Amherst, NY (WKBW) – Budget and savings tips receive millions, even billions, of views on Tik Tok under the hashtags “Fintok” or “Stocktok”. Some of these tips say they can save you thousands, but is it possible?

“Tik Tok is fun, but they only have two minutes to explain it to you, and I think finances take a little longer,” said Sarah Blankenship, Wilcox Financial’s chief executive in Amherst.

Blankenship believes that saving money – it is getting views in Tik Tok – is good, but says it can be risky. Even Tik Tok warns users: before you follow the financial advice you see in the app, do your own research.

So we talked to Blankenship about three trends to see if they can really save you money.

1. After #BudgetTok
There are a variety of videos where people break their budget into two weeks by showing how they run a magazine or break their budget.

Blankenship says it’s great, but make sure you don’t stick to a religious budget.

“You have to do what works for you, if you really like keeping a journal and taking notes, then absolutely. Some people really like everything there is in their smartphone,” Blankenship said.

How much can you save?
It depends on your income, expenses and how much you can save. One Tik Tok broke it that way for those earning $ 2,000 a month:

Salary №1 Salary №2
Rent $ 800
Food $ 200 $ 200
Utilities $ 50
Internet $ 150
The car $ 300
Total $ 550 $ 1,150
Savings $ 450 -150

2. 50/30/20 Costs
This is a trend that offers you to divide your income by interest:

  • 50%: needs
  • 30%: though
  • 20%: Savings

Blankenship says it’s a great strategy to use, but it’s not for everyone.

“Everyone has a different lifestyle. Some people will need much more money for retirement, some much less,” Blankenship said.

How much can you save?
If you earn $ 2,000 a month and make a 50/30/20 spending plan, you can save $ 400 a month. If you go 60/30/10, you can save $ 200 a month.

3. Problems with stuffing cash
People use envelopes to keep different amounts of cash each week and then open them at the end of the year, which is perhaps thousands of cash. But you can think twice about it.

“It’s risky. It’s in your house, it can be lost or stolen … so it’s usually best to keep it in your bank account,” Blankenship said.

She recommends setting up automated savings in your online account so you don’t even have to think about it.

How much can you save?
If you save $ 10 every week for a year, then in the new year you see $ 520 savings.

For more money tips from Wilcox Financial, click here for their website.

Source link