Hey guys, it's sasha one of the most common questions i get asked on my youtube channel is: how do you go about getting started with managing money when you first turn 18 and into your 20s youtube videos about this weren't around when i was entering my 20s? So i thought i'd go and make a video that i wish i had seen when i was in that situation, because i made some of the mistakes that i'm going to be talking about, and hopefully by watching this video, you won't have to make those same mistakes As well, but just before i go and tell you what the key elements of doing well with money when you're young are, let me tell you a few things that are not because, as i said in the title, i don't want to talk about the bs. I've seen a crazy amount of really really bad advice over on youtube and on social media, mainly from young people who tend to pretend to be rich, because it apparently impresses a lot of others. I am not going to tell you through and go and invest in bitcoin coin or whatever the latest random coin that is in favor. I won't tell you to join a secret course that will teach you how to be a millionaire and i'm not gon na, go and film this video with the lamborghini park behind me.

If you want any of those, things feel free to go and find a suitable channel or suitable tik tok account and go and watch their contents. Instead. Now i'm going to start with the most boring, but also the most powerful way that you might be able to go and get rich, and that is through learning. There seems to be a new 20 year old, millionaire every single day telling you that you don't need to go to university, because it is a giant waste of time.

The worst thing that you can do, in my opinion, is go and listen to these idiots. Learning is by far the best path to becoming successful later on in life. Some things that you will learn will be practical and directly applicable skills that you will actually be able to use in work. Other things might seem completely pointless and i would know i studied pure mathematics at university, but learning is a process of training, a brain, the more you learn, the better.

You understand concepts, the better. You are remembering things the better your critical thinking, the better you are at analyzing concepts and asking the right questions and learning doesn't stop at the point when you graduate. In fact that is when it really begins. This is the opportunity for you to learn so much more about the real world out there so go and get a job and learn as much as you possibly can from the job go and learn from the smart people.

You're going to be working with from your boss from other people around the organization soak up as much of their experience, their knowledge and the things that they know as you possibly can there is this weird fomo effect of people feeling like they have to make it By the time they're, 25 or 30, because if it's, if you haven't, then it's too late, you've already failed and the truth is the vast majority of successful people in the world do not get to the place where they are successful and where everything is working by The time they're 25, you have five decades from the point when you are young and entering your twenties until the point when you're probably going to be considering retirement, some people may choose to retire early, but you have a huge amount of time to learn. Use it. Next, let's go and do a practical tip get yourself a credit card. You might not hear this advice very often, it certainly doesn't sound like something that's going to get you rich, but actually this is probably one of the most powerful tools in helping you to grow wealth over time.

Getting a credit card lets. You start building a credit history and it doesn't matter really which credit card you have uh. They all pretty much do the same thing. You don't need a platinum american express card as long as you're, not paying fees for the privilege of having a credit card.

It will all help in exactly the same way using your credit card for regular purchases. Food shopping, paying your bills and repaying that credit card in full. Every single month will help you go and build your credit history and the credit history will. Then let you get that cheaper phone contract allow you to cheap to get access to cheap borrowing when you need it.

Allow you to go and buy a house at a point where you might come to doing that and let you borrow when you're starting up or operating your business. All of these are incredibly important things. This is super important because, without having good credit, life can get incredibly difficult and much more expensive, which brings me to my next point, which is do not get into debt. I can't stress this enough: don't use the credit card to go and borrow money? It is very, very easy to fall into this trap, but make sure you budget and make sure you don't spend more than you earn always leave a buffer and avoid incentives like buy now pay later or spreading your payments over 12 months on a zero percent deal.

You'll tell yourself that you're only going to borrow for a month and then life happens, you have another expense, and then one more after that and before you know it you're sitting in this perpetual debt prison you just can't get out of this - will cost you a Lot in interest in fees - and it's also going to cash - you cost you a lot in cash flow if you're earning just 2 000 per month after tax, but you have to pay 1 000 per month in repaying your debts. You are literally earning less than minimum wage after you take that into account it's toxic, and it can really affect many many big life choices, how you feel day to day about your life, and it can be really damaging to your prospects. Instead, what you should do is invest your money to make it work for you rather than against you. Now.

I am not a financial advisor and i can't provide financial advice to you, but investing over the long term is the best way to grow. Your wealth. Don't make the mistake of thinking that investing can actually make you rich, because a lot of people say it because it will not investing, cannot make you rich. You will have to find ways of actually earning money in order to do that and earning money and investing are not the same thing.

But investing is what can keep you rich and what can grow your money over time grow the money that you earn in the uk, the best way to invest it through a stocks and shares isa account. This allows you to deposit up to 20 000 pounds per year and any gains and any dividends that you earn from those investments will be free of uk capital gains and uk dividend tax in the us. There's a similar scheme called a roth ira and in most other countries around the world, depending when you're watching there are likely to be some similar account types as well, so make sure you go and check that out. I have links in the description for the best value uk stocks and shares isis, so make sure you go and look them up if you're interested in going down that path.

You can start your journey by investing as little as just 10 pounds. It is so easy to get into the world of messing and can take about two minutes and if you use one of my links, you'll get a free share for the privilege of signing up and i will get one as well. So thank you very much. If you do use one, my next top tip is another one that seems to go against the grain of popular opinion at the moment, because it's very fashionable to go and say the opposite, and i think that a really good idea at some point in your 20s.

If you can go and get there is to go and buy a house now buying, a house is often portrayed as a really bad financial decision. You have to maintain it, you have to save for the deposit, it takes away flexibility. You know people say that it's incredibly expensive. The truth, in my opinion, is the opposite.

Whether or not you buy a house, you will have to go and live somewhere and to live in that place. You're gon na have to go and pay money, whether it's rent or mortgage. There is absolutely no way of avoiding it. Unless you have very nice parents that let you continue living in their house mortgages have some upfront costs sure they do.

There's legal costs as well, but the monthly payments once you do, go and get that mortgage on average going to be about 10 lower than renting the very same house. Because of the way that the economy of renting works and a few years down the line that gap will widen because when you buy a house, you fix that price at the point at which you buy, but rents continue increasing year after year. Property is also a massively great way of diversifying your investing when you buy a house you're not just buying a place to live, you're also buying an asset, and that asset will, on average in the long run, appreciate in value, because people always will need to go And live somewhere. The amount of land on this planet is finite.

The amount of space for people to live is finite, and, while the population the world continues growing, the value of property will over time continue growing as well. If you move in the future, you can go and sell that house and have a few hundred thousand to spend on your next property or invested in your business or invested in something else of your choice. If you can go and rent that house out that's another option and that way you can go and earn monthly rental income instead. So, there's a lot of interesting opportunities that open up the moment, you're able to go and buy a property, which is where i come to my next point, because starting a side hustle is a really cool thing that you should really consider.

As you are moving 320s now, the one thing i'll say that i think is different to maybe some of the other advice you might have heard is. I wouldn't necessarily rush into this when you're just 18 or when you're, just starting out in your first job, because you want to go and do that learning. You want to actually go and pay attention to the thing you're primarily doing, and i tried a million different things in my 20s. I'm talking from personal experience - and i probably would have done a lot better if i just spent a bit of time initially doing the learning in a better way and not just the learning learning but learning about myself.

You know learning what kind of work i enjoy doing, learning how i enjoy doing that work and, more importantly, perhaps the kind of work that i don't enjoy doing through actually going and doing a variety of different things, but starting a side hustle will let you go And achieve a number of really important money objectives, number one: it will earn you some money, which is a really good place to start number two. It will teach you new skills and number three. It may allow you to eventually quit your job and make the side hustle your full-time gig. The really good thing with the side hustle is that it also gives you that extra layer of security, which is, is something hugely important in the unstable wild world that we currently live in in the event that you suddenly go and lose your job and everything falls Apart, you still have the side hustle that may be earning you, not that much money, but it's still more than nothing and in the future, the more time you spend on building that side hustle, it could be earning you more than that as well.

You have more skills through doing the site house where you have more experience and you can leverage those either through doing that side, hustle as a full-time thing or in your next role, because you have actually built up that extra knowledge. That extra experience. That's how i started out, i started out doing blogs and youtube videos as a side hustle, and i was doing a lot of different things at the same time, and that was very much not what my main thing is, and now i get to do these things That i actually enjoy doing literally recording this video as my actual full-time job, and the best thing is to earn more money from this side hustle than from doing a real job, which is a really nice extra benefit. Now i hope you find this useful if you have please make sure you go and hit the like button for the youtube algorithm, if you're interested in learning more about personal finance, about investing and all things money make sure you subscribe to the channel, because that is What i talk about in every single video, thank you so much for watching all the way through.

I really really appreciate it and, as always i'll see you guys later, you.