You may have heard about it - The Australian columnist Bernard Salt poking the bear recently when he suggested that millennials should sacrifice their expensive smashed avocado on toast at hipster cafes, to save for a house deposit.
But enough about everyone's brunch favourite..
More importantly here are some real, practical ways millennials can save for a deposit quicker, without sacrificing that which shall not be named.
Get in the right head space
It sounds self-explanatory, but mindset really is the single most important part of saving. Every other piece of advice comes straight back to mindset, because you really need to want to save for your home, not because you think you should. Everything else is secondary to that.
Keep a money diary
Keeping a journal of when you spend and how much you spend is an important part of your goal setting. It is about being vigilant and holding yourself accountable.
This doesn't mean you must have a full-blown budget, start off with an exercise book and every time you spend money, write it down.
Remove your ego
In the age of social media, there is undoubtedly a lot of pressure to keep up appearances and battle this relentless need to be “interesting”. But if you want to get your foot on the property ladder, switch off..put your ego and pride aside to realise the ‘not needed’ things.
Leave your debit card at home
When you’re heading out and you know your bad with money, pull out cash and leave your debit and credit card at home.
Leaving your cards at home means it is not an option to lose control of money and wake up to a disaster the next day.
Make shopping lists
Everyone can be an impulsive buyer, it’s human nature. But shopping lists force you to ask yourself what it is you actually need. Write down what you need and from what store you will get it from, then go through the list and leave.
Have an accountability partner
This is to make sure your savings stay as your savings. It is someone to keep you accountable in those moments you can’t keep yourself accountable.
It’s making a commitment to someone - someone you don't want to disappoint.
Keep on the lookout
Constantly keep a look out for ways in everyday life to free up cash, even when you are on the right track and kicking savings goals.
Put your tax return straight into that savings account you cant access - most people when they get their tax return go and splurge.
Do all of the above, and maybe you’ll find yourself in your own home sooner than you think, eating home-made smashed avo to your heart’s content.
Contact us today on (08) 6200 0269 or firstname.lastname@example.org for some more friendly advice about your options.