Ballin’ on a budget? You’re not alone. Especially amidst the current financial crisis, learning how to spend and save your money wisely has become an essential need now more than ever.

When struggling to balance your wants and needs with little disposable income, remember that one of the first steps in creating financial security is to start investing early. 

Forget the common misconception that investing in the stock market requires the big bucks – you can begin investing with as little as $100. Start pocketing the money you spend on your lunch break and begin building your portfolio. This is what is referred to as the ‘cookie jar approach’: a simple way to start increasing your savings by putting aside some spare cash.

By saving just $20 a week, you can amass over $1,000 in a year. 

Sound a bit daunting?

Challenge yourself by setting up an automatic transfer to your brokerage account for $20 each week and do not change it for at least six months.  You’ll be surprised at how quickly this becomes natural.

Start with a low-cost index fund and as you develop your portfolio, work with an Advisor to find other options that can provide greater returns and to help develop more efficient tax strategies.

In addition to building your individual brokerage portfolio, consider investing in your employer-sponsored retirement plan.  Most commonly, a 401k. If your employer provides matches to your contributions, you are essentially getting free money to invest into the account. Starting this at a young age, evening if investing minimal funds (say just 1% of your salary), will pay huge gains over time as the interest compounds and compounds.

It is never too early to start earning money on the savings you have acquired.  The sooner you do it, the longer the money has to grow. The path to paying off those student debts, managing your mortgage, and planning for retirement begins now.