3 ways to get closer to your money goals in your 20s

Prioritising your finances wisely goes a long way to paving the way for the kind of future you dream about. For example, every rand you save now can dramatically increase in investment value over 10 years. Of course you have short-, medium- and long-term goals you would like to achieve - it could be buying a new house or upgrading your car.

Simon Brown, founder and director of JustOneLap.com, gives this advice," So you may want that luxury sedan or fancy SUV, but work out what you can afford and then drop one level down. Get the slightly less fancy car, which will immediately have you saving some money every month." You will still have a nice car and, says, Brown "extra money to invest each month."

When thinking of investing, we often limit it to the amount we can put away each month. But, you can save by choosing investment options that let you redirect some of your investment money in smart ways. Whatever you are saving for, the key is to find investments that match your financial goals and financial products that reward you by increasing your overall investment value. Here are three such choices in investment products that can help you towards reaching your objectives:

1. To save for short-term goals, find plans that offer you cost-effective fees:

Meeting short-term financial goals could be something like paying off monthly expenses, such as your credit card debt - perhaps a little higher than usual, given all the extra expenses over the holiday season. Freeing up income is important when you want to make bigger purchases, like that house with the garden or the next model of your favourite wheels.

A Flexible Investment Plan can help you meet your goals, in part because Discovery Invest has removed all initial administration fees on recurring Flexible Investment Plans. This means that instead of spending a slice of your investment on admin fees, you can reap the benefits of investing the full amount into your short-term goals.

2. To save for medium-term goals, hold steady and keep healthy:

It's good to have goals for the future. It could be taking a sabbatical or to save for a child's tuition fees for the next three to five years.

These medium-term investments can require discipline. But did you know that by improving your health and staying invested, you can enjoy discounts of up to 100% on your annual administration fees on Flexible Investment Plans? Certain plans with Discovery Invest offer benefits for making good life decisions, like being resilient and committed with your finances, and looking after your health. Your discount increases as you improve your Vitality status, and when you remain invested for longer than two or five years, or increase your Discovery fund holdings.

3. To save for long-term goals, pair financial plans that work together:

While you may be focused on getting your dream home and car, retiring well is a long-term financial goal that is best achieved by starting now - this way you can cash in on compound interest over time.

If, for example, you invest in a Discovery Invest Flexible Investment Plan and a lump-sum Retirement or Preserver Plan, you can get a yearly increase to your retirement boost of up to 50% of your asset management fees on your Flexible Investment Plans for 10 years. This is possible with the Retirement upfront Investment Integrator, which gives you added investment benefits with complementing products.

Get your financial journey off to a good start

"Don't tell me what you value. Show me your budget, and I'll tell you what you value." These words from former Vice President of the United States, Joe Biden, are a powerful reminder that we make evident what we prioritise by where we put our money. Remember, the time you have now is only worth something if you use it well. So, get your financial journey off to a good start. Take the time to speak to a financial adviser so you can learn how to get the most from every investment you make to help you reach your money goals.

^{This article is meant only as information and should not be taken as financial advice. For tailored financial advice, please contact your financial adviser.}