Clements warns against some common financial advice targeted at young people that may not be in their best interest.

  • Create a 6 month emergency fund.
  • Buy the biggest house possible.
  • Buy cash value life insurance.
  • Invest in all or almost all equities.

On the positive side he does recommend

  • Funding 401K
  • Eliminating credit card debt
  • Buy term life insurance
  • Start with a 60/40 portfolio and ride that through a bear market before deciding to invest more aggressively.

I would add ensuring you have heath and disability coverage since future earnings are your most important asset.