When I look back at my 20s, I remember being full of energy, dreams, and… poor financial decisions. No one really teaches you how to manage money — not in school, not in college, and often, not even at home. We’re expected to just “figure it out” as we go. Unfortunately, this trial-and-error approach can cost you years of financial stress and thousands of rupees. If I could sit my 20-year-old self down for just one conversation, this is what I would tell them.

Budgeting isn’t restrictive — it’s freedom. For a long time, I thought budgeting meant I had to cut down on all the fun in life. I used to avoid tracking my spending because it felt tedious and limiting. But the truth is the opposite — knowing where your money goes actually gives you control. Once I started budgeting regularly, I stopped overspending, saved more, and reduced anxiety about money. You don’t need fancy tools to get started. A simple Google Sheet or apps like Goodbudget or Walnut can help you gain clarity over your finances.
Start investing early — even if it’s just ₹500. One of my biggest regrets is delaying investing because I thought I needed a lot of money to begin. The truth is, time is more powerful than the amount. Starting early lets you take advantage of compound interest — something I didn’t fully appreciate until much later. Whether it’s mutual funds through SIPs or a basic index fund, even small investments add up massively over the years. Don’t wait to “earn more” — start with what you have.
Credit cards are tools, not free money. My early relationship with credit cards was… reckless. I used them without fully understanding how they worked — especially the sky-high interest rates. I’d make minimum payments, thinking I was handling things fine, not realizing I was falling into a debt trap. Now I treat credit cards like debit cards: I only spend what I can pay in full before the due date. Used smartly, they help build your credit score and give you rewards — but misuse them, and they’ll cost you your peace of mind.
You don’t have to impress anyone with your spending. Peer pressure and social media can push you into a lifestyle you can’t afford. In my 20s, I spent a lot just to “keep up” — expensive clothes, weekend trips, the latest gadgets — all for a temporary high and some Instagram likes. Eventually, I realized no one’s really paying that much attention. True confidence comes from financial security, not flashy things. Living below your means is powerful, not boring.
Learn to earn beyond your salary. In today’s world, relying on just one source of income — your job — is risky. I wish I had explored side hustles earlier. Whether it’s freelancing, selling handmade crafts, tutoring, or starting a small blog — there are countless ways to earn extra. In my case, even a small side income helped me pay off debt faster and invest more consistently. You don’t need to quit your job; just find something that adds value and builds an extra stream of income.
Financial education is more valuable than it seems. We spend years studying math, science, and history — but almost nothing about how to manage money. I had no clue about interest rates, taxes, or inflation. Only after reading books like Rich Dad Poor Dad, The Psychology of Money, and Let’s Talk Money by Monika Halan did I understand the basics. Podcasts and YouTube channels like “CA Rachana Ranade” or “Labour Law Advisor” also helped a lot. Financial literacy isn’t boring — it’s empowering.
Emergency funds are not optional — they’re essential. One medical emergency or job loss can derail your life if you’re not prepared. I learned this the hard way when a family emergency drained all my savings. That’s when I understood the importance of an emergency fund — ideally, 3–6 months’ worth of basic expenses. Even if you can only save ₹500 a month, start now. Keep it in a separate savings account and don’t touch it unless it’s truly an emergency.
If you’re in your 20s, know this: it’s okay to make mistakes — we all do. But it’s never too early to get financially smarter. Money doesn’t solve all problems, but it gives you freedom, peace of mind, and the ability to build the life you want. Start where you are, use what you have, and keep learning. Your future self will thank you.