It’s no secret that programming is a great paying field, in some countries, such as the US it gets ludicrous. In other countries, it's just about the highest paying field you can get into without a degree, and that matters because this field has a lot of change of career professionals. Furthermore, many young people get into it, with the tech boom of the last decade being very enticing. As the demand has been high and the supply low, the salaries have grown as a result. The starting salary of a developer is typically nothing crazy, it's further down the line where it truly becomes a great paying career. Don’t squander this opportunity!

No matter how much you earn, you can always spend more. Conversely, even the people who earn very little but stash away small amounts here and there overtime have enough to live well off. I’ve heard of stories of factory workers consistently putting away small amounts that when they reach 65, even they have a substantial amount of money. Sure, they won’t buy expensive cars, but they can live debt free and not have to work late into their lives. In software engineering, we have the gift of more money, which ultimately comes with the want to spend all of it. This is especially true if you are younger or have grown up in a family that likes the luxuries. Saving and investing money is a skill, not a hard one, but a disciplined one. It takes practices, a bit of a commitment, but it pays enormous dividends if you stick with it.

I read a lot of Strong Money, he is an Australian financial blogger, who retired early and lives a simple 9-5 free life. I’m not saying you need to save every dollar you have and retire in 5 years. What I am saying is that you need to put away something, even when you are a junior developer, even if you can only put away 5 bucks a week, it's something. The habit of putting away a set amount each week is vital. If you don’t build it from the start, you sure as hell won’t do it when you make more money. 

I’d highly recommend reading about investing, saving and getting into the habit of putting away even a small amount each week. In Australia, we have the gift of Super, a retirement scheme that forces every working person to put away money paid on top of their wage into a retirement fund. This is fantastic if you want to retire at 65 which is the earliest age you can pull it out. Furthermore, you don't have much control over what it's doing other than to change a fund. If you plan to retire at an older age, which I certainly do not, then it's fine. Spending 40 years in a career with 10% wage entering into a retirement fund will just about retire anyone, but if you are late to the game, or you wish to retire earlier, you should become financially literate. I would also caution about solely relying on Super, if you earn above the Australian average and work for 40 years, you should have enough. However, if you take long breaks for kids, or you change career, or you are unable to work, this money probably won’t make it. You have to bring the control back into your hands.

A 40+ year career is a long one, for some too long. Which means you have to save your own money. You have to then do something with this money, it can’t simply sit in a bank, it won’t grow enough to live off. Becoming financially literate is your first step to early retirement, and taking back control of your money. Even if you plan to work until 65, you still need to understand how to manage that kind of money, so you don’t run out, this is where financial literacy comes into play. If you understand how to save, how to invest, you clear the financial worry from your plate when you do hit your magic retirement number. 

What happens if you get to 40, and you hate work, you just want to retire. Well, you can either wait another 25 years until you can pull out your Super. By that time the retirement age might have been increased, you now have to wait even longer. If you invest regularly from day one, you might at least have a buffer where you can take a few years off. Taking that time off might be all you need to recover and push to 65. You might simply want to retire completely, well now you are behind because you didn’t save a penny. Starting early gives you the flexibility later, even if you have no goals to retire early, you have the financial flexibility.

This field has blessed us with above the Australian average in terms of salaries. Which means we have the opportunity to do something with this money, to live a better life than our parents or to provide a great life to our kids. If you take this gift, and you invest for the long term, you will thank yourself in the future. It’s easy to blow all your money each week, buying new things, going out and drinking. It’s also easy to put away a chunk of change and learn about where to put that growing pile. It starts off real slow, you wonder why you even bother, but over the years it grows, compounding, until finally you hit your number and your set for the rest of your life. You reach a point where no matter what happens to your job, your health, or your life, you have enough money to live comfortably. The stress of money is lifted from your shoulders, and you are free to live how you please.