How To Manage Your Money in Your 20s

This post contains affiliate links. Please read my disclosure for more info.

This post contains affiliate links. Please read my disclosure for more info.

In this post, I will be talking about how to manage your money in your 20s.

I have a CONFESSION to make!

My name is Grace, and I have a very bad money and spending habit. As at the time of writing this post, I literally do not have any savings.

It is a well-established fact that building habits, in our 20s is very important for long-term success. Simply put, the kind of life we will have in our 30s and 40s (including wealth) is largely determined by our habits and the decisions we make in our 20s.

That said, I am 29 and will be 30 by September and thing I regret most is not developing a good money habit. Now, I’m getting myself to believe that I can change this before I’m 30. The change here may not be a complete system overhaul, it might just be a start of something.

These are things I intend to (or have begun doing) to manage my money, but I am writing it as an advice to those in their 20s and any other person who may find it useful.

The content may not be new, but it contains many pieces of advice that are worth repeating.

So, Here’s How To Manage Your Money in Your 20s

1. Get a Financial Plan. 

I’ve never had a financial plan. This year, I’m going to try it out. I have created templates to help and have downloaded some too. Having financial plan is a very vital way of managing and tracking your money. I am going to use this to keep record and track of my expenses, incomes, savings etc.

2. Budget your spending.

This is a hard one for me. I don’t usually budget my spendings. I just spend on the go. But I do create working budgets for my business, so I know its importance. Sometimes I find it difficult bringing ethics that work for my business and applying them to my personal life. This will be a worthy trial.

3. Increase Your Financial Knowledge base.

Becoming financial savvy can take a while. But the process is enhanced when we take steps to increase our knowledge of financial management. So, I am signing up for online financial courses, reading books and materials to enable me to gain adequate knowledge that can help me make good use of every kobo or cents.

4. Control your Spending

Now, this is a big one for me. While I have not really figured out what to do exactly to make this happen I am going to try this few tips:

Use my budget to track what I actually spend money on, track my purchases and see how they stack up agaimst the ideal and then cut back on some areas;

Change my perspective on individual buys by thinking about how much my habits or lifestyle will cost me in a year or two;

Budget everything and wait 72 hours before making any impulse buys to see if it’s something I really need.

5. Invest. 

Use your money to make more money.

6. Save.

Saving money can be really challenging especially with unexpected expenses and emergencies. But there are many things we can do to simplify the process.

7. Automate your money in order to invest, save and pay bills on time.

That’s it friends –how to manage your money in your 20s. I hope to write more on this later when I get a full grip on this topic. For now, this is where I am and will be working from.

How do you manage your money? What financial advice will you give a 20 something? Comments, please.


  1. I guess one of the greatest pieces of advice I’ve heard about managing money would be ‘Dont save what is left after spending, spend what is left after saving’.

    Also, I try to keep money in my wallet at the best minimum level possible, ‘cos you know money is like a spirit☺

    1. That advice right there is my take home. I love it.
      Thanks for stopping by.

  2. you’ve got months, you can make a big change before your birthday!

    and automating makes it so much easier to save/invest.

    1. True. Thanks for the encouragement.

  3. Great tips!

    1. Thank you.

  4. Great tips in the 20″s that can make you rich in your 30’s if the money is well- managed and put to us. These tips are road to financial freedom for now and then. Thanks for this great insight.

    1. You are welcome. Thank you for taking time to read.

  5. Debrah says:

    I wish that I’d been thinking like this back when I was in my 20’s! Very good ideas Grace and thanks for sharing them.

    1. I believe you can still do somethin about it. It’s never too late to get started on a goal right?
      Thank you so much for stopping by.
      Glad to have you.

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