Another $econd Opinion on Investing
In order to take advantage of the power of compound interest, you need to get your money working for you as soon as possible. As intimidating as it may feel to get started, there are tons of resources available to give you the tools to do it yourself.
The key here is to develop strong habits to: pay yourself first and invest a portion of your income, invest any extra income (credit card/loyalty rewards and survey compensation) and most importantly, take advantage of the tax savings by contributing to your retirement.
Early on, I was definitely scared to start putting money into the stock market. My knowledge of this area was weak at best. As I started to read more on the subject, I realized it’s not as difficult as physiology, pharmacology, biochemistry, etc. It’s actually pretty simple-over the long run, diversified funds will grow.
So I started putting my rewards money into broad funds, because there was no way I was going to “lose my hard earned money in the stock market!” I quickly saw how this market of stocks actually worked, because more comfortable, then started contributing a portion of my income to an investment account also (yes, in addition to the extra money).
Currently I have five different investment accounts. How do I keep track of everything? I use a Net Worth Tracker which also takes into account any loans I may have. It is very rewarding to watch your net worth grow exponentially over time!