Written by: Braden B.
Investing is a way to expand your money by putting it into different financial shares, schemes or property. It was something that not many kids begin to do in high school but I believe everyone should start investing early and should be taught how to invest in the right companies and at the right times.
One benefit to investing early is compound interest. Compound interest is the interest earned on interest. By constantly reinvesting your money you are increasing your ROI (return on investment) exponentially. This compound interest allows you to grow your money supply over a period of time. Investing early also improves your spending habits. It allows you to focus on your budget and cut expenses when needed. Investing develops disciplined spending habits, which makes you a smarter spender. A survey done by the American Institute of Certified Public Accountants found that over ¾ of millennials want to have the same clothes, cars, and gadgets as their friends. And over half of these people have to use a credit card to pay for basic necessities like food. This group of people had poor spending habits because they were focused on getting what their friend had and weren’t thinking about their needs. If they were purchasing food constantly with a credit card that much means that they weren’t in a good financial state to pay for that food up front. Investing early can limit these situations and provide you with a clear view on what to spend your money on and when to spend it. This graph to the right shows the impact of when you start investing. As you can see Jack, Jill and Joey all invested the same about: $200. However, Jack started investing 10 years before Jill and 20 years before Joey. As you can see from the graph Jack has made way more money off of these investments that Jill and Joey has. This graph came from money.usnews.com. In order to create the most ROI possible you have to be educated in making smart investment decisions. That’s why I believe we as students should be more exposed to investing strategies in school. This way we can learn about it and apply it to our lives to confidently place our money into healthy companies.
Overall investing is a great way to earn extra money, and investing early allows you to maximize the amount of money you can make. Investing at a young age gives students the opportunity to learn about positive spending habits while also being a step above other students in the real world.
Works Cited
“9 Charts Showing Why You Should Invest Today.” U.S. News & World Report, U.S. News & World Report, money.usnews.com/investing/investing-101/articles/2018-07-23/9-charts-showing-why-you-should-invest-today.
Folger, Jean. “5 Advantages of Investing in Your 20s.” Investopedia, Investopedia, 29 Jan. 2020, www.investopedia.com/financial-edge/0212/5-advantages-to-investing-in-your-20s.aspx.
Pritchard, Justin. “Compound Interest Makes Your Investments Grow.” The Balance, The Balance, 6 Dec. 2019, www.thebalance.com/compound-interest-4061154.
Wang, Jim, et al. “The Massive and Surprising Power of Starting Investing Early.” Best Wallet Hacks, 20 Jan. 2020, wallethacks.com/investing-early-trumps-everything/.
I have a friend who's grandfather could've invested in taco bell but he choose like something that fell of the face of the earth twenty years later. I think that passages like the one you presented will help more people in the world than you think.
ReplyDeleteI think the visual that directly showed how much money you would have saved from investing early is very interesting. We are told to start saving early, but don't necessarily understand what that means and how that could benefit us. In addition, the idea of not being able to pay for a basic necessity like food, is a problem. The influence we have on our peers can influence our economic standing. That is something that I think we need to most past as a society, because our happiness is not determined based on what our peers may or may not have
ReplyDeleteI agree that us teens overlook the value of investing in general. We often think it is something that we start doing later in our life, when your visual clearly shows how much of an impact it really makes on our lives. I agree that we should all genuinely think about investing and its impacts on us as people and out future.
ReplyDeleteI really liked how you used and described your visual in your argument because it really helps to see what you're saying instead of just having to read the article and visualize for yourself. It provides a great example of how your money can grow if you invest wisely.
ReplyDeleteThis is how my colleague Wesley Virgin's autobiography begins in this SHOCKING AND CONTROVERSIAL VIDEO.
ReplyDeleteWesley was in the military-and soon after leaving-he found hidden, "self mind control" tactics that the government and others used to get anything they want.
THESE are the same methods tons of famous people (notably those who "come out of nowhere") and top business people used to become rich and famous.
You probably know that you utilize only 10% of your brain.
That's because most of your brain's power is UNCONSCIOUS.
Perhaps that conversation has even occurred INSIDE your very own head... as it did in my good friend Wesley Virgin's head 7 years back, while riding a non-registered, beat-up bucket of a vehicle without a license and in his bank account.
"I'm very frustrated with living paycheck to paycheck! Why can't I turn myself successful?"
You took part in those questions, am I right?
Your success story is going to happen. You just need to take a leap of faith in YOURSELF.
UNLOCK YOUR SECRET BRAINPOWER