If you put $1,000 away today in an investment account and you don’t touch it for 30 years, how much do you think it will be worth? With a historical average return of 7% on the stock market, your money will be worth $8,165.
This part is very important! Do your research when investing. Don’t think: Google had a +20% return over the past year, which means I should buy it. Or: I like my MacBook, I think I should invest in Apple, they make products I like.
How much stock or bond allocation you take is up to you, depending on how much risk you want to take. Do you want to go for higher risk? Focus more on stocks. Do you want to go for a lower risk? Focus more on bonds.