While investments can seem like a big, scary deal, Jason Hartman is a prime example of successful investing at a young age. With a little bit of education, some money in the bank, and the right attitude, you too can begin building your wealth at any age.
If you’re a recent college or high school graduate, you might be overwhelmed by the “real world”. Perhaps your job is not ideal and your salary well below what you thought you’d be making. Luckily, sound investments are a great way to make money and correct these problems. Instead of spending money on material goods that will be obsolete in five years, save for investments that will make you money.
Of course, you’re probably thinking about reasons not to invest.
First, you may have heard about people who have lost money. There is a certain amount of risk involved with all investments (real estate is the safest) but you probably don’t let risk scare you out of other things—driving, for example. Know that it is okay to make mistakes here and there, but make sure you’re learning when you do so. The ability to make and recover from mistakes is a great argument in favor of learning to invest young as you’ve probably got less at stake.
Remember that the horror stories you hear about people losing all of their money are specific to each person and generally more complicated than the storyteller lets on. People invest in risky things, mismanage their investments, and don’t educate themselves. Learn from their mistakes and you’ll be in fine shape.
A lot of young people don’t make investments because they fear that they don’t have enough money to make an investment. The great thing about investing is that it happens on a lot of levels—while some may sink $100,000 into an investment, others begin with smaller sums. Think $1,000—a reasonable amount for a person with a fulltime job. And here is the great news: this investment turns into more income, which equals more investments and more money down the road.
You may also be able to take a loan out to begin your investment, but do so sparingly and with an educated mind. Beginning your financial life with large amounts of debt can easily overwhelm you, so proceed with caution. If you’re truly interested in investing, try making a budget and savings plan. You’re probably making more money that you think. How you’re spending it though, well, that’s another story.
Many people are also intimidated by investing because they view it as more complicated than it actually is. Thanks to the internet, this is no longer an issue. With a little bit of reading, you can educate yourself and acquire a good basis of knowledge from which to proceed. Then, get an investment advisor who will simplify the process while involving you in it.
Don’t let fear or youth stop you from paving your own path to financial freedom! (photo credit: John-Morgan via photopin cc)