To that end, grab the scissors, cut out this column and mail it to someone who is graduating from high school or college and heading out into the work force. Maybe the most important lesson is to learn to live beneath your means. People, it seems, either get it or they don't. Eventually, a lot of the spenders become savers. The sooner it happens, the better off they are.
Nothing succeeds like success.
With that in mind, consider an automatic investment plan, where money is yanked out of your bank account or paycheck every month and put directly into a mutual fund. These plans provide a useful dose of financial discipline and a cheap way to get into funds. All are good funds for first-time investors, who are looking for one fund that can be a good core portfolio holding. I would initially invest in a taxable account, so that the money will be readily available if you later decide to buy a house or you get hit with a financial emergency. But once you can afford it, look into opening an individual retirement account, either a regular account or the new Roth.