What advise can you give a 21 year old with R300k?

X88Bass

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My friend asked me this and we around a similar age. He wants to travel this month and early January, he doesn't work yet. But would like to do something with meaningful with his life. He lives on his own and pays rent as well. He came to me asking how can he go about this.
 

gamer16

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Don't do drugs and don't fuc,k anybody or you'll die
 
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eg2505

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invest, invest, invest.

but dont forget to enjoy a modest little holiday on a small budget, and fix up anything that needs attention, like pay off debts ect...

best advice I can give you, especially at that age.
 

Ancalagon

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R300k once off? Like to do what you want with?

The first thing to think about is, travelling is good, BUT be wary of box ticking. Some people say, "Well I want to travel to Peru to be able to say that I have travelled to Peru." It is a bad way of thinking. You travel because you enjoy it and you want to see and experience things. Not to tick it off a list.

In a similar vein, you won't find yourself travelling. You won't find enlightenment in a cheap bar in Thailand. You just travel to have fun and relax.

What would I do? Take a small break. Not for 6 weeks. More like 2 weeks. Go somewhere fun, and enjoy yourself for a bit. But don't spend all of the money.

Then invest that money. Use it to buy a car cash (but preferably don't spend that much on a car!). Or a deposit on a flat.

The difference that R300k could make to your financial future, at 21, is staggering. You could have a paid off flat by the age of 30.
 

Scooby_Doo

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Madness to invest in property at 21, you will move soon and often at a young age. Invest it in high equity for the next 40 years.
 

Barbarian Conan

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Invest invest invest.

He's not working yet, so stick that money in a fixed deposit with 32 days notice or something if you don't know what to do with the money, or buy ETFs. Don't spend it on anything until he earns his own money.

R300k is a great headstart in life, and can help him with a house or car when the time comes. But he shouldn't spend that money until he really knows what he can do with it to help him in the longer term.

Then he can spend it on a cheap Thai holiday or something.
 
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Chuckmyster

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Madness to invest in property at 21, you will move soon and often at a young age. Invest it in high equity for the next 40 years.
I bought my 1st house cash when I was 28 for R310k and sold it 10years later for R800k
 

Scooby_Doo

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I bought my 1st house cash when I was 28 for R310k and sold it 10years later for R800k
28 basically a different life compared to where you are at 21, not to mention the terrible property market we have at the moment.
 

Segg

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Invest it carefully, a lot of funds that promised good returns etc are absolutely hopeless SATRIX RAFI 40 as an example)

Best to go chat to an investment specialist, preferably one that's been referred by family and friends who has a decent track record

In some cases leaving the cash in the bank would have been a better option
 

Chuckmyster

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28 basically a different life compared to where you are at 21, not to mention the terrible property market we have at the moment.
True True - my grandfather passed away when I was 3 years old (1974) and left me R10k inheritance which only paid out when I turned 28. I thought that was weird, why choose such a high number?
Thank goodness he did, else I would of turned 21 and bought a fancy car or something else stupid.
 

Chuckmyster

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Invest it carefully, a lot of funds that promised good returns etc are absolutely hopeless SATRIX RAFI 40 as an example)

Best to go chat to an investment specialist, preferably one that's been referred by family and friends who has a decent track record

In some cases leaving the cash in the bank would have been a better option
Agree 100%
Except for cash in bank, just too much scamming/phishing/and who knows what else. I heard it can be pretty difficult to get your money back when it somehow just disappears.
 
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