Many readers of Total Investment blog, asked this question – I am still young, do I really need to invest early? How can I enjoy my money when I invest it instead of buying all the things I want while I am still young.We recommend to invest as when you are young as possible to take advantage of “compounding”. The more years you have, the more chances your money will maximize its growth. In investing it is really advisable to start investing, because the younger you invest, the younger you can retire.
Do I Really Need to Invest Early?
You have to choose, to invest when you’re young while you don’t have any responsibilities or invest when you’re old, married, have your own family while you have a lot of things to consider. If I were you, I will choose option one, besides, if you wish to enjoy the life, you have to prepare your retirement as earlier as you can.See Also: How Does Compound Interest Work with Stocks or 401k?
Considering Investment Horizon
A 25 year old investor who invest $10,000 in the stock market and sell all his stock shares when he reach 50 will make more profits while a 40 year old investor invested his money with the same stocks has lower chances that his money will not grow that big. Compare 25 years investment horizon versus a 10 years investment horizon.
I do hope you agree with our answer. So, find out how to start investing while you are young. We recommend a personal finance book entitled “The Money Book for Young Fabulous and Broke” written by Suze Orman, a book that will open your mind positively on how to save and invest while you are still young. Thank you for visiting InvestmentTotal.com. Have a successful financial life!