Making Sense of Your Cents: Clever Ways to Invest and Save in Your 20s

When you are in your 20s, you feel
that you’re on top of the world, and justifiably so. However, the idea of
saving or investing might be the farthest thing from your mind. You’re all
about YOLO (You Only Live Once!). But did you know that your 20s is the best
time to starting investing and saving for the future?

Here are 5 smart ways to save the
little you have, invest wisely, and get ahead.

Cultivate a Money-Saving Attitude

Most young adults think that they
can’t save lots of money in their 20s. That couldn’t be farther from the truth.
In fact, you’ll have more control over your money in your 20s than you’ll ever
will in your life. Think about: you don’t have a mortgage to pay (unless you
do), kids to take care of, a family to cater to, and whatnot. You absolutely
have the freedom to tuck away every penny that comes your way.

With that said, you need to embrace an attitude of saving at a young age. After all, the road to becoming a millionaire is to invest little by little.

Learn to Budget

Drawing up a budget is a great way
to refine your personal finances, and stay on top of frivolous spending (which
is commonplace at this stage of life). At this point, the odds are that you
have got an entry-level job. Yes, your paycheck is small, and you do have bills
to foot. But a budget will help you stay away from bad-for-investing habits
like partying, buying flashy clothing, going out every night … do you catch my

With a budget on hand, you can
easily cut out the unnecessary stuff and save a few bucks off your paycheck.

Automate your Savings

Make sure that your contributions to brokerage accounts, investment vehicles, and other saving opportunities are automated. If you’ve a 401(k) plan or other investment plans, ensure to contribute max amount. With employer match, you’ll build a huge investment in no time.

Invest in Yourself

Make sure that you eat healthily,
exercise regularly, and take time off to kick back and rewind. More
importantly, go back to school, take up yoga or attend seminars. The bottom
line is that you need to take care of yourself as well as ramp up your career.

Keep an Eye on your Credit Score

You have got a bright future ahead
of you, that’s why it pays to take out debt to establish a good credit history.
A favorable score means lower rates on loans and credit cards. Even better,
some employers look at your credit history as part of an employment background

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