Being in your 20s is excellent. You have the energy and naivety to accomplish almost anything you put your mind to. However, as pretty much every human being can attest to, most people in this age bracket tend to waste the opportunities presented to them. This is not out of anything other than the feeling that you will never get old. However, this is the perfect time to make hay for those looking to set themselves up emotionally and financially for the future. Here are six things you should do in your 20s if you want to retire early and live rather than merely exist when you get older.
Think About The Future
If you ask most twenty-something-year-olds about their plan for the future, most will tell you they don’t have a plan. However, young adults must prepare for their future because their future selves will hate them if they fail to do so! If you are in this age group and are reading this post, if you understand only one thing, it will be to prepare for old age. One way is to compare insurance products and find a solution that offers annuity and will increase in value over time. Generally, an annuity is a contract between a policyholder and an insurer. As an annuitant, you agree to pay a predetermined amount of money every year, called a premium, in exchange for payments made by the insurance company based on a fixed dollar amount or a variable amount. This can be determined by factors such as the annuitant’s life expectancy.
Start Investing Early
Investing as much money as you can afford into things that will accrue value over time is the best way to beat inflation and prepare for retirement. If that doesn’t sound exciting, think about it like this, the earlier you begin to invest, the sooner you can retire and enjoy the fruits of your investments. However, not all assets are created equally, and you need to weigh up your options. For example, are you a risk-taker or risk-averse? The answer to this question will give you a good idea of the things to invest in. Some of the most exciting ways to make your money grow over time include:
Stocks
These are shares of a company that is listed on a stock exchange. This is the most traditional form of investing and the most well-known. It is a great way to buy part of a company that you believe creates value and increases as time progresses. To get the most from this investment, you should think long-term, and if you are in your 20s, a ten-year period should be your minimum. You should only invest what you can afford but aim for at least $100 per month.
Bonds
A bond is a debt instrument where the issuer borrows money from the bondholder and promises to repay with interest. Investors are typically repaid at regular intervals, usually semiannually or annually, for a predetermined duration. Bonds are generally considered safer than stocks but yield lower returns.
Mutual Funds and ETFs
Investment vehicles such as mutual funds and exchange-traded funds allow you to diversify your portfolios and reduce risk. This is an excellent option if you are unsure how to invest your money and typically yield decent results over the long run.
Cryptocurrency
The latest frontier in the world of investable assets is cryptocurrencies (notwithstanding NFTs). You should be extremely cautious when investing in crypto as it is highly volatile and crashes and scams are commonplace. Nevertheless, they are a great way to diversify your portfolio, learn about how things might work in the future, and are an excellent investment because they have a higher chance of increasing in value than any other. However, it is worth mentioning again that you should be highly cautious and NEVER invest everything into this asset.
Learn To Cook
Cooking is a valuable skill that you should learn from an early age. It will teach you discipline, flavors, flavor pairing, and a general appreciation of food and where it comes from. Knowing how to cook a decent meal will ensure you never go hungry and keep your body healthy from a balanced diet. Furthermore, those who know how to cook are always in demand when it comes to dating. If you can cook a delicious meal and pair it perfectly with the right wine, you will be the hit of every party you ever go to.
Workout With A View On Longevity
Keeping yourself healthy when you are in your 20s is an effortless task. You can participate in intense workout regimes and recover with very little rest… It’s no wonder armed forces worldwide look for people in this age group. However, while keeping yourself in peak condition is admirable, you should also consider how your workouts might affect you in the future. For example, if you are overloading yourself with a high-impact sport, you should look after vulnerable joints and ligaments. Focus on this that will keep you on your toes even in old age.
Study Hard
It doesn’t matter if you are studying to become a neurosurgeon or become a plumber; you should always put in 100% effort to be the best you can be. You should weigh up your options and make the right decision before choosing any subject to learn or earn a degree in. Don’t be pressured by others, but don’t make spur-of-the-moment decisions. Study hard and play hard, and you should be fine.
Learn Another Language
Similar to learning to cook, learning another language will open your horizons and make you highly desirable to others. It doesn’t matter which language you learn as long as you develop proficiency in it. Once you can speak at least one other language, it will become easier to master more, and you might find yourself a polyglot before you enter your 30s!
Bonus: Avoid Debt Like The Plague
This bonus point is a short one but one to take heed of. You should take all possible steps to avoid bad debts as much as possible. Good debt could be OK if it is for something value-adding like getting out a mortgage to buy a house. However, if you are getting out of payday loans to get a new iPhone, you should rethink your priorities since you will severely damage your future prospects.
Being in your 20s is both a blessing and a curse. You are surrounded by your peers, and you want to have fun. However, this should be when you make hay and build the foundation for your future life. By following the tips in this post, you should set yourself up to become financially, physically, and emotionally secure by the time you reach middle age.
Speaks from heart, always too passionate and driven by emotions. Spins the words with kindness & sharpness, intriguing your ever-inscrutable minds.
