In this article, we provide essential financial advice. This financial advice is tailored specifically for young individuals, offering valuable insights and strategies to navigate the path toward financial security and success.
The Best Financial Advice: Below, you will find valuable insights.
Pay yourself first. Have what you can deducted from your paycheck and auto invested in a brokerage account.
Financial freedom starts with sound advice and disciplined action.
If you make a lot of money, shut the fuck up about it. Don’t tell your friends and family. They won’t be impressed. They will more likely dislike you or judge you for not lending them money and being overly “generous” at holiday time.
Jump off the hedonic treadmill. Our brains acclimate to new acquisitions and our “happiness levels” go back to their natural set points after a few months. So don’t use consumer goods to buy happiness. It is chasing the wind.
Don’t be too conservative if you are young.
Inflation is not your friend if you look to save for retirement. Inflation is good if you have mortgage and student loan debt. You need to invest in at least 15% aggressive growth stocks to keep up. As you get older and closer to retirement, you will need to shift your investments to increase liquidity and look to preserve your assets. You don’t need a market dip or recession fucking up your retirement.
If you have brass tacks, invest in crypto. Bitcoin is highly volatile but very lucrative. So is Etherium. But do a stop limit order on your account so if shit turns sour, you are automatically out.
Invest in your financial education; it pays the best interest.
Use your money to buy income producing assets, not consumer items like fancy cars and Mansions. The market for Mansions is going to be shit once the Boomers start retiring. Cars depreciate, unless you own a proven collectible like a 1969 Dodge Charger Hemi.
If you are young, buy long term skilled nursing care insurance. If you need to go into a nursing home in old age, there goes your estate. Expenses are currently over $6k per month.
Buy life insurance while young and healthy if you have children.
Most people could lose weight if they ate chicken and vegetables every single day at most meals. But few are willing to do it because it is boring. If you make enough to cover your expenses and have a bit of investible income, you can also make money by using dollar cost averaging, having money taken from your paycheck and automatically invested.
Your health is your greatest asset. If you feel like shit and you are rich, you are actually poor. Put your health above all else. It is like putting an oxygen mask on yourself when the airplane is going down. Do that first so you can help others. Routinely take your medications and control your blood pressure and cholesterol. Eat healthy, exercise, and avoid the midday sun. Don’t smoke. Drink moderately.
