A strong safety net can make it easier to take big risks.
For Tori Dunlap, founder of the financial education company Her First 100K, that security was $ 100,000.
Dunlap, 27, got an entry-level job in marketing after graduating from college and soon discovered that day-to-day business was not for her.
The Seattle resident, who now has nearly 2 million followers on TikTok, started posting about her finances online with a goal of saving $ 100,000 by her 25th birthday.
Her social media followers grew along with her savings, and the now full-time entrepreneur achieved her goal shortly after her 25th birthday.
The most important step in tightening their budget and avoiding debt was to set up an emergency fund, Dunlap said.
She also kept track of all of her expenses and income, which Dunlap says can be done using a simple spreadsheet.
Automating her savings was also a critical key to the financial influencer’s success. When she turned 25, Dunlap automatically pocketed 27% of every paycheck.
Watch this video to learn the four steps this young entrepreneur recommends for anyone to build their own safety net.
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Disclosure: NBCUniversal and Comcast Ventures are investors in Acorns.