Financial Independence: Is It Possible In Your 20s?

Financial Independence: Is It Possible In Your 20s?

The decade of most people’s 20s is one of the most important in their lives. It is the time where they usually pursue higher education, get started in their careers and maybe begin starting a family.

It is also usually stereotyped at the time when people struggle to achieve financial independence. This is because they are just starting out in their first job, purchasing their first home and becoming responsible for their own upkeep for the first time and often, this leads to some amount of financial strain.

However, it is possible to achieve financial independence in your 20s in a few steps.


Some people were taught the importance and process of saving from an early age and some have to learn it from scratch in adulthood.

Regardless of how it comes about for you, it is imperative that you learn to keep money aside as soon as you have an income.

At the beginning of each year or month, decide on how much money you want to keep aside for that period and ensure that you stick to it.

To avoid any unexpected circumstances, make sure you save as soon as you receive your income and spend what is left instead of the other way around.

You can even speak to your bank and have them automatically deduct your desired amount from your paycheck and transfer it to a savings account.

For added measure, do not get a debit card for the savings account.


Investment is one of the keys to financial freedom and there is no better time to begin your investment journey than in your 20s. This is because you are still relatively young and should any of your investments fail, you have time to recover.

Read up about various forms of investments such as stocks, digital assets, and real estate.

Designate a portion of your income to slowly build an investment portfolio.

Avoid overspending:

When you are young and earning money for the first time, there is the temptation to begin upgrading your lifestyle and spend money on entertainment, travel and so on.

Instead of spending on impulse and potentially ruining your finances, create a budget for entertainment that is sustainable and do not exceed that amount.

For bigger purchases such as holidays, try your best to save towards them in advance. Also, take time to calculate what your small expenses cost you on the long run. A cup of coffee every day before work can end up costing you a significant amount when added up in a month.

Keep your subscriptions to things such as gym memberships, entertainment services, and clubs at a minimum.

Become financially literate:

Knowledge is power, particularly when it comes to money-related matters.

Regularly read articles finance websites and blogs to stay up to date on the latest information.


Contrary to popular belief, your 20s do not need to be spent in financial struggle. Read and apply the above tips to enjoy financial independence in your 20s.

Leave a Reply

Your email address will not be published. Required fields are marked *