Young adults should make it a habit to check their financial accounts on a regular basis, says the National CPA Financial Literacy Commission.
This advice comes after the release of the American Institute of CPAs’ national telephone survey results. The survey found that young adults were three times as likely to check their social media accounts daily versus their bank accounts.
"The first rule of personal finance: 'Be informed,'" said Jordan Amin, Chair of the National CPA Financial Literacy Commission. "It's easier than ever to spend - and it's just as easy to monitor your spending. In particular, young adults, who often have less in savings and large expenses as they begin careers and families, should check their bank accounts regularly to verify that transactions are processed correctly and ensure they're on track to meet financial goals."
The National CPA Financial Literacy Commission offers the following tips to help young adults check their finances:
- Make it a habit to check your accounts via ATM, bank branch or your bank’s website every Friday. This will give you a detailed summary of your transactions and available balance going into the weekend, when you’re more likely to spend without discretion. Remember, if you log into your bank’s website, do so securely from your home network and never save passwords on your computer or mobile device.
- Once a day, check your online bank account for any discrepancies.
- Sign up for text alerts with your bank. You will get an automatic alert when your balance reaches a predetermined amount or certain transactions, such as withdrawals or direct deposits, occur on your account.
- Set a recurring reminder to check your retirement and long-term financial planning accounts quarterly.
The AICPA and the Ad Council also offer a financial education program called Feed the Pig that is aimed at young adults, aged 25 to 34. The program features free tips and tools to help with tasks such as creating budgets, increasing savings and setting financial goals.