, taking on debts you wouldn’t otherwise incur can stagnate your financial progress. Pay undue attention to high-interest debts and confer with reason before taking on any loans. Always compare the interest rate for loans with local banks before borrowing.
Automate Savings
Automating savings is a simple yet powerful habit you can develop. This involves setting up automatic monthly transfers to a savings account or investment fund separately. This makes saving on a monthly basis unattached to your effort into savings.
Ongoing Financial Education
Financial literacy is a lifelong process. Books, webinars, and reputable finance websites in Bangladesh are great ways to educate yourself and make wise decisions. Educating yourself about personal finance early can also prepare you for larger financial decisions, such as buying a home or a business.
Create Habits, Create Wealth
For young professionals in Bangladesh, creating simple financial habits is the foundation for long-term security. Track your expenses, save consistently, invest wisely, and continue your education. If you commit to holding yourself accountable and educate yourself, financial independence is certainly possible.
Read Also: Best Bangladeshi Apps for Payments and Delivery
