Fear Comes From a Lack of Knowledge
There’s a huge information gap for most adults in the US around finance and investing. For a slew of reasons – most of which have deep emotional ties – we are scared of the “great wide open” market of investing. Many people view investing as gambling, but there is so much more to it than that.
I’m not in a financial position right now to NOT be investing in my future. Time is the one of the things I have control over when it comes to my money. The sooner I invest, the more my money can be compounding. Even though my income is pretty low, I can still set aside money each month to add into a Roth IRA.
Getting Money Smart
I just finished up a class through one of the local university’s community class program, and it made me feel empowered. That’s what knowledge will do for you. The stock market, bonds, tax shelters, and investing in general loses the fright factor one you understand how it all works.
Just do it! Don’t waste another minute pondering whether or not you should invest in your future. At a minimum, you should have a 401(k) with your company or Roth IRA on your own – and max it out each year. Take a class, do some reading, talk to people about money – whatever you are most comfortable with. When you’re ready, you may want to speak with a Registered Investment Advisor. I’m not saying that you should hand off your money to someone right away, but many RIA’s are willing to consult with you or be a source for advice. I’m no expert, but compounding interest is a pretty awesome thing to have working for you and growing your wealth.