Only after that these things are in place, and you have health insurance, should you begin investing (this really is vital — for more information on the reasons, read Investing in Health Insurance – One of the First Lines of Defense for Your Portfolio. The only possible exception is putting money into a 401(k) plan at work if your company matches your contributions. That’s because not only will you get a substantial tax break for putting money into your retirement account, but the matching funds basically represent free cash that is being handed to you on a silver tray and there are material bankruptcy protections in place for assets held within such an account should you be wiped out entirely.)
More Information About Saving Money
For more information about how you can begin saving money, read The Complete Beginner's Guide to Saving Money. It is filled with articles, resources, essays, and lessons about how to save money, how to invest money, and how to get started on the road to wealth. It may seem daunting now, but every successful self-made person had to begin by earning money, spending less than they earned, taking those savings, and putting them to work in projects that threw off dividends, interest, and rents. They are no better than you are. If you learn the same thing, and can act as rationally so as to manage your money with discipline, you can enjoy the rewards of success, just as they did. In the end, saving money comes down to simple math. It really is as fundamental as 2+2=4.