How Gen Z Can Avoid Making these 6 Money Mistakes, by Frich’s CEO

Money Mistakes Can Start Early, and Gen Zers at Risk of Making Some Big Errors, Accounting to Katrin Kaurov, The Ceo and Cofounder of Social Financial Frich.

She Says Modeling BetWeen the ages of 14 and 24 taught her to manage her Money in a way many that age have to have to.

“I WOULD SPEND THREE MONTHS IN Milan, Three Months in London, and Three Months in Hong Kong,” Kaurov Told Business Insider. “So I Basically Had to Become Finanibly Independent and Be an Adult at the Age of 14, 15, 16 WENE EVEREONE ELSE WAS GOING TO PARTIES.”

When she moves to new york in her 20s, kaurov realized this wasn’t the norm. She saw her friend flounder when it came to their finance. They had no clue how to manage their Money, yet seamed to be living lavis on social media.

Kaurov and Her Friend Aleksandra Medina Founded Frich in Response to what they saw, Aiming to Help Young People “Radical Transparency and Honesty” Around Money.

“Money Shouldn’t Be Lonely and Sad and Anxiety-Inducing,” Kaurov Said. “We know that Money is Behind every decision that you make in life, and it doesn’t have to be scary.”

Here are some of the Biggest Mistakes Kaurov Thinks Gen Zers Are Making, and What They Can to Fix.

1. Believing Everything on Social Media

Social Media, Especilantly Tiktok, is full of Financial Advice. Not all of it is good.

Kaurov Said that while tiktox and Instagram reels are great for opening up the conversation About Money, Much is “Not Really Verified.”

“You see a 17 -ear-op tiktok who is like, this is how I how i how a seven-fiurer business overnight, i’m 17 and i’m already retire. “It creates an idea that geni z has it together with Money, when in reality, Most People Don’t.”

Young People Shouldn’t Compare The Thief to these Posts, Kaurov Said, and Instead of their Own Goals and Aspirations.

2. Not getting Real About Credit Card Debt

Gen Zers Are Racking Up A Lot of Credit Card Debt. They need to get real about this if they’re’re going to face all of their challenges, kaurov said, Such as saving Enough for a down payment on a house.

Social Media, Again, Plays a part here. “Especifly in Cities Like New York or London, it just seames like everyone is Having dinners out and they go on these Amazing Trips,” She Said. “IT JUST MAKES YOU WONDER, WAIT, WHY AM I ALWAYS BROKE? Am I doing something Wrong?”

You Never See Whether Your Peers are in Debt, “Which Most of The Say,” Kaurov Said.

“You never really see the Truth. Maybe Their Card is Getting Declined at the Restaurant.”

3. MAKING BUDGETS Too Restrical

Kaurov Said People Can Create Budgets With Too Much Enthusiasm and Optimism for How Little Money they will Spend from month.

She Said a budget should be about creating a realistic guideline for spending and saving – and if it is too restrint, then repthink it. “Trial and ERROR is crucial and will allow people to find what kind of budget works best for say.”

4. Not Setting Aside Enough Time

Kaurov Recommends Young People Set Aside About 30 minutes a Week for a “Money Date.”

“The Same Way We Review Our Fitness Goals and Our Career Goals,” She Said. “Review What You Doing With Money, what are your goals, where are you going?

“HAVING A MONEY DATE WHEN YOU ACTUALLY REVIEW WHAT YOU’RE SPEING ON, AND Go Step by Step.”

5. Reliance on BNPL Apps

Buy-Now-Pay-Later (BNPL) Services Such as Klarna and Affirm have made it Easier than Ever to spend.

Kaurov warned that relaying on say can be catastrophic. “Recently, I were to a bar and i saw that you can have for your drink with afterpay,” She Said. “I was essentially taking a micro loan to have a drink.”

Its a sign that things have gone too far, kaurov Said. “That is one thing that i would really highlight for People to be Careful.”

6. Waiting Too Long to Start Investing

When it is comes to investing, “you just need to get started,” kaurov Advised.

She waited years to start Investing, but Said it doesn’t have to be daunting.

Kaurov Said She Started Micro-Investing-Setting Up Automatic Investments Eivery Week-and It Only Took About Five Minutes.

“Things are not as hard and scary as they look,” she Said.

Kaurov added that being in your 20s really works in your favor gcause smaller controlbutions, like $ 50 a month, add up over time.

“I always like to compare that to runNing a marathon. You’re never going to do it on day one.”