At the start of your working life, it may be hard to imagine where exactly you’re going to pry loose a few dollars to invest when you’re living paycheck to paycheck and barely paying all the bills. True, it’s not easy. Nobody promised that but clever money management skills can go a long ways towards finding extra cash to put to work building wealth for later.
The secret to finding money to invest in a tight budget? Learn to save first. Even if you make a modest salary, say $30,000 and live in an expensive city, you can develop the habit of saving by practice, practice, practice. It’s just like exercise. Get used to doing it and soon it will be second nature. Don’t start with the intention of putting back some crazy amount that equals half your income.
That’s a recipe for failure.
Pick a sane amount and stick to it, even if it’s only $25 a month. Soon you’ll realize that you can create a savings account, and there are all kinds of nifty uses for that extra money. Save for a new car, house, or…INVESTING! See how easy that little bit of money management can be? You may be living paycheck to paycheck now but it doesn’t have to be forever. Change your financial future by learning how to save.
The Young Wealth Team
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