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Making money from your 20s to your 70s

Wilson Luna

From the age we leave school until we are at or past retirement, the need to bring in money is ever present. Money pays for so much in our lives, that it is very important we look for ways to continue bringing it in for 50 or more years. Money pays for food, housing, clothing, entertainment and more. Without it, we would be destitute, so how can you make money from your 20s to your 70s?

Making money in your 20s

First of all, at this age you have plenty of time to make money before retirement. This is a big advantage because it allows you to be more aggressive with your money-making tendencies, especially on the stock market. If you want to invest in the Australian Securities Exchange, then you may take an aggressive approach to your investing. This means investing in things that may be more risky than others because the rewards will be higher as well. If you lose what you have, you still have decades to make up what you loss and get ahead. If you cash in, saving for your retirement just got a lot easier.

Many companies in Australia are looking for young individuals, like those in their 20s, to help them with labour work.  In your 20s you can take junior jobs in a company and learn new skills because you have the time to work up into the company over the coming decades. You also have your youth and that can allow you to make more money in physical labour intensive jobs. Often physical labour jobs pay more because they are not as easy. For someone in their 20s, that presents a perfect opportunity for making some excellent income.

According to the Department of Education, Science and Training in Australia, the growth of the workforce is slowing and that means for young individuals, there is a much greater likelihood of good pay and more jobs. As the population ages, retiring employees will leave a gaping hole that a smaller group of the labor force will not be able to fill. As a result, younger workforce individuals will be at a premium and highly sought after by companies.

In your 20s, don’t be afraid of changing jobs looking for what will work best for you. If you want to do part time work and then work on your own, there is nothing wrong with that. Your 20s is about finding your footing and figuring out where you want to go with your life. You have few financial commitments at this age, so enjoy the freedom.

Making money in middle age (30s to 40s)

One of the great aspects of being middle-aged is that you have experience in the workforce, which you can parlay into a more high-profile and higher paying position in a company. In addition, studies show that most entrepreneurs are in middle-age because they can use their experience and more solid financial background to help their small business. In your middle age years, look at getting in with a company that can use your experience, or use your experience to make your own company. You are still relatively young and have at least 20 to 35 years of work life ahead of you. By starting your own company at this young age, you can have two decades or more of hard work behind you when you retire, and a lot more money in your bank than if you had a regular nine-to-five job.

Your financial commitments will be greater at this point, but your financial foundation will be stronger as well. You will still have enough years ahead of you to take some risks and find what you are looking for in a business or job.

If you are investing, you will have a more conservative approach to the process of investing than you would in your 20s. However, you should still take some risks to help your portfolio grow before you begin to remove risks in your later years to save your investments.

Making money at retirement age (50 to 65)

You are older and wiser, and you are approaching retirement. You need to start thinking of ways to make money in these Golden Years. You don’t have as much time for risky ventures like starting a company or high-risk investment strategies, but you do have a lot of experience and that can be used to find yourself an excellent job for your final few years in the workforce. Many companies need experience, and they will pay a lot for it. Working as a consultant at this age can be very profitable. If you don’t want to work for someone and prefer to work for yourself, then find a job that provides you with a bit of residual income and provides you with enjoyment. At this stage in your life you will want to enjoy yourself more and work at something you don’t like less. If you are investing, you will have a very conservative strategy that grows your portfolio slowly because you may not have enough time to make up any major losses.

Making money past 65

If you are over 65, then you are most likely retired and funding your lifestyle with your super or receiving a pension from the government. This means you always have money coming in each month but you may want to have a bit more in the bank account. You should look for work that you will actually enjoy. You can work part-time or why not try and make money from a 
hobby. You have spent over 40 years working and you want to enjoy yourself as you bring in money.

You also have to consider your physical limits at this age. If you love working in the yard, you can take that on as a business as in gardening/landscaping, but you may not be able to work as many yards as you could decades ago.

If you wish to just invest your savings, then you will invest very conservatively and take few, if any risks with your portfolio.

If you liked this article you might also be interested in these other articles about making the most of your money:

Money management: a straightforward guide to a better future

Starting a home business - how to make money from home

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Author's Biography

Wilson Luna is an author, wealth adviser and founder of Your Family Your Money. Your Family Your Money’s goal is to simplify traditionally complex financial strategies, demystify financial jargon and debunk common financial myths, becoming every family’s first stop for financial advice, information and inspiration.