Here's the most practical advice I can share with you:
It's a huge target, but I think that it's something everyone should strive for.
- Save 50% of your income
It's a huge target, but I think that it's something everyone should strive for.
Read this article about why: http://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/
Then read my article about F-You Money: http://lifeafterliquidity.com/2014/04/04/f-you-money/
The TL;DR: the more you save (and subsequently invest into index funds, or just dump it all into Wealthfront.com), the faster you can ensure that you'll get to financial independence. And the quicker you get to financial independence, the faster you earn your freedom.
Think about it: if you had all the money you needed to cover your expenses indefinitely, you (1) no longer have to work for money, and (2) can take massive risks and never have to fear losing it all.
I didn't figure out the true notion of financial independence until I was about 30. Missing those five years of my life (where you are today at 25) has turned out to be quite costly.
This is the best advice I could possibly give to any young adult. Good luck.
Then read my article about F-You Money: http://lifeafterliquidity.com/2014/04/04/f-you-money/
The TL;DR: the more you save (and subsequently invest into index funds, or just dump it all into Wealthfront.com), the faster you can ensure that you'll get to financial independence. And the quicker you get to financial independence, the faster you earn your freedom.
Think about it: if you had all the money you needed to cover your expenses indefinitely, you (1) no longer have to work for money, and (2) can take massive risks and never have to fear losing it all.
I didn't figure out the true notion of financial independence until I was about 30. Missing those five years of my life (where you are today at 25) has turned out to be quite costly.
This is the best advice I could possibly give to any young adult. Good luck.