Monday, September 15, 2014

What Tim Ferriss Wishes He Knew About Money In His 20s

by Libby Kane

Tim Ferriss, entrepreneur, public speaker, angel investor and author of the #1 New York Times bestseller "The 4-Hour Workweek", has shared some important personal finance advice with us.

When he was asked about what he wishes he'd known about money in his 20s, he said:

"In your 20s, optimize for learning, not earning.  Work directly under or with master deal-makers, and acquire skills.  This is particularly true for negotiating and hard skills like coding."

"What would you rather have: $20,000 more per year in your 20s, leading to making $100,000 to $200,000 a year in your 30s, or a lower-paying job from 20-25 - but one like a real-world MBA you're paid for - leading to making million in your 30s?"

"It often comes down to prioritizing skill acquisition over immediate post-college earning.  McKinsey or Goldman can be seductive, but it's easy to get trapped in a 20-plus-year path of paying for a bloated lifestyle that is always a bit more expensive than the year before.  Serfs can become self-made kings, but consultants tend to remain consultants.  The one true job security is a superior skill set."

Want to find out what other successful people wish they'd known about money in their 20s? read more