Home » Headline, Personal Finance

3 Things You should Do In Your 20s To Safeguard Your Financial Future

31 May 2017 No Comment

Your 20s are not just about exploring the world and having fun. They are a decade when you can lay down the foundations of a solid financial future for you and your family. If you make some wise financial decisions and investments in your 20s you will reap the rewards in later life.

Get on the property ladder as soon as you can

Purchasing your own home is a rite of passage and something that many young people aspire to. It has the obvious advantages over rented accommodation. You can keep whatever pets you want, you can decorate it how you like and you can make structural alterations, within reason! You also do not have to worry that your landlord is going to throw you out at any time which gives you extra security.

There are also some solid financial reasons for buying a house. It is an investment which means that it should, in theory, go up in value over the coming years. You can also add value to it, a bit at a time, by making improvements or building an extension.

Your monthly payments are used to gradually pay off your loan whereas rental payments are going to someone else, namely your landlord!

Get some qualifications

If you have ever tried to study when there are young children running around you will understand that you should get some qualifications before you start a family. Once you have children, you will be too exhausted to learn anything new and you will have very little time on your hands. You will also have another mouth to feed and so you will have less spare cash to invest in getting another qualification.

These days you can get a lean six sigma masters degree online so you can fit your learning around your existing job and your study work will not get in the way of your social life! Your brain will not be worrying about kid’s birthday parties and child care so you are likely to get a better grade and get more out of the learning experience.

Start up a side-line business

Even if you are perfectly happy in your full-time job it is a good idea to think about setting up a small business of your own. This does not have to be ambitious. It could be a blog or a small freelance writing business. You could even sell things on a site like Amazon or Etsy. This will provide a safety net for you should you be made redundant or lose your job for another reason.

If you decide to go traveling overseas for a while it can provide a very useful income. Once you have children you may decide that your former job is no longer suitable for you. You may crave the flexibility of a business of your own. By setting up your enterprise in your 20s you will already have something to build on and develop into a successful venture.

Comments are closed.