• ryannathans@aussie.zone
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    11 months ago

    Learn to invest and grow money ffs, don’t just squander your income. At the bare minimum understand compound interest. The earlier the better

        • Good_morning@lemmynsfw.com
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          11 months ago

          They guy with an extra 10$ a month invested isn’t in the same stadium as the guy with an extra 3k a month invested. 1 can retire, the other goes broke or in debt if they have car problems.

    • Cowbee@lemm.ee
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      11 months ago

      The idea that workers can’t understand compound interest, as though it’s some crazy new idea, is a lie told by Capitalists to split the labor Aristocracy against the rest of the Proletariat.

      Everyone knows that investing is good. Lying to engineers and doctors that they are somehow smarter and better than people who can’t afford to invest just because engineers and doctors often can afford to invest is just a way for the bourgeoisie to protect itself from a United Proletariat.

      • ryannathans@aussie.zone
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        11 months ago

        What delusional nonsense are you dribbling? You’ve created some side argument for yourself nobody is talking about

        • Cowbee@lemm.ee
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          11 months ago

          You’re blaming people’s struggles with financial goals on poor planning and financial literacy, and making it a personal failure, rather than a systemic one. The reality is that people already understand basic financial literacy, but simply don’t have enough income to meet basic financial goals regardless of budget.

      • ryannathans@aussie.zone
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        11 months ago

        You lose if you sell during a crash. If you bought literally just before the GFC and didn’t sell, you would be up +313% on S&P 500. Buying at the worst time pre-GFC would have you negative for only 5 years.

        • Spacehooks@reddthat.com
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          11 months ago

          Yeah I agree but if you planned to retire or planned to pay for a house or your kids college with that money you are SOL. Now you have to wait again on things that are time sensitive.

      • ryannathans@aussie.zone
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        11 months ago

        Understand compound interest, how money grows over time. Learn to maximise your interest rate on savings and minimise interest rate on debts. If you have enough savings for an emergency fund, start investing excess savings into investment options that meet your personal risk threshold. Low risk options exist with high average yields (about 8%) like low fee ETFs tracking S&P 500 or other market indexes. My superannuation fund (retirement fund) has an average annual return of 12% for the past ten years, yields higher than this could impart higher than average risk of negative returns. Starting as early as you can lets you reap the benefits of compounding interest, snowballing income. Note that as interest rates go up, stock market returns usually decrease. If buying US stocks, make sure you DRS them otherwise you don’t own them. I’m not a financial adviser, I’m just savvy with retail investing

        This flow chart is Australian but should loosely apply elsewhere too