What Should I Do First with My First Paycheck as a Newcomer to the Workforce? (Looking for Personal Finance Advice)
This month is the first time I'm getting a paycheck, but now that it's actually hit my bank account, I don't know what to do. My parents just tell me to save, and on YouTube everyone talks about housing subscription accounts or ETFs, but I don't know what to prioritize...
Here's what I've heard from people around me:
1. Open a housing subscription savings account no matter what (you'll regret it later)
2. Keep about 3 months' worth of emergency funds in a parking account
3. After that, look into pension savings or an ISA
4. Never invest in stocks with borrowed money
Is this the right order? Or are there other priorities? My monthly salary is about 2.3 million KRW after tax. Any advice would be appreciated.
7 answers
Number 1 is an absolute must. I opened mine late at 27, and now I'm taking a huge hit on my housing subscription points 😭 This is the truth, so just open it right away.
Well, that order isn’t necessarily the right one. An emergency fund comes before a housing subscription. Putting a few tens of thousands of won into a subscription account is fine, but saying you should always lock money into the subscription first before you’ve built up a lump sum is a bit risky. If something suddenly comes up and you need money, breaking the subscription is the biggest waste.