Experts show how to help young workers manage salaries for sustainable accumulation
Although wages have improved after a few years of working, many young workers still find it difficult to increase savings.
Salary increases but savings are still modest
After a few years of working, many young people have had significantly higher salaries than when they first graduated. However, along with increased income, there are a series of expenses for housing, education, health and experience, making accumulation more difficult.
Working in the media field in Hanoi, Ms. Phan Huyen (28 years old) said that her current income is almost double compared to when she first graduated. However, after paying for rent, living expenses, extra skills and health care, the remaining amount to save each month is insignificant.
I used to think that increased income would save more. But in fact, when income is higher, spending needs also increase accordingly. I still try to save a sum each month, but some months I only save a few hundred thousand VND," Ms. Huyen shared.
Meanwhile, Mr. Ngo Hoai Nam (29 years old, information technology employee) prioritizes spending on travel, sports and professional development courses because he considers these investments for health and career.
I don't aim to save at all costs. I want to have more experience, invest in health and learn more when I'm young. Even though I know that makes the accumulation rate slower than expected, I still think these are necessary expenses for the future," Mr. Nam said.
Need to identify financial goals early
According to Mr. Doan Ngoc Hung - Director of Property Management, FIDT Investment Consulting and Asset Management Joint Stock Company - the fact that young people prioritize spending on experience, health or personal preferences reflects changes in the perception of quality of life and how to use income.
If prioritizing experience, spending will focus on that need. If aiming to accumulate long-term assets, it is necessary to clearly identify priorities according to each stage of life," Mr. Doan Ngoc Hung said.
According to experts, the important thing is not to cut all expenses to save, but to identify financial goals that are appropriate for each time. With a clear orientation, young people will easily balance between current needs and future accumulation plans.
Each person will have different goals. The important thing is to know what you are prioritizing to allocate resources reasonably, instead of spending according to inspiration or without a plan," Mr. Doan Ngoc Hung shared.
According to Mr. Hung, many young people have not yet formed the habit of saving and investing early.
In the 20-30 age group, young people need to set goals to increase income, manage spending and determine how much they will save each month. To balance between accumulation and enjoyment, prioritize saving first, then allocate the budget for personal needs expenses," Mr. Hung emphasized.
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