Is it Possible to Enjoy Life Now and Still Save for Later?

Late in 2015, Elite Daily author Lauren Martin ignited a controversy with her blog post entitled, “If You Have Savings in Your 20s, You’re Doing Something Wrong.” The gist of the piece was that your twenties should be a carefree time of adventure, excitement, and career advancement. While saving may be the responsible thing to do, she argued, socking away money stifles spontaneity, limits your freedom, and inhibits networking through happy hours.

Martin claims that, “When you live your life around your retirement fund, you may as well retire now. You can’t make a mark on the world if you’re too cheap to live in it. Refusing to give yourself the luxury of enjoying your money negates the whole point of making it.”

Whether or not Americans agree with her advice to forego savings, it seems that many (and not just those in their 20s) are following it. According to the Federal Reserve Division of Consumer and Community Affairs 47% of Americans could not afford an emergency expense of $400, or would have to sell something or borrow money in order to cover it. There could be a variety of reasons for a lack of savings, including a low income, a job loss or financial hardship, or embracing the “live for today” mindset Martin celebrates.

But is there a way to enjoy life today and still save for tomorrow? According to Investopedia contributor William Artzberger, absolutely yes. While it takes thoughtful planning, finding a fulfilling balance between spending and saving is worth the work required. He advocates for balancing your lifestyle goals for today and savings goals for tomorrow by walking through a four step process:

1. Assess Your Current Situation
2. Develop New Goals
3. Devise a Plan
4. Monitor and Reassess

“To balance living well now with retiring well, begin with an assessment of your current situation. Then develop a new set of lifestyle goals to achieve what you want. Put a plan in action by determining how you can achieve your goals within your budget. Finally, monitor your plan on an ongoing basis.”

We agree with Artzberger’s advice. You don’t have to choose between enjoying life today and preparing for tomorrow. By providing sophisticated financial tools and unbiased advice, we are dedicated to helping you enjoy life now while planning for a brighter future. That’s why BrightPlan helps you take each of these steps.

You can assess your situation by linking your financial accounts in one integrated dashboard. Then you’re be inspired to set up a variety of personalized life goals, complete with an investment plan tailored for each goal. Finally, you can easily monitor your entire plan on an ongoing basis, seeing how small changes in your investments or behavior impact your overall plan.