I am currently 28 years old and one of the things I often ask myself is - "If my 38 year old self came to visit me, would I be happy and/or impressed with what she has done with her life?" Pretty much every single major life prediction I've made in the past has been incorrect so I don't bother making predictions anymore. But, there is something I'm sure of - the more financially secure you are, the better off you'll be.
Thus, I'm going to ask the following: Think about where you'd like to see yourself in 5 to 10 years, and think about what action steps you can take NOW to achieve your goals. Your plans will almost certainly change and unexpected things will pop up. But if have enough money, you will always land on your feet.
What are some examples of how being diligent and smart with saving and investing TODAY help you in the FUTURE?
1) If you lose a job because the robots have taken over, you'll have a safety cushion.
2) If a relationship ends, you'll have a safety cushion.
3) If an unexpected emergency pops up, you'll be able to attend to it without suffering any financial setback.
4) If you suddenly decide that you want to film a documentary about plant life in the Amazon jungle, you'll have the financial resources to do so.
5) You can spend money on your family and best friends. That is a major plus for me!
Saving and investing now is relatively simple - have a portion of your income be automatically deducted and distributed into a savings / investments money bucket. Ignore any previous excuse you've used to not save and invest. After a while, you won't even notice the change in your lifestyle. And you'll certainly be in for a nice surprise in the future when you realize how much your money has grown thanks to the intelligent actions you took today and thanks to compound interest.
Okay, I'm done sounding like your mom. Go forth and invest!
What is this?
An anthropological look at how people think about money. Created and edited by Star Li.