How I Saved $100,000 By Age 24 (3 Simple Steps To 100k)

This is how I saved more than RM100,000 in 3 years by the age of 24.

Step 1: Set A Goal

Whether you wanna save 1k, 10k or 100k, the best place to start is by setting a clear goal of exactly how much you want to save.

If you want your goal to be more concrete, you can give yourself a target date of when you want to achieve this goal and you can also write down why you want to save this amount.

In my case, I wanted to save 100k because I’ve already hit my savings goal for my emergency fund and I’ve read a lot about how the first 100k is the hardest milestone to get and that it will get easier after your first 100k.

I picked 100k as my goal because I thought that it would be a good amount to use as leverage in 2 ways:

i. Using it as capital to invest in an opportunity or business that I came across.

ii. Using it as mental leverage or security because having 100k in my name means that if I wanted to, I could quit my job and try other things or just be an absolute bum for a year.

When I first started, my goal was to save just 1k so that I could prove to myself that saving money is possible and to develop the habit of saving.

I’m a big fan of creating a habit of saving instead of worrying about how much money I’m actually gonna save.

If you have very little income and you absolutely cannot save money, one thing you can do is take care of your health because when you take care of your health you’re indirectly saving money in terms of hospital bills in the future.

So depending on your income, how old you are and your situation right now, set a realistic savings goal for yourself and once you hit that goal chances are you’ll get all excited as if you’re playing a video game which I’ll talk about more in…

Step 2: Pick A Method

After you’ve set a goal for yourself, now you need to actually start saving money to achieve that goal.

There are many ways and methods to save money, but you wanna choose the method that will get you to your goal and that you’re most likely to stick with over the long term.

The method I picked was the most simple and straightforward method which is basically to pay myself first in separate accounts.

To do this, I created separate accounts specifically for my savings and whenever money landed in my usual bank account, a portion of it would directly go into my savings accounts.

This way you can work backwards and achieve your savings goal a lot easier.

This is why it’s important to set a clear goal first so that you can reverse engineer and work backwards when you’re actually saving money.

So you’ve picked your method of saving, now you need to track your savings so that you can clearly see your progress.

You don’t want to be saving blindly and not knowing when you’ve hit your goal, you wanna know exactly where you are in terms of hitting your goals so you can adjust your methods accordingly.

I used a Google Spreadsheet to document all of the money that enters and leaves my bank account, then I categorized it into income, expenses, wants and investments.

At the end of the year, I know exactly how much I earned, how much I spent on expenses and wants and how much I invested.

This was extremely helpful for me because saving money became like a game to me.

Every day I would input my numbers and I could see my net worth increasing and it felt like levelling up in a game and if you know anything about video games, they’re designed to hook you in, get you addicted to playing.

So I used these gaming principles to motivate me to keep on saving and achieving my goal of saving 100k and at one point my savings rate was at 75%.

You don’t have to keep track of every single transaction you made, I did this because I really wanted to see where my money was going. Now I only update my spreadsheet once a month but if I was starting from 0 I would probably be tracking my money this meticulously again.

So pick a method of saving and a method of tracking your savings goal. Ideally, you’ll want these 2 methods to be easy, clear and motivating because it’ll make step 3 a lot easier.

Step 3: Adjust Your Lifestyle

Hey! Thanks for reading the description. We can't fit everything in here, so make sure to watch the whole video to find out more :)

⌚ Timecodes:

00:00 - How I Saved $100,000 By Age 24 (3 Simple Steps To 100k)
0:23 - How to set financial goals
2:02 - Simples budgeting method to save money
2:55 - Best way to track finances
4:15 - Adjust your lifestyle inflation/deflation
5:35 - What to do after you reach your goals

Tell us in the comments if you liked this video and what other kinds of videos you would like to see.

#TheMillennialFinance

[aimanaqilasriafendi]

Used to track every single transaction as well! It really helped to keep me disciplined and hit the elusive 100K goal. Nowadays, I'm more laxed, just spilt the paycheck into different categories (spend, invest, save, give). Though, I still track my overall net worth using a basic excel spreadsheet I developed, update it at least once a week.

[ruangan.fahmi_]

I have this one account for saving, no apps, i hide the debit card and i put RM1k per month starting Jan 2021. Now working towards to continue saving in it for this year. Alhamdulillah, i was consistent and the method works for me.

[opb]

Awesome video man! Hope theres more great content to come!

[danial]

If you share a spreadsheet/Excel template for personal finance it would be very helpful

[chunkeattt]

Hi, great saving tips! Hoping you can share your thoughts on this RHB Smart Account (RHB Smart Campaign), a high interest Bank Account

[goldenoh]

Legit video as always 😆
Very very insightful 😁

[haiqal]

I split my salary into 4 account : 1. commitment & loans. 2. daily expenses 3. emergency 4. saving. Basically I just use money from daily expenses and sometimes from my emergency for any unusual purchase (school fee, big ticket item, etc). I will not touch any money from the commitments & loan and saving. I think this method works quite well for many people, as we can estimate how we are going to spend based on one account (daily expenses) without jeopardize our commitment and saving

[zzzati_]

It’d be helpful if you share more details on how you manage to gain that RM100k. I would also like to know if that spreadsheet is your own or a joint account?

[kenzillavlog]

Earning is more powerful than saving more money.

[bensim]

Noice! Would you consider EPF as part of one's net worth?

[ericwei]

You did not address how much you are saving per month or week and at what risk percentages you set to reach this first 100 thousand.

[FRSTAPPEN]

Good sharing! No offence but isn't Stashaway non-shariah compliant to invest in?

[thedigimum]

What business did you embarked that enables you to earn RM7K? How about taxation on such business?

[chiuyue]

Great video! It’d be great if you could share the Google spreadsheet 😍

[oxer]

I already save RM150, 000 with zero loan and stuck at this amount.

[thor]

Why is $ used when you are talking about RM? Clickbait title at its finest to weave around the YT algorithm, eh?