We talked about squeezing a little extra out of your budget and finding out how to prioritize saving in our free budgeting worksheet. Even if you’re only able to save $50 a month, it’s hugely important that you get started now.
The first reason to start investing is the power of compound interest which is just a technical term for making money off your money. Start investing in your 20s and you’ll be earning interest on that money for decades.
The best reason to start investing is to change your role in life. Living paycheck to paycheck, constantly just paying bills means you’ll always be renting from the owners of wealth.
Investing in stocks, bonds, real estate and other assets means you are an owner rather than a debtor. You own the assets that other people rent and can control your own financial future.
Opening an online investing account will save you from the higher fees charged by brokers. I opened an account on Motif Investing and the option to create my own funds without the annual expense fees on exchange traded funds.
Plan your investing strategy around the top 10 investing basics and you will be closer than most to reaching your financial goals. While investing is about making money off your money, a lot of your account is going to be the regular deposits you make.