Are you ready for 1 more challenge in 2016?

I’m a 20 something millennial and I realized a lot of my peers seem to very little or no concepts of savings or financial knowledge. They spend at will on whatever they fancy and choose to go for the most luxurious goods. They plan very little for the future and they are just living paycheck to paycheck.

Of course there are those who have the right mindset and start early to save up and grow their savings with time. If you are not there yet, don’t worry and don’t be disheartened. There is time so just do your best now. In fact I want to challenge you to start now and take the first step in securing your future.

I am sure you all heard it before, “Aim to at least save 10% of your monthly income, more if possible.” But why is it so hard to do?


Habits and Consistency 

Here’s what I believe, to me savings is about building the right habits and being consistent. You can’t start saving for a month and then decide that you did such a good job so you spent everything that you’ve saved. Well, of course you can but then you’ll be back to square one.

I’m not against spending money but only when it’s a necessity or when you have excess income. In fact recently I went to bought some games on Steam, (Yes I still play games, some games are really good.) but I waited till the autumn sales where everything was 50% off. I also set aside a sum for this and made sure to keep within and not overspend.

The key is to make sure as time passes, your savings are growing and not decreasing. Spending more than what you earn is a sure way to get yourself into big big trouble.


Challenge yourself

The simplest way to begin saving is to follow a budget. What I want you to do is to set up a budget on how much you intend to spend and save per month.

Now be clear and precise on the numbers for the different kinds of expenses. The amount for your travelling, food, savings and other areas should all add up and be the same amount as your income.

Now the challenge is, for 21 days you need to keep within the budget you set for yourself.


Why 21 days? 

Because most habits take 21 days to form so we are aiming build better habits. After 21 days it will also be close to the new year. So it’s the perfect way to begin 2017!


Let’s look at where you belong 

  • If you haven’t a clue on how much you spend every month 

Now is a good time to find out.

Your challenge is to set up a budget and try to keep within it. You can check out this article from Jacob@PowerOverLife on how to create a great saving plan.




  • If you know how much you spend per month but struggle to keep within your budget.  

Your challenge is to continue to try to keep within your budget while doing your Christmas shopping! If you find trouble trying to consistently keep within your budget, check out this great article on cutting expenses from Jim@RouteToRetire



  • If you can consistently keep within your budget, give yourself a pat on the back!

Keep up the good work and let’s aim even higher!

Your challenge is try to start a side hustle and see if you can grow your savings. Not sure where to begin? FinancialPanther has some pretty cool ideas on side hustles that’s making him money while having fun at the same time!



Give yourself 21 days and monitor your progress. For me, I’ll use this challenge to see what side hustles I can begin in my free time. More than 20 days till the end of the year, I should be able to start on something.

At the end of this challenge I want you to remember that,  it’s about progress and not perfection. We get better in small consistent steps. So let’s build up the right habits, let’s take on the challenge and let’s work towards beginning 2017 with a winning start!


Let me know in the comments the problems you face when you first started to save and how did you overcome them? What advice would you give your 20 something self now if you could? Thanks for reading and have a great day!

6 Replies to “Are you ready for 1 more challenge in 2016?”

  1. Thanks for the shoutout! These are all great things that anyone can do. At minimum, people should try to have an idea of the total amount they spend every month. What’s the surplus you have? You don’t need to know the exact amount (although it’s nice to know that), but you should at least have an accurate idea of what’s going out the door.

    1. Hey FP, that’s totally right! It’ll be great if you know exactly how much you spend a month but at minimum you should try and keep track of your expenses. You’ll be really surprised what you spend on at times!

  2. Thanks for the mention, Terence!

    I was always a good saver, but then got hit with credit card fun in college. After graduating, I toyed with Quicken and was shocked to realize just where I was with debt. I worked hard for the next few years getting that paid off. Once I was done, I just continued to save and I’m getting close to the point of Financial Independence.

    You ask what advice would I give my 20-something self looking back (I’m now 41!!)? Your 20’s are where you can make it or break it. You’re in a great position because mentally you’re already thinking about your finances. The key during that time is to earn a high wage, save a high percentage (so you get those years of compounding and growth early on), and look at other options like investing in real estate, working for yourself, etc.

    If I had done that in my 20’s instead of 30’s, I would already be financially independent and working just because I enjoy it and not because I have to.


    — Jim

    1. Hey Jim, thanks for the advice man. I am sure most people in their 20s are beginning to get their own cards and learning about the pros and cons of a card. I think it’s really good and sound financial advice you’re giving, especially since you’ve gone through it.

      Anyway I like the bounce back ability, you learnt from it and came back wiser. Nice job!

  3. You asked: what problems you faced when you first started to save and how did you overcome them?
    For me, I had the biggest problem detaching myself from subscription services. Netflix, hulu, pandora or spotify, the gym, etc. All of these have monthly subscription fees. I finally noticed how many of these I had and realized that it was a HUGE chunk of money each month. I canceled all of them and was instantly saving 100+ each month! So if you need a place to start saving money…look at the subscriptions that you have.

    1. Hey this is really good advice! Sometimes we sign up for so many subscriptions until we don’t keep track of them and we’re not fully utilising them. Cutting some of them off is a really quick way to save.

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