3 Investing Major Myths That Are Getting In The Way of Your Financial Goals

Some myths are harmless—old wives' tales about the best way to get a stain out of a white dress or superstitions about improving your luck. But some myths are more serious—like those that have to do with your health or financial well-being. When it comes to some of the myths about investing, those misconceptions can have consequences for your bottom line.

And as you start to build your financial literacy, rethinking dated ideas about money and investing is a great place to start! Just like you need to rework old habits and stuck patterns within your health journey, you need to do that to improve your financial wellness too. 

Once you start your journey with investing, you'll find that it's just as confusing as any other new endeavor you've undertaken in the past. That's to say: There may be challenges at the start, but once you build your financial literacy, you'll feel much more confident and comfortable. 

Think of it like starting a yoga practice—yes, it may take time to learn the poses at the beginning, but as you learn terms and alignment, the basics get easier. Soon, you'll be able to push yourself into new territories and levels. 

Anyone can invest. And if you are interested in making this financial move, you don't need to wait.

William Bevins, a certified financial planner with Cypress Capital, says that the decades-old misconception that you have to be rich to invest began when the U.S. was exiting the Depression and money was tight, and it stuck.

What's important is to just do it. "You can start with $50. Once you get going, the benefit of compounding interest will do the rest of the work for you," says Chris Muller, vice president of Money Under 30, an independent personal finance website.

Starting small and dipping your toes in the water is a great way to get comfortable with investing. Think of it like joining a gym: Fitness centers aren't just for those who already have a consistent workout routine, they're also for those who want to get in the practice of movement. And how does one do that? Well, the first step is simply showing up.

Age is just a number. And no matter what the number is when you start your investment journey, there are smart choices to make that can benefit whatever is happening in our life at that moment.

"If you are in your early 20s or just retired, you may have had people discourage you from investing because 'you are too young' or 'you are too old.' However, age has nothing to do with investing. The earlier you start, the higher the chances of earning more from your investments over time. So, holding out on investing based on age can deter your financial goals. Do not let age dictate your investment decisions," says Tom Koesternen, a chartered financial analyst with The Guaranteed Loans.

If you set up a $50 automatic contribution when you're in your 20s, in 50 years that could be over $240,000, (assuming a 7% return during that time), points out Chloe Elise, a certified financial coach and founder of Deeper Than Money. 

You don't want to tap into the myth that if you're close to retirement you should reallocate your portfolio dramatically to safety.