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What are 10 financial tips for a 21 year old who just passed out of college

A youngster who is about to start his career and fortune building must follow certain financial discipline in his/her life. The extent of this depends on the level of your determination to be successful in life. Here are 10 financial tips for a 21 year old who just passed out of college.
  1. You should embrace good financial habits. Write your expenses and control them. keep a check, where your money goes.
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  2. Setting SMART goals is important for your career, financials, and life.
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  3. Don’t just save but invest your money. The inflation rate reduces your purchasing power so only saving is not enough.
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  4. As a beginner, start investing in Mutual Funds with SIP. Know the magic of SIP. The power of compounding with SIP will help you grow your money. Start early as possible.
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  5. Don’t procrastinate investing decisions because you have debts to clear. Investing is equally important as clearing debts. Plan clearing your debts. Start with higher interest rate debts.
  6. Repay the home loans as quickly as possible. The First 5 years are crucial to reducing the burden of the interest rate. So any windfall, bonus, a lottery will go directly to reduce such loan.
  7. Give a day when you are thinking to buy any big thing. That day will reduce your urge to buy unnecessary things/liabilities. Be sensible and wise while purchasing anything. Buy Assets not liabilities.
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  8. Eat out less. Homemade food is good for health anyway. Don't order food from outside even if it is more convenient nowadays. The offers, cashback is a Big lie.
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  9. Keep this in mind, Don’t buy insurance as an investment. Insurance has its own purpose. Get one Pure Term Insurance plan which will give you maximum coverage with less premium and one health insurance plan. This is minimum insurance requirement you should think about.
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  10. Considering beginner in investment, don’t hesitate to get help from Financial Advisor or Mutual Fund Distributor (for Mutual Funds).
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    There are many other tips and advice like reading or watching shows about personal finance, investment. Advice about getting a good job. Starting a side hustle for passive income. Important is a good start. Only you can change your life for the better.

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