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Anonymous asked in Business & FinancePersonal Finance · 1 month ago

Am i over reacting?

Am I overreacting? Im 29 years old, I have $66,000 saved with no debt. I'm healthy, no kids, I know I should feel secure but I don't.... I feel like I constantly have to keep going and feel like I'm falling behind. Inflation worries me, the rising cost of living, I feel like no matter what I do I can't keep up. I literally feel like in this world you cant relax unless your a multi millionaire and  live frugally. It's unbelievable. 

3 Answers

  • Anonymous
    1 month ago

    No you would feel the same way if you had 10 times that.  Thats good though, you have to have goals and stay driven.  

  • 1 month ago

    Of course you should keep going.  That doesn't mean you shouldn't have balance and enjoy yourself, but you certainly aren't set for life.  Look for places for that money to work for you instead of just losing value to inflation in a bank account (especially tax deferred vehicles for retirement such as an IRA).  What you're feeling is nothing new.  I have much more than that in my retirement account and other investments, but I still feel like I'm frugal.  Again, it's a balance.  From my standpoint, you're ahead of those who live only in the moment and having nothing in their accounts.  

  • Anonymous
    1 month ago

    I do believe it's true that it's harder for young people today especially if you don't have a university degree or a skilled trade in a field that pays decent money.

    I also believe that most young people today get basically zero good long-term financial planning information either from school or their parents.   Line up 100 random parents on the street and ask them to tell you what a stock or bond is (or what the difference is) and most won't be able to tell you.

    I do agree that your generation needs to be multi-millionaires to retire comfortably.   I think that for MY generation too (I am 50).

    The good news is that over a long period of time, it's quite easy to build financial security and become a multi-millionaire even if you don't have a college education or make a ton of money.   You must live below your means and invest with every single paycheck you get.   And invest wisely.  And that means not too conservatively and not stupid aggressive either.

    My own dad neglected his retirement planning as no one ever told him he needed to do it.   When he was 50 and still had 2 teenagers he realized he needed to get busy.   My dad is a smart guy and also had an advanced STEM degree.  In 1987 he came across a little tech start-up called Microsoft and invested $13k.  I'm not even going to tell you how many millions he has now because it will curl your toes.

    Start young.  Invest with every paycheck.   Don't panic about ups and downs because those are normal.    Use Roth accounts to their max.

    You're correct not to feel secure with only 66k.   But you know EXACTLY what you want and what you need to do.  That is HUGE.   Keep on keepin' on and it will come together over the course of your life. 

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