2020 has been tough for everyone, especially for young adults who have been laid off from companies like crazy. The most important lessons learnt this year are related to either health or money.

Personally, I’ve learnt that there are certain kinds of investments that are necessary for every young adult. In this article, I’ll share those. Maybe some might not suit you, or you might think differently. But most of these hold good for people in their 20s.


It is sad how money stops a lot of people from attending colleges of high quality. But for those who can, investing in higher education is a very good idea. 

There are a lot of skills that are being taught in tailor-made degrees and diplomas these days, like data science, machine learning and technology management. These degrees are a good way to align with industry demanded skills and seek good employment opportunities.

Emergency Funds

Lockdown – a word we’ll remember for our lifetimes. Emergency funds have become necessary in order to survive a pandemic situation like this. Having a 6-month emergency buffer fund is of prime importance, even post COVID.


If there’s one thing I’m proud of, it is the big shelf of books I have. Ranging from investment, leadership and business all the way to spirituality, history and culture, my knowledge base is so vast today majorly due to the number of books I read every month.


Travel is a way to meet new people, learn new cultures and most importantly, travel is a way to humble yourself by realizing that there’s always someone better than you. Growth should be constant. 

Some people may even travel for peace – alone or with someone, and it is imperative to keep our mental health good in today’s fast-paced, competitive world.

Also Read: What Led To A Rise In Demand For Buying Homes Among Indian Millennials?


Every single morning, I get up at 4 and I’m at my kickboxing class at 5 training hard till 8. Every moment of it is dreadful, but I love it. You won’t see the results of investment in fitness in a month or even two. But once you start seeing results over a period of time, they will stay with you for life if you continue. 

You’ll feel better, you’ll walk better, you’ll breathe better and even be more confident in all aspects of your life – from college to career. 

Stocks and Shares 

In our 20’s, the biggest advantage we have is the freedom to take risks. Investing in stocks and shares is the best as a young adult before you have family commitments. 

Another upside to this is that you start early and yield higher returns early too! Someone starting in their 40’s will find it difficult to earn returns even half of what you’ll earn within your 20’s. 

Health Savings

It is sad how people are dying due to COVID-19. But not just that, due to different reasons like pollution and adulteration, health quality of young adults is decreasing day by day. What disease or accident hits you when, you’ll never know.

It is a good idea to have health savings that help you get through tough times like these. Emergency funds will help you through stuff other than health. We know how costly hospitals are these days!

Mutual Funds and SIPs

Use of technology has enabled youngsters to invest well. Systematic Investment Plans or SIPs are, like the name suggests, systematic plans to keep saving while you earn if you don’t want to learn technicalities of stock markets. 

The number of 20 to 30-year-old SIP investors and mutual fund investors is growing by the day and it only shows they are comparatively safer than trading shares.

Real Estate

This might not happen in the early 20s, but once you can, buying a house and renting it will take you to a stage where its EMIs are all done due to the rent you’ve been receiving and then you can start making a profit out of it.

Personally, I’d want my own house, but renting one is much more economical if you want to earn more. 

Good Gadgets/Technology

While a lot of people argue that technology has made us lazy, for those who want it, technology can make them more productive. Smartwatches, good quality laptops and phones can help in planning, scheduling tasks, setting reminders and even educating yourself better.

20 to 30 years is a good bracket to invest and learn about investment since that is the time we take more risks with less responsibility. These investments mentioned above are ones that will make life better in the longer run, post 30. 

Let us know in the comments below if there are other investments you think should be made by young adults.

Image Source: Google Images

Sources: Economic Times, Young and the Invested, Forbes

Connect With The Blogger: @som_beingme

This post is tagged under: budget millennials, emergency funds, financial investors, investments, Mutual Funds, real estate investment, SIP, young adult books

Other Recommendations:

‘Please Find Attached’ Is One Of The Most Realistic YouTube Series About Live-In Couples


Please enter your comment!
Please enter your name here