3 Steps to Become a Millionaire in Your 20s

If I were in my 20s and had to start all over again, here are the three things I would do to become a millionaire within a decade. I'm Tyler, a former financial advisor and portfolio manager, and I create financial content for free to help guide your journey to wealth.

1. Diversify Your Income Streams

I would diversify my income streams. Too many of us rely on one W-2 paycheck. A silver lining of the COVID era is that we've finally reached a point where we can work anywhere, at any time, and become brand authorities with nothing more than a phone and some passion. I currently have eight streams of income. None of them are fancy, but they give me the freedom and flexibility to never have to rely on one job for my financial comfort.

2. Automate Paying Yourself

I would automate paying myself 20% of every single paycheck from all my income streams. I would put every dime of that money into tax-advantaged accounts: brokerage accounts, Roth IRA, Roth 401(k), additional 401(k), HSA, SEP IRAs. Yes, this would force me to live on much less, but in a decade, I’ll be the one living on way more.

3. Invest in Low-Cost Aggressive Index Funds

I would immediately invest as much money as I could afford to lose into a low-cost aggressive index fund, such as Invesco’s QQQ or Vanguard’s VUG. If I did this when I was 19 years old and invested another $2,000 a year until I was 27, I would most likely have a million dollars in that account alone by 65. However, if I waited to start until I was 27, I would still not have as much money at 65 as I would with my first strategy.

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