1 of 12
Click ‘Next’ to View Gallery
Mistakes will be made – big and small. We’re all human and prone to imperfection. But it’s those money mistakes that can hurt the most because they can have the most dire of consequences on our success and stability. When you’re young, you almost can’t help but to be reckless with your money. So here’s some sound advice for those still early in your career from people who have been there, and know better.
Not Saving Where It Matters
Saving is the most important thing you can do for your future. When you’re young it’s easy to bounce back. But as you climb the corporate ladder, or decide to go at it on your own, layoffs and setbacks can and will happen. And it’s for times like those where you’ll be thanking the good god above you (or us), that you decided to save.
Forgetting About Retirement
There’s something about being young that makes you think you’ll be healthy and live forever. But one day you’re going to get old, and want to pack it in. And when you do, you’re going to want to have plenty of money so you can enjoy your old age. Make sure to save for retirement so that your older years become your golden years.
Forgetting About Insurance
To follow up on the last one, when you’re healthy like you probably are now, it’s impossible to imagine what it’s like to be sick or injured. But that day when an accident or illness may very well come – invest your health. Make sure you put some money into insurance to protect yourself.
Speaking of mistakes, many make the mistake of not thinking about long-term disability insurance. In fact, stats show that more than 25% of Americans will be disabled before retirement. Do something before this happens to you. It’s better to be safe rather than be sorry. Get yourself long-term disability insurance, you won’t regret it.
Discussing Marriage And Money
Believe it or not, marriage can be the most costly thing in your life. We’re not talking about the lavish wedding, but more so, the divorce. Make sure to discuss finances with your fiancée before tying the knot.
Spending Too Much On Wedding
Don’t be fooled by all the reality TV wedding shows. A lavish wedding will leave you in debt or broke after. And when the money dries out, the arguing starts. It makes no sense to spend a ton on one day. Spend less, and save the money for more important things that’ll come up in your partnership.
Spending Too Much On 1st Child
There is a big difference between pampering, and providing for your child what he or she really needs. A first child is every parents dream, but spending too much on him or her deprives the children you plan on having after. You want all your kids to be treated equally. So, make you sure if you’re going to have more than one child to plan your spending.
Being Car Crazy
As kids, especially young boys, we all have that poster on the wall of that fancy tricked out sports car. However, spending excessively on that dream car, may lead you to financial ruin. Don’t be foolish. Save on the fancy ride so you won’t regret it later on in life, especially when your thirties or forties arrive and you need the money.
Graduate School is a great place to continue your education and build upon your resume. However, don’t just waste money there if you don’t really know exactly what to do in life. If you have a clear plan, then by all means, go to graduate school. Just know that Graduate School is very expensive and is not for the masses.
Getting A Job Just For The Money
This might come as contrary advice to what you’re being told, but getting a job just for the money is not a smart money move. If you hate it, you’ll burn yourself out and become disenfranchised with your career, like many young people are today. Money will come and go. When you’re young, go for what you love. Doing so will keep you on the right path, and eventually, to the success you’re really looking for.