Financial advice is everywhere. There are so many “experts” on social media trying to tell you what to do with your money. How do you know what’s real good advice and what isn’t?
“Mind Body Green” is here to help. They spoke with financial experts about some popular money saving myths that need to be debunked. Here are five of them you should stop listening to.
- You can’t save when you’re in debt. In reality, you do need to save in order to become debt-free.
- I need to first focus on saving for retirement. Saving for retirement is important, but you also need an emergency fund to handle any financial crisis that arises.
- A simple savings account is best. A high-yield savings account is a better option for saving money that you don’t want to invest.
- Having savings that allow me to withdraw 4% of my money annually in retirement is sufficient. Nowadays, lots of retirees don't see enough growth in their accounts to support this withdrawal rate, especially as they live longer.
- I’m too young to start saving for retirement. It really is never too early. The earlier you start saving, the more compounding interest you get.
Source: MindBodyGreen