Investing Your Money: A Brief Guide for Millennials

investing your money

Perhaps no other generation has been more affected by the great economic recession of the 21st century than Millennials. Close to one in five Americans today between the ages of 18 and 24 describe themselves as financially suffering from “debt hardship.”

The reasons stem from both sides: Not only has the cost of higher education skyrocketed — the College Board reports that average tuition and fees for the 2015 academic year were $31,231 for private institutions and $9,139 for public ones — but the job economy upon graduation into the “real world” has been grim for years.

Investing your money might be the very last thing on your mind when you’re already concerned about paying the bills on time and figuring out ways to reduce debt. But in fact, investing money now, during your youth, is the smartest way to ensure a secure financial future for yourself.

Millennials haven’t got it all bad. Here are three of the top reasons you should start investing your money today.

  • Time is on your side. Everyone knows that investing in stocks or funds usually takes time before you see your money grow. Invest your money now — even if it’s only a modest amount — and with time, it can turn into more funds that you can use years from now to make that down payment on your dream house or send the future kids off to college.
  • The economy is recovering. It may seem to move at a snail’s pace, but all signs indicate that the American economy is back on the rise and will continue to have a strong presence in global finance. That means that it’s a safe and smart time to make investments while prices are still low and climbing.
  • Technology is an asset. Millennials are known as the tech-savvy generation, and as investing moves increasingly to the digital and even mobile realm, the younger generations with the right know-how will be well poised to take control over their financial management strategies.

Yes, times are still tough. A full 26% Americans struggle to even pay their bills on time. But the old adage “Buy low, sell high” has never been more pertinent to young people looking for ways to increase their finances without hardly lifting a finger. Take stock of your future and start investing your money as soon as you can.