Finance Tips for College Grads Part 3: Invest

Welcome to Part 3 and my final tip for all you recent graduates…INVEST! Make sure you take advantage of your greatest asset…TIME! I cannot emphasize enough the importance of compounding returns not only on your money but also with yourself. When your in your 20’s, most of you will be in a position to take a high level of risk when it comes to investing (i.e. more stocks in your portfolio) but also with your life (i.e. taking that job in a new city, starting your own company, etc.). Use this early period of your life to build the foundation for what you want in your future! 

Invest your Money 

There are so many great platforms that make it easy to invest and have low or no account fees and zero commissions, like Robinhood for example. The other great thing about a lot of fo these platforms is that they also provide education. Most sites like TD Ameritrade, Schwab, or E*Trade will have tons of videos and articles on the basics of investing and building a portfolio. The financial education you build now will pay dividends in the future.

Time is your greatest friend when you graduate from college. Time allows you to take on more risk. Now all “risk” really means is more stock exposure in your portfolio and because you have a longer time frame before you retire, you can ride out the highs and lows of the stock market. Remember this is a marathon, not a sprint, so invest in quality stocks, do your research, and be patient. Also, make sure your comfortable before you put your hard-earned money into any investment. 

We all want to be wealthy and if you use time to your advantage, it will potentially help you get there a little faster. Check out this Investment Calculator, play around with it and see where you could be in 5,10, or 15 years if you start investing today. 

Invest in Yourself

You are your greatest investment and when you graduate, take the time to invest in yourself. While you are in your 20’s, make sure you take the time to learn as much as you can and DON’T BE AFRAID TO TAKE RISK!! In your 20’s no one cares about the car you drive, where you live and how much money you make.

Take this period of your life as 10 years to build the foundation for all the future decades to come. This can be getting a masters (only if you absolutely need it) or finding a mentor, taking that job at a start-up or starting your own business, relocating to a new city or state, etc. Remember there no mistakes, every setback in life is an opportunity to learn.

Check out our post on Setting Goals to Succeed in Life to help you get started as you enter this next phase of your life and sign up below for a FREE goals calendar!

Finance Tips for College Grads Part 1: Debt Finance Tips for College Grads Part 2: Saving

Free Goal Setting Printable

Subscribe to get it sent directly to you!

    We won’t send you spam. Unsubscribe at any time.
    Powered By ConvertKit

    **General Disclaimer 

    Although I am a financial planner by profession, I am not YOUR financial planner. All content and information on this website including our programs, products and/or services is for informational and educational purposes only, does not constitute financial advice and does not establish any kind of client relationship by your use of this website. A financial planning relationship with you is only formed after we have expressly entered into a written agreement with you that you have signed including our fee structure and other terms to represent you in a specific matter. Although we strive to provide accurate general information, the information presented here is not a substitute for any kind of professional advice, and you should not rely solely on this information. Always consult a professional in the area for your particular needs and circumstances prior to making any professional, legal and financial or tax-related decisions. 

    Leave a Reply