A lot of the biggest money mistakes younger generations make are pretty straightforward. Taking money issues seriously from a young age means you will have more of it, rather than the problems they can pose in the long-term.

Managing your money can be tedious, but spending can be easy. Gen X’s and Baby Boomers shouldn’t get too smug about this issue because of lot of these problems ring true for them as well.

Young people get too credit happy.

The most obvious mistake younger generations make in regards to credits cards is that they think about credit as being money without cost.

It might seem silly to point this out, because deep down we all know that money on credit cards is borrowed and does involve a cost, but still every young person has that friend who continued to accrue credit card debt.

Most young people have few serious financial responsibilities – they don’t have family to support, they’re paying off a car and they don’t have the pressure of a mortgage.

This can lead to people being less disciplined with their finances, and only thinking about the short term, tomorrow can take care of itself.

 

Long term poses big problems, if you get behind on payments it can affect your credit rating so later down the track when you do want to commit to a loan suddenly no bank will take you.