Money in your 20s or early 30s can feel like it disappears as soon as it arrives. Salary comes in, then suddenly rent, transport, data, food, contributions, and small weekend enjoyment take all of it. It’s easy to feel like you’re working hard but not really moving forward. Financial planning is how you take back control. It is not something only “rich people” or finance experts do. It is simply about deciding what you want your money to do for you, and then making a simple plan to get there.
In this guide, we’ll walk through the basics of financial planning in clear, simple language. We’ll use examples that make sense if you live and earn in Ghana, and we’ll link to helpful articles on the Fido blog so you can read more on any topic that interests you.
Financial planning is just a plan for your money. It helps you answer questions like:
You don’t need complicated terms to do this. You only need three things: Clear goals, a basic idea of how much you earn and how much you spend, a few simple habits, like saving, managing debt, and planning for emergencies. If you want to understand why this is so important, especially in a place like Ghana where emergencies and rising prices can quickly destroy your plans, you can read Why Saving Money Is Important: Your Guide to Financial Security in Ghana.
The steps that follow are designed to help you start that journey in a simple, practical way.
Before you start budgeting or saving, it helps to be clear about what you are working towards. Many young adults say “I just want to be comfortable” or “I want to be rich”. Those ideas are fine, but they are too general to guide your daily decisions.
Try to think in terms of short-term, medium-term, and long-term goals.
In the short term, maybe you want money for a rent advance, a new laptop, or a small trip. In the medium term, you may want to start or grow a business, pay for a course, or build a stronger emergency fund. For the long term, you might dream of owning land or a house, building serious investments, or planning for your children’s education one day.
Instead of saying, “I want to save more,” say something like, “I want to save GHS 3,000 for rent advance in the next 18 months,” or “I want to save GHS 1,000 as a starter emergency fund by the end of the year.” The more specific you are, the easier it is to plan and stay motivated.
You can’t plan what you don’t measure. The first practical step in financial planning is understanding how money flows in and out of your life. For at least one month, write down every cedi that comes in and every cedi that goes out. This includes salary, side hustle money, mobile money transfers you receive, and any other income.
On the spending side, note your rent, food, transport, data, airtime, contributions, church, entertainment, and even “small small” things like snacks. You can use a notebook, your phone’s notes app, or a simple spreadsheet. The goal is not to be perfect, but to see clearly:
Once you know this, you can start to create a simple monthly plan. You might decide a certain amount goes to needs like rent, food and transport, another amount goes to wants like eating out, Netflix or chilling with friends, and a fixed amount goes into savings and debt repayment. If your income is small or irregular, this can feel hard at first. A helpful article to read is How to Start Saving on a Small Budget, which shows you practical ways to create room for savings even when you think your income is too low.
Life is full of surprises. A broken phone, a hospital visit, or sudden job loss can happen at any time. If you don’t plan for these things, they can push you into expensive loans or completely wipe out your progress. This is why an emergency fund is so important. An emergency fund is simply money set aside only for real emergencies, not for normal monthly expenses or enjoyment.
Many experts suggest saving three to six months of your basic expenses as an emergency fund. That might sound like a big number, so don’t let it scare you. You don’t have to get there in one step. You can start with a smaller target, like GHS 500 or GHS 1,000, and then build up from there. Learn how to build an Emergency Fund Step by Step, choose a target amount and how to reach it little by little.
An important point is where you keep this money. Your emergency fund should be safe and separate from the account you use for daily spending, so you are not tempted to touch it. At the same time, it should be accessible enough that you can use it when you really need it. To understand your options, you can read What Is a Savings Account and How Does It Work?. If you prefer something digital and easy to manage on your phone, you can also look at EasySave, which lets you earn interest and still acces your money when you need it.
Many people say they will save “what is left” at the end of the month. But often, there is nothing left. Bills, impulse spending and small “here and there” costs absorb everything.
A better way is to “pay yourself first.” This means that when money comes in, you move a fixed amount into savings before you start spending on anything else. You treat your savings like a bill you must pay to your future self.
The amount does not have to be huge. You can start with something like GHS 50 or GHS 100 a month, or even less, as long as you do it regularly. As your income grows or once you clear a debt, you can increase the amount.
To learn more about practical saving habits, you can read 10 Smart Habits That Can Help You Save More Money. It explains how simple actions like paying yourself first, tracking your spending and planning your purchases can gradually turn you into a consistent saver.
It also matters where you keep your savings. Keeping large amounts of cash at home, in a susu box, or with someone you “trust” can be risky and does not earn you interest. Digital Savings Accounts: Why They’re Safer and Smarter explains why regulated digital savings products are usually safer and more rewarding for your money. For more general ideas, you can also check Saving Money in Ghana: Practical Tips & Smart Savings Solutions and How to Save Money: Daily, Monthly and Long Term.
Debt is not always a bad thing. It is a tool. Used well, it can help you move forward. Used wrongly, it can hold you back for years. Debt can be helpful if you are using it for something that can grow your income, like stock for a business that already has customers, or a professional course that clearly improves your earning power. Debt becomes dangerous when it is used mainly for lifestyle spending, like constant phone upgrades, unnecessary clothes, or parties.
A good place to start is Understanding Debt and How It Works. If you already have debt, gather all the details in one place: who you owe, how much you owe, what interest rate you are paying, and how much you must pay each month. Then, create a plan to clear them in an organised way. Many people find it helpful to focus any extra money on the debt with the highest interest rate, while still making the minimum payments on others. This usually reduces the total interest you pay over time.
Sometimes you may face a choice: should I save up and pay cash, or should I borrow now and pay later? especially in an environment where prices can change quickly. If you want to compare different loan offers, Understanding Loans: What Makes a Good Loan, and How to Compare Loans is a helpful explainer.
Saving is about protecting your money and preparing for short-term needs and emergencies. Investing is about growing your money over the long term. The most important idea in investing is compound interest. This means your money earns returns, and then those returns also start earning returns. Over time, this can make a big difference.
You don’t need a lot of money to start investing. Even small regular amounts, like GHS 50 or GHS 100 a month, can add up when you invest consistently for many years. What matters is starting early and being patient. However, you should not rush into investments you don’t understand. Before you put money into things like mutual funds, treasury bills, or any other product, make sure you know how they work, what the risks are, and how you can get your money back if you need it. A good rule is: if you can’t explain it in simple terms, you may not be ready to invest in it.
Remember: first build your emergency fund and basic savings. Then, as you become more stable and comfortable, start putting part of your money into long-term investments.
In Ghana, your credit history and credit score are becoming more important each year. Lenders and some financial institutions use them to decide whether to give you a loan and at what interest rate. You can learn more about Credit Bureaus: What Are They and What Do They Do and your Credit Score?. They explain how your borrowing behaviour is recorded and how it affects your future.
The basic rules for a good credit history are simple. Always pay your loans on time. Avoid borrowing from many places at the same time. Try not to max out every credit line you have, and only borrow what you can realistically pay back. Over time, these habits can help you get better loan offers and build trust with formal financial institutions.
Financial planning is not something you do once and forget. Your life will change, and your money plan should adjust as well. The easiest way to stay on track is to create a small routine and repeat it. For example, on payday, you can move a fixed amount into your savings or EasySave wallet before you start spending. You can also set aside money for key bills like rent, transport, and utilities so you don’t have to struggle later in the month.
Once a week, take a few minutes to check your bank or mobile money balance and see how you are doing compared to your plan. If you notice that you are spending too much in one area, like food delivery or night-outs, make a small change the following week. At the end of the month, check how much you managed to save, and how you feel about your spending. If it was easy, increase your savings amount a little. If it was very hard, look for one cost you can reduce. For more ideas on building these routines, see How to Save Money: Daily, Monthly and Long Term.
Most young people are not bad with money. They are simply learning as they go, often with little guidance. Still, some common mistakes slow people down. One big mistake is saving in the wrong way. Many people leave money in accounts that pay almost no interest, or they save in places that are not safe or regulated. Over time, inflation eats away at the value of their money. The Savings Habit That’s Costing You More explains how this happens and what to do instead.
Another common mistake is trying to save without any plan. If you simply say “I will save if something is left,” you are likely to end the month with nothing to save. That is why paying yourself first is so powerful. Many people also ignore the idea of an emergency fund. When something unexpected happens, they have no buffer, so they borrow at very high interest or sell things quickly at a loss.
Lifestyle inflation is another silent trap. Each time your income goes up, your lifestyle grows even faster — more eating out, more subscriptions, more unnecessary spending. If you are not careful, you can earn more than before and still feel broke.
If you want to understand these mistakes more deeply and learn how to avoid them, you can read Top Mistakes People Make When Trying to Save.
If you are in your 20s and feel like you are starting late, you are not alone. Many young adults realise in their mid-20s or even late 20s that they have been working for years with no real savings. The good news is that it is not too late. You still have time on your side. The important thing is to start now, even with small steps. A very encouraging article to read is No Savings in Your 20s? Here’s How to Start Building Wealth Now. It shows you how to move from zero savings to a better financial position by focusing on simple, repeatable actions.
You don’t need to change your entire life in one month. You can start by tracking your spending for a few weeks, opening a proper savings or digital savings account, and sending a small amount of money into it. Then repeat that, month after month.
Financial planning for young adults is not about being perfect or never spending on anything fun. It is about being intentional. It means you know what you are working toward, you understand your income and expenses, you protect yourself with an emergency fund, you save regularly, you manage debt wisely, and you slowly begin to invest for the future. You do not have to do this alone. The Fido Learn hub has many short, practical guides on saving, loans, debt, credit scores and more, you can also explore EasySave, which lets you earn up to 10% interest while keeping your money accessible.
Start small. Start today. Even one small step, repeated often, can completely change your financial future.
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