Thank you to Wealthfront for sponsoring this video! Open up a Wealthfront investment account today through my link and get your first $10,000 managed for free: http://invest.wealthfront.com/graham – Enjoy! Add me on Instagram: GPStephan
LIMITED TIME: Get 2 FREE STOCKS ON WEBULL when you deposit $100 (Valued up to $1850): https://act.webull.com/k/Vowbik9Tm5he/main
JOIN THE WEEKLY MENTORSHIP – https://the-real-estate-agent-academy.teachable.com/p/graham-stephan-mentorship-program/
THE NEW PODCAST: https://www.youtube.com/channel/UCMSYZVlQmyG8_2MkIKzg0kw
The YouTube Creator Academy:
Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://bit.ly/2STxofv $100 OFF WITH CODE 100OFF
LINK TO FULL STUDY HERE: https://www.nber.org/papers/w28396
THEY SAY: As of now, the general consensus is that college-educated salaries go up over time, as you gain more experience. Because of that, it becomes EASIER to contribute larger amounts to retirement as you make more money, LATER IN LIFE. PLUS, INFLATION also makes buying things more expensive over time – so, they say: the time to spend is while your income is LOW, enjoy things NOW while you’re healthy enough to enjoy them…and THEN, by 40 years old, saving for retirement will be EASIER, without cutting back, because you will already be in your peak earning years.
However, there are a few obvious assumptions:
First, they assume that Social Security will replace 33% of your income in retirement.
Ultimately, the only way for the social security fund to continue functioning is if more and more people contribute to it to pay off the previous people, who are now living longer and continue receiving payouts…but, that’s not happening. The social security fund is said to be underfunded, and current reserves could run out by 2031.
Second, they assume that your income will steadily increase over time – and this isn’t something that’s GUARANTEED.
Third, LIFE HAPPENS.
Nothing is guaranteed – including that we’ll actually be old enough to enjoy our money one day…but most likely, you will live through your 70s.
As for me, I think NOT SAVING for retirement throughout your 20’s is a HUGE mistake…simply because your 20’s are the EASIEST TIME for you to invest. If anything, I think NOT INVESTING before 40 will make you WAY more miserable…than investing too much BEFORE 40…and that’s something a chart won’t be able to calculate.
That’s why, I see the BEST, EASIEST SOLUTION to all of this is just this simple: save and invest as early as possible, and prioritize this as a necessary budget. If there’s anything left over that’s above the amount you budgeted for, consider using THAT amount for your “fun money.” BUT, just like you wouldn’t skip your rent payment so you can got o Coachella…you shouldn’t skip a Roth RA contribution because you want to buy something else instead.
My ENTIRE Camera and Recording Equipment:
For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at GrahamStephanBusiness@gmail.com
*The benefits of Tax Loss Harvesting may vary and you can review the assumptions here:
Cash account is offered by Wealthfront Brokerage LLC, a Member of FINRA/SIPC. Wealthfront Brokerage is not a bank. We convey funds to partner banks who accept and maintain deposits, provide the interest rate, and provide FDIC insurance. The paid testimonial provided above may not be representative of the experience of other cash account clients, and there is no guarantee that all cash account clients will have similar experiences. Investment advisory services are provided by Wealthfront Advisers LLC, an SEC-registered investment adviser, and brokerage products and services are provided by Wealthfront Brokerage. Nothing in this communication should be construed as tax advice, an offer, recommendation, or solicitation to buy or sell any security. All investing involves risk, including the possible loss of money you invest, and past performance does not guarantee future performance.
*Any links provided by Graham Stephan are not intended to imply that Wealthfront Advisers or its affiliates endorses, sponsors, promotes and/or is affiliated with the owners of or participants in those sites, or endorses any information contained on those sites, unless expressly stated otherwise.
*Some of the links and other products that appear on this video are from companies which Graham Stephan will earn an affiliate commission or referral bonus. Graham Stephan is part of an affiliate network and receives compensation for sending traffic to partner sites. The content in this video is accurate as of the posting date. Some of the offers mentioned may no longer be available.