You are in your 20s or 30s, and you just want to enjoy your life? You are still trying to figure out what you want to do as a profession, where you want to live, and which goals are worth striving for? The truth is: Your retirement seems so far away, so why should you spend time and money on building up a basis so early in your life? Well, we tell you why!
Saving money for retirement in your 20s – Is that necessary?
Retiring at 67 or 69 years old seems like a whole lifetime away! There is plenty of time in between to figure out a retirement plan, right? This is a common mistake that way too many people make! Yes, your retirement is not going to happen anytime soon, but at the same time, why not use the advantage of time and make the most out of your savings! Putting a certain percentage of your income in your savings account isn’t good enough anymore. The return that you will get is small and not worth it. That’s why we recommend investing your money as early as possible into ETFs, Stocks, Forex, and even to try out binary options.
Four steps to start investing and saving money for your retirement!
You decided that now it’s time to start investing; you don’t know where and how to start? We will cover the first four steps that you have to take to make your first investment. Keep in mind that the goal is to keep the money in the brokerage until you retire, which can be around 30 to 40 years, therefore know your limit. Keep a good amount of money in your savings account, just to be sure that you are set in case of an emergency.
Step 1: Find the perfect broker
The first and most crucial step is to find a trustworthy and promising broker. Not only should it be a professional and easy-to-use platform, but it should also be reliable. Depending on what you are interested in, there are plenty of options available (tech, foreign currencies, etc.). Check out specific brokers for binary options trading or brokers for ETF and Stock trading to get an overview of the possible choices. You will be surprised at how many options there are. Have a look at the reviews to determine if the brokerage meets your expectations.
Step 2: Have a look at the different options
When you get more and more familiar with how trading works and what assets you can invest in, you’ll slowly realize that there are many options when it comes to investing. Besides typical stocks and ETF trading, you can also choose binary options or even cryptocurrency. Whatever you decide on investing in, we highly recommend that you do not invest all your savings into one field, like tech. Have a wider variety of options, and invest in companies that you genuinely believe in.
Step 3: Decide on your investment
We already mentioned that you have to decide what you want to invest in and how much money it should be. In this step, you have to finalize your decisions, but as we already mentioned: Don’t bet all your money on the same horse!
Step 4: Invest regularly
The key to investing money for retirement is to keep it there for multiple decades and invest regularly. Have a look at your income and your spendings and decide how much money you can invest each month.