An Eye on the Future

"Nest Egg?" What's that?

For many my age, this term is never uttered. Nest eggs, 401Ks, Roths, or simply retirement accounts are for old people with money, after all.

That's not true. I actually have multiple friends that have already wisely invested for their futures. Having an account in which you invest funds is critical. It determines how much freedom you will have later in life. The basic principle is this: do not just save your money, have your money work for you. The concept of having your money work for you, over time, is very powerful. Market gains are, on average, much greater than savings account interest rates. This means that over time, your investment grows significantly larger in size. And when your investment grows to a point where you are living off of the yearly gains on your investments, your money is truly working for you. You would not have to work another day, because your investments are eliminating your need to trade your time for money.

What most people do in life is exchange their time for money. Without even thinking, they spend all their earnings, without investing. They cannot invest in their job, because they can always be fired, arbitrarily. They do not invest in the stack market because they have already spent their paycheck on bills. So when a person loses a job, they are dependent on finding a new one. What if this problem of never investing and always finding a new job continued until you were 60, or even 70 years old? Wouldn't you want to retire, spend time with you family, and be free?

Robert Kiyosake says that you must "pay yourself first" and invest. Investing allows you to leverage your money, increase assets, and end the vicious cycle of trading time for money. So with that, believe that you can build real wealth starting today, and become free from the restraints of money.