Starting Out

If you are just starting out, it’s easy to get off on the wrong foot. Between the ages 18-29 we are gaining financial independence and saving for the next big purchase – either a vacation, car or for their first house.

Your first priorities are likely furthering your career, paying down debt as well as balancing a relatively expensive social and recreational lifestyle.
For many people, it takes them a lifetime to escape the trappings of credit card debt. Of course, credit cards are not the only thing that determine your credit score, but they are usually the largest pitfall for most people.

When you are young, the future can seem far away, but a few dollars can make a bigger difference than you realize. Just $50 per month can become $7,900 in 10 years with a modest 5% annual rate of return. If you run the numbers again with a $500 per month contribution, you get $79,000. However, if you put it off for 5 years, you are only left with $35,000. That’s the price of procrastination. Tracking your expenses and an updated budget is also an important first step to financial success.