You know how it goes. The thought flashes through your mind—”I need to start saving money!”
And then… well, that’s it. You read a few articles on saving and try to spend less, but after a week or two your mind has moved on.
Why? Because all forms of positive change are energy intensive, at least at first. And your brain, smart as it is, likes conserving energy.
So to jump-start saving, you need to take several one time actions that are borderline thoughtless.
Enter automation. It’s a small step with massive return potential.
Like that, you’ve set the stage for dozens of wealth-building actions well into the future.
And what did it take? A few taps over a few minutes.
So what are you waiting for? Automate your savings right now. I’ll wait! Even if it’s $5 per month, it’s a step in the right direction—to build wealth for your future!
There’s a significant financial mistake people in their 20s and 30s make. It’s simple, but if you’re young, it could change your financial future…
Have you made this mistake? Think you know what it is?
Young people don’t save enough. Not by a long shot. On average, Millennials have only saved $23,000 for retirement.¹ And a recent survey revealed that 65% of 50 year olds felt the greatest financial mistake of their 20s and 30s was not saving.² It’s no wonder, then, that the same group feels they have under-saved and under-prepared for retirement.
So what can you do if you’re a young person seeking to build wealth? Here are three ideas…
Automate saving every month. The power of automation makes saving easy. Saving stops being a conscious decision with which you may or may not follow through. Instead, it’s a background process you can set and forget.
Meet with a financial professional. They’re the guides you need for navigating the world of budgeting, saving, and building wealth. They can help you identify the goals and strategies you need to inspire your savings.
Focus on your own financial growth. Comparing your lifestyle to your peers is tempting, especially when you’re young. But it can be dangerous, especially if it causes you to spend more than you earn. Just remember—you may not really know the financial situation of your friends as presented on social media. People tend to just show the good and not the bad. Orient yourself towards improving your own situation and building your future.
So don’t make the mistake that so many have made. Follow the tips in this article and start laying the foundation of your financial future.
¹ “Retirement Security Amid COVID-19: The Outlook of Three Generations 20th Annual Transamerica Retirement Survey of Workers,” Transamerica Center For Retirement Studies, May 2020, https://transamericacenter.org/docs/default-source/retirement-survey-of-workers/tcrs2020_sr_retirement_security_amid_covid-19.pdf
² “Money Mistakes: Exploring the financial situation of people over 50,” Caring Advisor, https://caringadvisor.com/money-mistakes/
There are a lot of reasons why. It takes planning and self-control. You’ll have to ask yourself if you can fit every purchase into your budget. It means giving up something today in order to benefit tomorrow.
These are all true, but saving doesn’t have to be hard work. One way to make it easier is to automate your savings and then watch your balance grow!
Automation is such a powerful tool because it makes saving effortless. With automation, saving is now a default, as opposed to a decision—you’re always saving in the background.
For example, you might have a goal to save $1,000 for a vacation. If you’re saving $20 per week, that would take less than a year. And the same logic applies to larger goals—it’s a key strategy for creating retirement wealth.
First, decide how much money you can afford to save each month. Then set up automatic deposits from your main bank account into your savings account. That’s it! Every month, money will go straight from your paycheck to your wealth building efforts.
Now, you’re positioned to go about your daily business, confident that you’re preparing for the future. And it only takes a few minutes to do! If you want to discover more wealth building strategies, contact me. We can review your financial situation and create a game plan.