You NEED to invest in the stock market. If you haven’t started, start now.
If I knew then the things I know now, I would have started at 18 and life would have been very different. My son turns 18 in a month and I’ll be forcing him to set aside a percentage of his earnings. Parents, make your kids do this. They will be so grateful, 20 years later 🙂
Investing doesn’t have to be hard. It can be as simple as putting money into your 401k. There are tons of stocks and bonds up for grabs. If you’re new to investing, I really, really recommend that you take the time to learn it.
1. Start saving as early as possible. Compounding your money is the easiest thing you can do. It’s the golden egg to becoming wealthy. A lot of people don’t know this. Including myself for the longest time and I worked at a bank for many years. That’s what happens when you’re too busy trading time for money instead of thinking outside the norm.
2. Take full advantage of a company match, when available. Hello, it’s free money.
3. Don’t invest too conservatively for your age. If you’re young, you have more room to play with when it comes to the stock market. Less risk means less return.
I’m 36 and my Vanguard account is set up basically like this. My risk tolerance is moderate. I’m also a long-term investor. I don’t buy and sell stocks daily.
If you need a starting point, look up Tony Robbins. Unshakable is a great book. Actually, all his books are pretty great. If you don’t like to read much, he’s all over YouTube. I trust him and follow a lot of his advice.
Currently, I invest 7% in my company 401K. 89% goes into the S&P 500 and 11% into bonds. I’m supposedly a little too aggressive according to my portfolio analysis. But I think I’m still young enough and I’m willing to risk a little more. Remember there is no guarantee that the market won’t drop. YOU NEED TO KNOW YOUR RISK TOLERANCE AND WHAT YOUR GOALS ARE BEFORE YOU INVEST. Regardless, cash will not give you the same return even when the market is at a low. My savings account is at 1.35 while my stocks are at (as of this morning) 5.43 ROI. Let’s say the markets take a big dip. My savings will go to 0.05 and my stocks will be at 1.35. That’s just an example. I can’t give you definite numbers. The Warren Buffets of the world will tell you this, you need to become an investor if you hope to one day become truly financially free. It’s not instant money. That’s why I hesitated for so long. Putting a hundred away when things are already tight is hard. If the government puts a 10% tax on you, you would pay it. You would have to make it work. Put a tax on yourself. Thank you, Tony.
Your future self will thank you for it. Wealth builds over time so you should start investing now. Even a small amount.
We want to live in the present but we still also plan on living a full life. I hope to live to at least 70 “) We could die tomorrow. But we also could not. Live a good life now. And live a good life later too.
It’s that time again. Spring is here which means summer is near. But damn my allergies. This year is pretty bad. I’m having to double up on allergy pills. And it’s still not working great -_- You know what they say, can’t have a rainbow without some rain. It was like 78 degrees the other day and this morning it’s pouring. Bad for my morning commute but great for the drought. And by the way, it’s not watering my lawn that’s wasting the most water, it’s all these damn factory farms. America is so obese and obsessed with In and Out burgers that their oblivious to all the hell it causes. But, that’s another post.
Anyways, the winter has been pretty calm. Not too much going on. But a huge refection of sorts for me. It’s been really good. I’ve spent lots of time alone with my thoughts. I’ve grown, some more, lol. And that’s always the goal, growth.
I told myself this summer was going to be a low-key one. No big major trips. I wanted to focus on doing some home improvements. I’ve started to outline some things that I plan on getting done. Of course I will do what I can myself. I’m all about saving money 🙂 But not dumb enough to do things I know I can’t do.
I’ve also decided to put off school this summer. Unfortunately work has been very unstable. Thank you California port workers for that. A lot of people are suffering from the strike. Not to mention it cost the economy what…I believe a couple million a day? It was a lot, that’s all I know. It was an unexpected rough patch for me. Thank goodness I listened to Tony Robbins and Barbra Corcoran. We have to save for rainy days. If I hadn’t been disciplined enough to listen, I probably would have lost both my house and car. Now that, would have been some shit. But at the same time, they are just things. I know I can always rebuild. It just sucks when you work so hard for something and all the sudden it gets taken away. No fault of your own, the world just runs on money. Sad, but it does. I try to live simple though. I don’t need the newest house or $300 shoes. I love shoes, I love clothes. I’ve just learned the value of them. It doesn’t make sense to pay 100 bucks for something you can get for 30. Like a new house…I rather the luxury of being able to take time off, money in the bank and random trips instead of a very pretty house. I mean I don’t want some run down home. I just mean I rather have freedom, not a large mortgage payment. I’d be a salve to my job if I had a $2000 mortgage payment. No thanks!
Having an emergency fund is one of the best advice I’ve ever gotten. If you don’t have it, buckle down cause you need to. If you’re like me and don’t have any family to run to, I swear you need to do it. Pleeeeaaase trust me! I’m a little drained now. Some plans I did have will have to wait 😦 Like school cause it’s freaken expensive as heck. I’ll have to pick and choose. One of the many responsibilities of being a responsible adult….YAY! LOL
I think a lot of beach outings and day trips. I see plenty of bond fires on the horizon. One trip for sure…a weekend in West Hollywood. I’ve never been to LA pride. This summer, it’s on. For sure. Room is booked and time off has been approved.
See…that’s why summer is good. I can do a lot of things on a budget. BBQ’s and ocean views. Sounds good 🙂 I think I’m just overly excited because I know it’s coming and this rain is kind of a drag right now.
It’s a slow work week but I’m buried with homework and my writing and house work. It will still be a very productive week. I have some major writers block right now though. Hate it when that happens. Hopefully this post will help get the flow starting.
That’s it for this post. Until next time, take care and get some stuff done. I have some piping at home to tackle…omgggg 🙂