Youve probably heard this a thousand times.
If you arent investing yet, you should start soon.
The truth is, you should have already started.
On average well go through at leastfour different jobsby the time were 32.
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By 2020, self-employment is likely to triple to 42 million workers withmillennials making up 42 percent.
This means we can now have our flan and eat it too.
This means youll have to start building up your own retirement fund from scratch.
Dont count on social security either
In many countries, were now facing an aging population.
While more people are retiring, theres a smaller working population able to contribute to social security.
This means that by the time we reach retirement age its likely these funds will have already run out.
If youre living in the US, this may become a reality even sooner than you may think.
This means that your parents may only receive 75 percent of what theyre entitled to.
Currently, elderly couples rely on social security for more than half of their income.
Unfortunately… youll also have to work until youre well into your 70s.
At the same time, on averagemillennials are making less than Generation Xdid at this age.
Ready to ride off into the sunset on the back of a llama?
Lets look on the bright side…
4.
If you start investing now, you could be a millionaire later
Compound interest is your friend.
Even if you dont have a lot of money now, what you do have is time.
The following year compound interest kicks in.
If you leave that initial investment for another 10 years it will accumulate to $21,589.
Its also never been cheaper to own mutual funds and ETFs than now.
From 2016 to 2017 we experienced thelargest year over year declinein fund fees ever recorded.
And this is only part of a historical decline weve seen since 2000.
Just like interest, fees also compound over time, diminishing returns.
Lower fees, therefore, mean you pocket more of what youve earned from your investments.
The rise of blockchain and cryptocurrencies have also brought new opportunities to the table.
Its time to make it rain… with Bitcoin.
You dont have to have thousands in spare savings to start investing.
Instead of going through banks, peer-to-peer lending connects borrowers to lenders.
Say you buy a coffee for $1.90.
Micro-investing tools will round that number up to $2, directly investing the extra 10 cents.
This may not yield very high profits but its a good way to get started.
Whichever option you choose, you better start investing now.
