- Live within a budget such as YNAB
- Track and control expenses
- Save money by default
- Live beneath their means
- Regularly contribute to an employer’s retirement plan
- Pay off any debt in a regular, controlled manner
- Contribute to an IRA
- Deposit money in a savings account automatically
The difference was the magic number of five. Those who performed any five of these behaviors were on track for financial success. Maritz classified those who only participated in four of these behaviors as just “dreamers.”
The key is to have already opened that IRA or to sign up for your employer’s retirement plan. It all starts AFTER that.
Parent’s have a far-reaching effect on their children in so many ways and the money aspect of a child’s life is no different. By talking with your children about money and exhibiting the discipline to practice what you preach, you’ll not only be financially better prepared in your own life, but you’ll potentially help your children learn the importance of being prepared themselves.