Learning a few simple truths today will pay off tomorrow.
Among the countless stereotypes about young people is the belief that they manage money poorly.
Indeed, studies find that most twentysomethings fail at answering basic questions about stocks, mutual funds, and interest rates, and fewer than 40% of workers in their 20s participate in employer retirement plans.
But evidence also shows young adults behave wisely—when given the opportunity. For example, if you look at only those millennials who are eligible for 401(k)s, the proportion of participants rises to 70%. And among those who are saving for retirement, twice as many millennials as boomers are increasing the percent of income going to their 401(k) each year.
Making these stereotype-defying smart moves early in life can pay big long-term: Think millions. And those in their third decade still have plenty of time to learn basic principles that will lead to a happier, healthier financial life.
So, if you haven’t yet, check out MONEY’s list of financial rules to learn before you turn 20. Then read on for 10 things to know about money by age 30—and beyond. Read more