There is no right time to start saving. Each period of life has its obligations and projects. Some start at a young age, and those who start at the end of their career. Each age group has its objectives, its key investments, but above all its savings.
What do you need to know about saving?
Saving is a practice that has always existed. It is a financial reserve that is voluntarily set aside for a while. In the past it was mainly not spent on food, but today it has become more common. It is a deposit account placed in a bank for rare occasions. That said, this part of the income earns considerable interest, depending on the banking institution you join. However, with monetisation comes the savings book, which is a vast product. Its advantage lies in the fact that the holder of the savings account can benefit from a guarantee on his capital. However, you still need to find the right savings account for your age among all those on offer.
Why save for your retirement?
There are various reasons why it is important to save at your age, the first of which is to protect yourself in the future. Indeed, in the face of a more or less unstable economic situation and unforeseen expenses, you can reorganise your budget more easily thanks to your savings as this money will be available to you at any time. You also save for an important project, not just to pay all kinds of bills. This could be a wedding or the purchase of a property. So, to ensure this, you can set aside a small amount of your regular budget. Saving also allows you to have an additional income for your retirement. Thanks to it, you will not have any difficulty in meeting your needs, especially in the face of an insufficient pension.
At what age should I start saving?
The practice of saving means putting money aside little by little. You can start doing it even when you are still at school. There is no ideal age, as you can save in accordance with your age.
Saving at 18:
Banks offer a variety of interesting savings offers. There are even flexible and accessible products specially adapted to teenagers. There is the youth passbook and the Livret A.
Saving at 25:
At this age, you can start benefitting from savings with better interest. With a fixed salary, you can build up your savings by setting aside a fixed amount each month. To take advantage of this, you can subscribe to a PEA, which is much more interesting, or the PEL.
Saving at 30 and over:
When you reach 30 and beyond, saving is used to consolidate your capital and prepare for your retirement. Your needs are different than when you were 20. You can then save with life insurance and the RSP to increase your capital.