If possible, choose a job/career that you both enjoy and that pays well or reasonably well.
Keep up and improve your skills over the years. (Your greatest financial asset is your earning power.)
Network, network, network.
Always live below your means, leaving room to save for the future.
Establish and fund a 6 month emergency fund.
Fully fund employer retirement accounts or at least the minimum level to catch 100% of any employer matching.
Target a minimum overall savings rate 20% of income.
Pick an investment approach that you can stick with over time. I would recommend broad stock and bond index funds at low cost or a target date fund. Keep it simple.
If you have children, buy term life insurance.
Build and keep your credit rating high: pay all bills on time, use credit card for convenience only – do not carry a balance.
After meeting your savings targets, spend the rest on enjoying your life.
Or as I taught the kids: 20-50-30 Pay yourself (save) 20% Keep you living expenses to 50% of your income Enjoy your life (especially while you are young!) with 30% for “wants”.
Budgeting. Unless they learn how to allocate their limited resources, it’s very difficult for them to control their hunger for spending in this YOLO world with credit cards.
Learn to always spend less than they make and save the rest.
50-30-20
Or as I taught the kids: 20-50-30
Pay yourself (save) 20%
Keep you living expenses to 50% of your income
Enjoy your life (especially while you are young!) with 30% for “wants”.
Budgeting. Unless they learn how to allocate their limited resources, it’s very difficult for them to control their hunger for spending in this YOLO world with credit cards.
Earn and save as much as you can, spend as little as necessary and stay invested in index funds.