The ONLY 5 accounts you need

This is the exact five accounts that helped me build six figures by the time I was 30. Number one which you obviously need is your current account. This is where your salary gets paid into, but to be honest, you should be leaving no money in here at all. You don't get very much interest on it, so I tend to leave about 500 pounds in my current account, that's it. This is where most people get stuck because they end up leaving lots of money in their current account and that money isn't actually working for them, it's being eroded by inflation. Two is your emergency fund account. Now, an emergency fund tends to be three to six months of essential living expenses. This is to put a financial buffer between you and the rest of the world in case something goes wrong. You can put in something like a high yield savings account or something like premium bonds. You don't want to invest this money because you don't want it going up and down with the market in case you ever need it. Next is an easy access account for your short term saving goals. Think saving for a house deposit, saving for a wedding, saving for a car. This is the kind of money you'll be wanting in the next two to five years. This should be in a high yield savings account where you're getting a good level of interest on that money. Again, you don't want to invest this because you don't want it going up and down because when you need to take it out, it could be down. Number four, which is my favorite, your investment account. In the UK, it would be a stocks and shares ISA. Now, this is for money you're not going to need for the next five, 10, possibly even 20 years. In the UK, we're lucky enough that we don't have to pay tax if it's in an ISA. So you can generate money either from a cash ISA or a stocks and shares ISA and let that money grow. There are plenty of platforms that offer these, just look out for the fees. I have an affiliate link with eToro, there's a link in the description of this video if you want to check that out. And finally, number five is your pension fund. You'll have this either with your employer or if you're self-employed to a SIP, a self-invested pension. One thing I always tell people to do is to make sure to match what your employer is putting into your pension. So for example, they might say, I'll put in 5% if you put in 5%. But if you only put in 4%, they'll only put in 4%, which means you're leaving free money on the table. So those are the only five accounts you really need if you want to build wealth. If you enjoyed this video, make sure to like and follow for more.