How Should I Balance Investing and Spending as a Young Adult?

How Should I Balance Investing and Spending as a Young Adult?

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[tpespos]

I really needed to hear this one, I’m 29 saving 41% into my retirement accounts and I’m trying to save up money to pay off my student loans and save for a house down payments and I’m starting to feel underwater even though I shouldn’t.

[jxmachado_]

When you are in your 20’s with a good pay job and you enjoy it is not difficult at all to save money while enjoy life, when you to think carefully the most important think is not expend money in expensive think the most value is you memories with yourself and with your love ones. To all my 20’s years old here y want to say you can be financially freedom while enjoying your life, you can do it, I know it.

[bswizzle]

I'm 24 and invest about 50% of my gross pay, including my 401k contribution. I always feel like I'm not making/saving enough, especially when I compare myself to people my age who are software engineers making $200k. And I do recognize that 1) the average household income is like $67k and 2) I'm lucky and 3) comparisons are never useful and 4) like chill man live a little

[TBIhope]

“You’re only going to get one decade of your 20’s.” As someone who just turned 25 last month, I think now is a good time to really start living! I’ve been so focused on school, buying a house, my job, and my retirement, this realization is very much needed!

[Kashmir]

"Hey I am going to have like $500 or whatever it is in this slush fund, and that's going to be my blow money"
Bless your heart Bo

[deanemorgan]

For sure, travel is important, especially with friends. It creates lasting bonds, opens your mind, creates unforgettable memories and teaches you many things.
Once you get older your earning power increases but life commitments will restrict what you can do, you will always regret not travelling more.

[jamespungello]

This is an impossible question to answer for everyone (it's SO individual) but I will advise anyone who is listening to not become a zealot on either end. Don't let your personality be "I live for the moment and never plan" but, equally bad is, "Was trying that new pizza place REALLY worth the $4 extra bucks. I could have gotten a frozen pizza". Both people are no fun to be around

[redslate]

36% invested at that age _sounds_ incredibly high. Everything's about balance.

[pfllckf]

I listened to your first episode in 2006 today, good stuff! You guys progressed so much!

[Ethernet]

Eat your veggies! You might not like it, but the benefits are significant. Of course eat your steak and potato too…soon the veggies will go down easy and not even notice.

[Bacciagalupe]

The "why" distinction is great

[Azel]

IMHO, I will save until I reach a portfolio size that allows compound growth to take me the rest of the way there as long as I don't withdraw until retirement. For example, if I want $1 mil at age 55 and I am 25, I need to have 135k invested at 7% annual return to reach my goal. If I already have 135k invested, I can take my foot off the gas and enjoy my money.

[az-qfht]

I’m in the same boat! The financial opportunity in the stocks right now makes it really hard to not invest everything 😅😅

[SRTBOAT]

I'll be turning 25 in October so this is practically aimed right at me. I'll do whatever I need to achieve the 25% or more investment every month, but I still need to enjoy life. Having said that....my birthday will be spent in Italy! It's been in the works for months and I'm SOO excited.

[alangaudry]

Save a little spend a little but make sure you live . Remember debt is your enemy!

[brianhatch]

Unfortunately and fortunately for me investing most of my money actually brings me happiness

[rockystaatz]

It depends on how you are investing, employers backed matching? Roth? Individual single account? Dividends, growth, risks in each category?

[raiden]

Does the 25% include a 401k company match?

[ruckus]

The red flag here is that there aren't enough numbers. Could be someone making an awesome salary, but she's also at the age of living at home or her parents' investment property or something where there's no certainty that her costs will remain a small percentage of her income over time. 14% cash is a lot for someone who has been investing "for years" unless there's a purpose for keeping it so liquid (ie, student loans after they resume or a down payment).

[TKKFI]

Yeah next video got to invoice a 10 yr increase in wages, *have infancy funds in savings momentum*, *beneficiary etc.*, 4 years for the exp. In profession, and 20 yrs of that 🪨pressure willing to wear under that belt💭, college credentials, progressive loyalty networking, and organized under transitional communication.