After a year of full-time employment I had saved more than € 10.000.
I was considering:
- Moving to a bigger house
- Buying a car
- Getting a fancy barbecue set
- Buying an off-road segway
Truthfully, I didn’t really need any of those… What I needed was to think long-term and figure out a smart way to manage those savings.
So… I did my research and came to a SHOCKING conclusion:
Every day that I left my savings on my savings account, I was losing money AND supporting manufactures of weapons, cigarettes and other terrible crap!
Nobody tells you about this in school, but the way you manage your savings is actually a really big deal.
Instead of blindly setting money aside for your old age on a savings account, you could be generating a passive income with it!
On a savings account, your money basically just sits there. Interest rates on those accounts are usually very low.
In addition to that, many of us end up supporting non-ethical enterprises by keeping our money in banks that do not prioritize sustainability.
Luckily there is a better way!
By investing your savings in sustainable index funds, ‘future you’ will be able to cover all monthly expenses from the interest of your savings, while supporting sustainable and ethical initiatives.
MY OLD FINANCIAL SETUP
(you are probably making this same mistake)
With this setup it would take me 81+ years to become financially independent. Ain’t nobody got time for that!
MY NEW FINANCIAL SETUP
This fully automated structure frees up headspace and allows me to stay on top of my finances. Thanks to this new setup, I will be financially independent +/- 13 years from now:
[Download the tool] to calculate YOUR time till financial independence.
For more info on what funds to invest in, how to maximize savings and how to make your stack as efficient as possible: head over to my personal site for the full article: nielsvandenbergh.com/how-to-start-investing
Let me know what you think in the comments or tweet me @nillavanilla