The 6 Ways Minimalism Can Make You a Better Long Term Investor

Investing is a scary word for people and I totally get it. There’s so much to know, so many numbers and terms and types of ways to invest. How can a minimalist lifestyle make start investing a little less overwhelming and actually help you be better at long term investing? Well, lemme tell ya.

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You’ve already scaled back your spending

Most minimalists have worked to understand what they truly value in their lives. That often means that they are spending less each month because they don’t desire bringing more into their homes

Having already reduced spending is a sure sign that you have freed up additional money that could now be put toward investing.

Need help creating more money?

My biggest belief when it comes to budgeting is that you need to be selfish about it. Make a list of the things you want to do, have or accomplish and then build a budget around those things.

If you love the idea of having a budget specific to you and your needs, make sure you check out my Budget Hacking course that lays out how to plan and create a budget just for you!

You’ve mastered delayed gratification

When it comes to shopping or making purchases of any kind, minimalists are quick to slow down the thought process and delay gratification to make sure they are getting something they truly want.

When it comes to investing, this can be beneficial because you are no stranger to slowing it down a little and making a smart choice. The best way to make smart investment decisions, however, is to sit down with an experienced financial advisor who can help you create an investing game plan just for you.

5 Tips for Diversifying Your Portfolio

Holding steady during hard times

Another common mistake that investors make is bailing on investing when the stocks go down or a recession hits. Time and time again the stock market has shown that after a dip (that causes people to pull out) there is a period of major growth.

People who pull out their money when things look scary are more likely to lose out big time once the market climbs again. That’s why practicing and understanding delayed gratification can be incredibly beneficial.

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You don’t over-complicate your time

Living a more minimalist lifestyle often inspires us to simplify not only our stuff but also our time and the way we live our lives. You know that time is a resource you never get back which is why you could be perfect for long term investing.

Long term investing requires time to make a quality plan and then, allowing your investments to become automatic so that you aren’t spending every single day thinking about and focusing on them.

More posts on minimalism:

• Does Being a Minimalist Mean I’m a Cheapskate?
• Does Minimalist Actually Save You Money?
• How to Make Money with Minimalism
• How to Recession-Proof your Finances

You understand quality over quantity

People often think that they don’t have enough money to begin investing. Minimalists often understand that i’s not necessarily the amount of money that matters, but that you are going to get long term benefits from anything you put your money toward.

You can begin investing with just your spare change with apps like Acorns that link to your accounts and round up your purchases. Get $5 to start investing right now.

You appreciate simplicity

Investing doesn’t have to be complicated, but a lot of people make it that way. As a minimalist, you already have a great appreciation for simplicity and not over-complicating things.

Need an even simpler approach?

If the idea of stock market investing still seems a little too scary, there are other great ways to start investing beyond your 401K or retirement savings.

Strategies to Maximize Your 401K

Simple investment starts:

• Acorns – Get $5 to invest right now. Choose if you want to invest spare change or make a monthly recurring investment.
• Capital One 360 – Open a checking or savings account with Capital One 360 and save 5x the national average. Open one now.
• Savings Builder – Get up t a 1.9% interest rate with CIT Bank by depositing only $100 per month into a Savings Builder account!

No matter how you start or where, it’s so beneficial to just start!

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