I know I may ruffle some feathers with this one, but I do not believe that people should wait until they are debt-free before they start investing. I explain my thoughts behind this in the video below. I understand that everyone must do what is best for them and their specific financial situation and that there are many variables at play from someone’s age, income, amount of debt, type of debt, interest.
What is net worth?
Net worth is the value the assets a person or corporation owns, minus the liabilities they owe. It is like your financial report card letting you know where you stand financially.
Can you invest, while in debt?
I believe that you can. I know many people follow Dave Ramsey’s baby steps which say that you should first save $1,000, then pay off all of your debt except your mortgage before you start investing. I believe that both can be done so you are not debt-free at 32 and starting with a 0 net worth and missed out on all the years your money could have been growing in the market in your younger years. There are people missing signing up for their jobs 401k program to just put it all towards debt. In my opinion, I believe people should do both.
Resources for you to get started investing in the stock market
I have a masterclass that I did called you can do both how to pay off debt and invest if you make less than $50,000 it’s a 1-hour masterclass that shows you step by step how to do both.
If you want a more in-dept review of how to start investing in the stock market you should check out this amazing course by Kevin Matthews he is a former financial advisor who managed more than $140 million in assets during his advisory career, trust me he knows his stuff. He is breaking it down in easy to understand terms and making sure you are confident before you start investing your money.
*DISCLAIMER: I am not a financial adviser. Please only take this as educational. It is your responsibility to do your due diligence and research. Everyone’s situation and experience will be different. AFFILIATE DISCLOSURE: I am affiliated with a number of the offerings on this channel. I also have relationships with many of the influencers I bring on this channel however the people I do bring on I trust their work and their products. channel. This also includes the use of Amazon affiliate links.