3 major life events every Millennial should be saving for right now

3 major life events every Millennial should be saving for right now3 major life events every Millennial should be saving for right nowWhen someone abflugs talking to you about financial savings, do you hit the mental snooze button? Wereallydont blame you. After all, most of us arent exactly in the best spot financiallycompared to our parents generation, and thinking about growing a savings account when youre already kind of struggling to pay rent doesnt sound too appealing.But dont worry - we can compromise. Here are the three most major life events that - yes, three- you should start saving for ASAP. And it doesnt matter how loose or tight your current budget is. It just matters that you start saving.1. An emergency or unexpected purchaseAs unfortunate as it is, most of us experience emergencies or big, out-of-the-blue purchases at least once in our 20s. From company layoffs to a sudden death in the family, shit can hit the fanrealquick. And how it affects you (other than the obvi ous emotional toll) can heavily depend on how prepared you are to face it financially. Enter the emergency savings account.Whats the purpose?To protect you against a house scare, or if your car breaks down, or a job lost, or if you need to get a plane ticket somewhere far,Ariel Anderson Fortunato, a certified financial planner atSociety of Grownupstold Swirled. If it happens and youre leid prepared, youll rack up credit card debt.Heres how to build emergency savingsCreate a completely separate savings accountjustfor emergencies, and open that account at a different bank. Youll feel like that money isnt super reachable. Its out of sight, out of mind and its meant to be used only for those emergencies, Fortunato said.Exactly how much should you be saving?Aim to save three to six months worth of living expenses in your emergency fund. Of course, this may take different people different lengths of time to achieve, but make this goal a priority. It alsodepends on your own life and its ma ny facets. Do you have a car? Do you rent or own a home? If youre pressed for cash, start with at least $20 a month. Saving even just a little is better than nothing, and youll save three months worth of living expenses eventually.Follow Ladders on FlipboardFollow Ladders magazines on Flipboard covering Happiness, Productivity, Job Satisfaction, Neuroscience, and more2. RetirementYeah, yeah, yeah, retirement seems like a lifetime away. But one day, it wont be, and youll be old and ready to chill. If you havent started preparing financially, guess what? Your geriatric self isnotretiring. That might not seem like a big deal right now, but do yourself a huge solid and listen up.Whats the purpose?Pension plans are dying and the future of social security is uncertain. Its important for individuals to self-fund their retirement, Fortunato said. The good news is that if you start early, you have time on your side.Heres how to build retirement savingsThere are lots of different types of ret irement savings programs. The 401k, for example, is one of the most popular. If youre not familiar with the programs, check outthis explainerfromThe New York Timesthat breaks down each one and to whom theyre typically applicable. Once youve identified the program most relatable to you, ask your companys HR department (or designated person on the team) if the company provides that plan.Sometimes, employers who offer 401k programs will not only allow you to stash money away in the program before taxes are taken out of your paycheck, but also matchthe amount you add. This means they might contribute up to a certain percent of your salary with money from their own funds. Basically, theyre giving you free money for your retirement account.If your employer doesnt offer any retirement plans, dont fret - you can start your own independently. Your biggest options are anIRA,Roth IRA,SEPandSolo 401(k)plan. To start your retirement plan, just read up on each and choose one. Check out different companies to open your plan with, too. For instance,Ellevest is a great option.Exactly how much should you be saving?Start with a goal in mind so that youre on pace to retire in style. Aim tosave at least the equivalent of your salaryin your retirement account by the time youre 35. If youre single and have an IRA or a Roth IRA, you can contribute up to $6,000 in 2019. If youre single and have a 401(k), theannual contribution limitis $19,000 for 2019.Whatever you do, contribute to a retirement account. If you have an employer-sponsored account, its smart to sign up right away. That money is taken out of your paycheck before your taxes so you end up saving even more money in the long run. Plus, youll most likely forget that the money is even missing from your paycheck. Deducting a certain amount from your paycheck each month for retirement will make saving feel like second nature.3. Your first big investmentIf the previous two life events dont seem obscure to you, we bet investing do es.Investing moneycan seriously help you build your wealth and have more money in the future. Well get into the nitty-gritty details another time, but all you have to know right now is that youdohave the power to invest money and potentially enjoy a big profit later in life. You just might not be ready to take that leap yet, so prepare for it.Whats the purpose?Fortunato said that even though youre likely not ready to jump into a big investment, you should still learn about your options. Starting small is a perfect solution. Youll learn the lingo and and how investing works, so when you decide to invest more, youre comfortable and youll know more about it.Heres how to build investment savingsAgain, we wont get too deep into every single option you have, but a good way to start is to look into online platforms and apps that make small-risk investing easy. There are a lot of online platforms and apps where you can invest as little as $5, Fortunato said. Its not for the elite - its for everybody. TryAcornsorRobinhoodto get started with as little as just $5 - its really that affordable.Exactly how much should you be saving?How much you save for your big investment is totally up to you, and it depends solely on your financial goals. But a good rule of thumb, Fortunato said, is to consider when you want to use the money that youre investing. Is your big investment meant to fund your retirement or a down-payment on a new car within the next five years? Consider your short- and long-term goals before determining how much you want to save.Start saving for these three major life milestones now and youll be living a financially free life later on. Have you started saving for these events yet? Tell us about your strategies inour LinkedIn GroupThis article originally appeared on Swirled.