Everyone has their own investment objectives and risk tolerance. Depending on that combination, you may be risk-averse, risk-seeking or somewhere in between. Regardless of where you fall on that spectrum, it’s important to put your money to work. Considering inflation and the rising cost of living, you want to make sure that you park your money somewhere it will appreciate faster than inflation.

Due to low trust in financial institutions, lack of knowledge, or need for liquidity, you may be more comfortable leaving your money in a savings account where it will earn less than 1% annually. If your need for liquidity is less and your tolerance for risk is higher, then there are other options you can explore, ranging from money market funds to opening a brokerage account to invest in the stock market. Alternative investments include real estate, start-ups and peer-to-peer lending. There is no right path. Just make sure you invest in what you know and you’re comfortable with the risks.

The earlier you start, the better. This way, you can take advantage of compounding interests — it’s the gift that keeps on giving. When it comes to investing, time is your friend. Ads for get-rich-quick schemes are red flags. As much as you love your cousin, that new business venture that promises immediate pay-off is also a red flag. Remember, building wealth takes time.

A great vehicle for building wealth is your retirement savings account, aka your 401(k) or an Individual Retirement Account (IRA). Getting in early is best, but it’s never too late. Some jobs that offer a 401(k) plan will match your contributions up to a certain amount. Speak to your HR department to confirm eligible contributions. That’s free money. If that commitment isn’t feasible right now due to other constraints, you can also allocate a percentage of your bonus or tax return money towards retirement.

In recent years we’ve been reminded how government shutdowns, natural disasters and a global pandemic can arrive unannounced and disproportionately affect Black communities. Even more so, these tragedies expose that people don’t have enough money saved to satisfy a $400 emergency expense.

Starting off with an emergency fund, whether it’s $500 or $1,000, is a smart money move to prepare for the unexpected. Like an uninvited guest to a party, challenges will come, it’s just a matter of when.

Ideally it would be great to save anywhere from three to six months of living expenses. Working towards that can be difficult and for some feel nearly impossible. It’s OK to feel that way. I encourage you to set an achievable milestone and find someone to keep you accountable.

Sometimes when it rains, it pours. Be as prepared as you can be. You’ll thank your future self.

As Nas eloquently puts it “[our] ancestral lineage built pyramids.” We are smart and brilliant. Every now and then it takes a Zaila Avant-garde to remind others of what we already know.

That aside, as smart as we all are, no one can predict the future. The idea behind diversifying your investments is to create multiple streams of income so that when one stream is running dry, you can still benefit from another stream that is generating returns.

While diversification limits your ability to get the maximum return from an investment that is killing it, it’s a way to protect yourself against downturns. For example, you could invest all your money in one stock, real estate property or start-up in hopes that it blows up, in which case you would get all the returns. But if that same investment hits rock-bottom, then you stand to lose everything.

Some people win the lottery by picking the right investment but that is the anomaly, not the standard. Most of us aren’t that fortunate.

Some of you may be thinking of Ariana’s “7 Rings” song where she manifests her purchasing desires with lines like “I see it, I like it, I want it, I got it.” Not to rain on your parade, but I was referencing the act of investing in one’s skills to level up.

If you’re like me, you might have a skills gap separating you from your financial goals. Investing in yourself is one way to bridge that gap. Examples include reading a book, joining a coding boot camp, attending a workshop, acquiring a certification or getting a second degree.

Making these types of moves can position you for higher-paying roles. While high income is not an indicator of high net worth, making more money can free you up to increase investments into appreciating assets.

Whether you make well above six figures or nothing close to it, learning to live below your means is a simple rule of thumb that can set you up for long-term success.

I hope that I live long enough to see my kids grow up and, if I’m fortunate, build memories with my grandkids and great-grandkids, but I’m not guaranteed any of that. Death may come knocking in the middle of the night. When it does, it will benefit your loved ones if you have your affairs in order. No disrespect to anyone, but some of our heroes and heroines did not understand the assignment.

Action steps include having a living will, health directive, power of attorney and life insurance. These measures will save your loved ones time and money that would otherwise be spent in probate court, but more importantly, it puts you in the driver’s seat to direct your assets where to go after you’re gone.

We’ve come far, but in the words of Nipsey Hussle, “let’s finish what we started, reach them heights, you know.”