As a young person, you need to understand that your productive age is limited. You will age and can no longer be as productive as when you were young. Of course this will greatly affect your financial condition.
While you are still young, you need to think of several ways in advance so that when you are old you will remain prosperous. What ways can you start from now on? Check out the explanation.
Pension fund
When you are old and can't make money, you will automatically depend on the retirement funds you have. What happens if you don't have a pension? Of course you will be confused, right?
For that you can prepare a retirement fund from now on. Launching from Investopedia, you can start setting aside 15% of your salary to save each month, as a retirement fund. The earlier you save for a retirement fund, the sooner you collect pension funds according to the retirement fund target you want.
Investment for Old Age
Of course, it is very happy if you can still reap income in old age. Not by working, but you make money work for you aka by investing.
Picking the sweetness of investment returns should ideally not be done in a short time. For that you need to start investing at a young age even as soon as possible. Launching from the Forbes page, it is even said that you are never too young to use your money for the future.
Even though you are not yet at the peak of your career, you can still invest with the ease of investing from various current technologies. But make sure it's a legal investment!
Have Your Own Occupancy
Old age will also be calmer if you spend it in your own residence. Don't worry, you can still work on your dream home while you're still young. Even though you can't immediately stand majestic, but little by little you will make it happen as long as you have the determination.
It will be even more profitable if you have more than one residence that you can later use as an investment in old age. It doesn't have to be residential, you can also make other properties such as land an investment in the future.
Consider Insurance or Old Age Security
Having a guaranteed old age is the dream of many people. No wonder they try to have insurance to cover in old age. Insurance that you can consider having is health insurance, child education insurance, and old age insurance.
Even though you don't want to get sick, at least having health insurance can make you calmer if you suddenly get sick. Having education insurance can also make you not have to worry about funding your child's education in the future.
Everything you can do if you understand the importance of financial planning for the future. So while you're still young, make good use of the opportunity. For a prosperous old age!