Recent studies have indicated that millennials appear to have more difficulty paying their bills on time than previous generations. The reasons for this phenomena are debatable. Here are three tips that can make paying bills on time easier for millennials.
Auto-pay for bills can be anyone’s friend for building credit and making sure bills are paid on time. Millennials can especially benefit from this because it can be a way to guarantee their payment is consistent and automatic. The upfront time required for setup will be quickly rewarded. Each month a statement will still usually be mailed or emailed to assist in staying responsible by reviewing your account.
Paying your bills on time for Millennials also requires close supervision of your finances. Millennials are especially notorious for not properly monitoring their bank accounts. Periodic monitoring of banking accounts is a necessity for ensuring that all bills are being properly paid. Make sure to both fully understand your finances and monitor your accounts on at least a weekly or bi-weekly basis. You can even use online interfaces with your bank to check your accounts on an even more frequent basis. Knowing your finances well, including your budget and savings levels will also prevent careless overspending. Do not allow your finances to become so “automatic” that you are you become unaware of your payment situation.
Another perfect way for millennials to pay bills on time is to emulate your grandparents. Earlier generations who frequently are now grandparents are even great grandparents) used very simple and reliable ways for budgeting and paying their bills. These simple ways – such as earmarking cash in envelopes -are fundamentally solid and should be emulated. Although it is unlikely that most people would now choose to use cash in envelopes, this system of financial monitoring and attributing of funds is powerful. Such careful monitoring of funds will help dramatically with on-time bill payment. It will also teach the value of money. This can drastically change a person’s financial view and spending habits. Talk to older generations and gather their wisdom for use in your own life.