If you don't avoid these money traps by your 20s, you'll be working until you are in your 60s:

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1.Choose the right partner

Your partner can either break you or make you. If you want to please your partner only by spending on wants, you will end up being broke. Find a partner who shares your money philosophy. A person with high morals who does not value the superficial.

2.Luxurious lifestyle

The more income we have, the more we are tempted to buy more and look good. If you chase a luxurious lifestyle, you will not save and invest. Outward appearances do not equate to success. Success is having control of your time.

3.Failing to upgrade a career

Your 20s are a golden age to level up professionally. You should:

- Learn skills

- Change jobs

- Ask for raises/promotions

This ensures that your career has an upward trajectory. The more income you have, the more assets you can buy.

4.Spending a lot on weddings

A wedding does not have to be expensive to be memorable. Do not be in debt for a one-day event. There are affordable ways to celebrate. Be on a budget and do not overspend. There is a life after the wedding.

5.Trying to impress others

Society convinces us that it is cool to have the newest things. If you have to buy gifts to keep friendships, they should not be your friends. All will disappear when there is no money. Seek to create friendships based on goals, not personalities.

6.Buying a new car

Having a new car is a status symbol. You need to fit in with society to impress others. A new car loses about 30% of its value in the first year. Buy a used car and invest the difference. Cars will always be there. Prioritize your future.

7.Not investing for retirement

Understanding compound interest is a lifesaver. Starting early is the key to wealth accumulation. Investing provides a good nest egg to enjoy your retirement and take care of future costs. Spend money for time, not time for money.

8.Not having a financial plan

Financial security and wealth accumulation require planning. If you do not know where you are going, you will not have any direction. Set out a roadmap with short-term and long-term goals. Plan big financial decisions with professionals.

9.Saving for your kids

instead of your retirement Do not save for college if you do not have enough for your retirement. There are college loans, but there is no retirement loan.

10.Not paying high-interest debts

Not taking care of credit cards and personal loans will eat into your savings. Seek to pay off these debts so you can invest more money. At this age, you should remove unnecessary debt and increase your investments.

11.No emergency fund

Unexpected costs, such as a car repair or a job loss, are needed to keep you from borrowing. A lack of emergency funds to remediate the situation could derail your finances. Keep 3 to 6 months' worth of expenses aside to remedy any dire situation.



Source: Quora.

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