A financial planner gave me some simple investing advice when I graduated college, and I've sworn by it ever since

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• When I visited a financial planner after college to take control of my money, I walked away with a piece of money advice I've followed ever since: Start investing now.
• This is especially important advice for young people who want to build wealth long-term, because time is on their side.
• Thanks to inflation, keeping all your money out of the market can mean you lose money over time.
• Now, I set up my accounts to automatically divert money to my investments every month, so I don't have to think about making the decision every time.
• SmartAsset's free tool can find a financial planner to help you build your own investing strategy »

In 2018, I visited a financial planner after graduating college to get help creating a budget, setting money goals, and understanding my personal financial situation. While those visits taught me many lessons about managing money, there was one piece of advice I still swear by.

It's pretty simple: Start investing now. Investing can help you save for long-term goals like retirement and generally build wealth.

Most Americans in their early 20s don't have much in available assets - many young adults are strapped with student loan debt and earn lower incomes. It can be hard to think about "gambling" what little money you have. But fear of risk can have you miss out on major returns in the future, thanks to compounding interest - the process by which the interest you earn on your investments earns interest on itself.

My financial planner isn't the only professional recommending this move. I spoke with other certified financial planners that believe investing as early as possible is essential to financial prosperity.

"Although young individuals have the odds stacked against them with large amounts of student loan debt, low starting salaries and high insurance costs eating up the majority of their paycheck, they do have one extremely valuable thing on their side - time," said Danielle Harrison, a certified financial planner in Columbia, Missouri.

The point my financial planner made is: I'm young. I have decades to go before I retire, and I can afford to take on more risk because time is on my side. The earlier I invest, the more I could make, thanks to compounding returns.

There's no perfect time to start investing. While you're young, it may feel like it makes more sense to use that extra money for something else. But your future self will thank you.

Investing now will pay off later

Americans currently don't save enough for retirement. According to the Employee Benefit Research Institute, over 40% of all US households are projected to run short of money in retirement.

"Even a 10-year delay to start investing can cost you years of retirement funding," said Trevor Scotto, certified financial planner in Walnut Creek, California. "Investing early and more often reigns supreme to best prepare you for retirement."

Rumors of a second recession on the horizon can make investor newbies worried. But while there is often volatility in the stock market, the long-term rewards are worth it. Since 1926, the S&P 500 has averaged a ~10% annualized return.

"History has shown that stocks have provided great returns over long periods of time," said Scotto. "Think of all of the world events that have happened over the past 90 years, yet the stock market has consistently grown over time."

Those prone to hiding their money under a mattress may actually be losing money, due to inflation and other rising costs, like medical expenses. Investing can help mitigate these costs (and some investments can be relatively safe).

If you're still nervous, do some research. I read up on investing and was instantly comforted by the numbers, and excited by the potential to grow a nest egg without much work. For example, $10,000 in an investment account would grow to $108,347.06 in 25 years, assuming a 10% rate of return. That's a lot of money!

However, remember that past performance in the market can't predict future performance, and you can't guarantee any kind of results. There's always the possibility that you could lose money, which is why it's a good idea to start investing years before you need those funds - so you have time to make it back.

How to get started

The best way to start investing? Contribute a small amount of your paycheck each month. I automatically put a set amount of money into my investment accounts, so I won't forget.

Utilize any retirement plans you can, including 401(k)s and IRAs. Lastly, always take advantage of any employer retirement match - if not, you're leaving money on the table.

Saving and investing early on can help ingrain the habit. There will always be financial factors standing in the way of investing, like paying off student debt, buying a home, or having kids. But even setting a little money aside can build up over time.

"Good financial habits take time to develop," said Scotto. "And the longer you've practiced good financial hygiene, the harder it is to diverge from those good habits."

SmartAsset's free tool can find a financial planner to help you build your own investing strategy »

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