How Autistic Individuals can Develop Financial Independence - Part 2

In my last post, I covered the first four of eight steps to financial independence while looking at the key issues that specifically affect autistic people. This time, I want to cover the next two crucial steps; Generating Income and Making Good Investments. 

Step 5 Generating Income

The foundation of financial independence is generating income, and for most, this means securing a job. While jobs are generally accessible to young people, gaining a foothold in the workforce can be challenging, often requiring prior experience or qualifications. Don't be discouraged if your first job isn't glamorous – sometimes, it's just about getting a foot in the door. My own first job involved making dog food! The key is to commit fully to your current role while always striving for something better.

Autism and Job-Seeking

Autistic individuals often face unique hurdles in the job market, particularly during the initial recruitment phase. Many of these issues center around the interview process and can be overcome with significant practice and preparation. Be ready to attend multiple interviews and rehearse them thoroughly with trusted family and friends.

Some common challenges include:

• Communication Style: We might unintentionally give off a "different" vibe in interviews, or be perceived as too blunt or overly honest, which can sometimes put employers off.
  
  
• Special Interests: Our passion for special interests can sometimes come through too strongly, potentially overshadowing other relevant skills or the employer's immediate needs.
  
  
• Executive Function: Difficulties with organization, planning, and initiating tasks can make preparing for interviews or adapting to new job roles daunting.
  
  
• Coping with Change: Moving from one job to another, or even starting a new role within the same company, can be difficult due to a preference for routine and resistance to change.

Improving your Job Prospects

Some of the following strategies may help you gain employment;

• Go where the jobs are: You don't need to move countries but if you live in a rural area, consider moving to an area, like a nearby city if that offers a wider market that aligns with your areas of interest.
  
  
• Embrace Entry-Level Roles: Be open to taking whatever work is available, even if it's not your dream job. This allows you to gain valuable experience, build a work history, and network, making it easier to transition to better positions later. Think of it as a stepping stone to "working your way up."
  
  
• Professional Presentation: Invest time in creating a professional-sounding resume and maintaining an updated LinkedIn profile. These are essential tools for making a strong first impression, particularly if you are interested in office jobs.
  
  
• Keep improving your knowledge and skills: While employed, actively work to improve your skills and gain further qualifications. This could involve online courses, certifications, or internal training opportunities that enhance your value to employers. Don't be afraid to talk to your employers about your dreams. Most employers will be keen to support you and they can usually claim employee training as a business expense (tax write-off). 

Pitfalls to Avoid

Just as there are strategies that work, there are approaches that can hinder your job prospects:

• Degrees for the Sake of Degrees: Avoid pursuing qualifications solely because you think they might get you a good job. As discussed in Part 1 (Debt Management), educational choices should align with clear occupational goals and lead to a genuinely better position.
  
  
• Dishonesty: Never fake your resume, documents, or work experience. Integrity is paramount in the professional world, and such actions can lead to severe consequences.
  
  
• Unrealistic Expectations: Do not refuse a job simply because it doesn't perfectly match every single one of your desires. Early career stages often involve compromise and building a foundation - and sometimes they lead you to amazing careers that you would otherwise have never considered.
  
  
• Public Complaints: Complaining about jobs or the job market on social media can reflect poorly on your professionalism and deter potential employers. Always assume that any background checks that an employer does will uncover your social history. The internet is often "forever" - even if you delete something. 

Further Resources on Employment

Over the years, I've explored many aspects of employment for autistic individuals in more detail. If you'd like to delve deeper into these topics, here are some links to my previous articles:

• Helping your kids on the Spectrum to find Employment (2019): Part 1 | Part 2 | Part 3
• Improving Employment Prospects for Aspies (2010): Part 1 | Part 2 | Part 3

Step 6: Making Your Money Work for You (Investments)

Once you have a steady flow of money coming in, and you've shored up your critical expenses and emergency funds, it's time to start making your money work harder for you. This is a crucial concept often overlooked by young people: investing can make your money increase much faster than just "saving every penny" in a basic bank account.

It's important to understand that not all ways of holding money are "investments" that will grow significantly over time. It's also crucial to distinguish between different types of investments based on their risk and potential for return. For autistic individuals, the abstract nature of investing and the inherent risks can be particularly challenging. The key is to focus on clear, long-term strategies and diversify your approach.

Cash Savings (Not for Long-Term Growth)

Cash in a standard bank account is generally not a good long-term investment. This is because the value of cash typically decreases over time due to inflation – as goods and services become more expensive, your money buys less. For proof, ask your parents how much they were paying for petrol/gas a few decades ago.

While some bank accounts offer higher interest rates (like high-interest savings accounts or term deposits), they still won't grow your money anywhere near the rate of other growth-oriented investments. Banks are primarily for short-term savings and liquidity (easy access to your money), crucial for your emergency fund and daily expenses, but not for significant wealth growth.

Growth-Oriented Investments

These types of investments aim to increase your wealth significantly over the long term, typically outpacing inflation. They all carry a degree of risk, meaning their value can go up or down.

Shares & Stocks: 

When you buy shares (or stocks), you're purchasing a small piece of ownership in a single company. If the company performs well, the value of your investment may increase; if it performs poorly, your investment may decrease. The share market is particularly susceptible to global events and short-term fluctuations, which can be a source of stress for individual investors.

Autistic individuals often develop a strong aversion to risk, and this can make direct stock investing feel very dangerous. For example, if shares from a fundamentally good company lose a lot of value quickly (perhaps due to a broad market downturn unrelated to the company's performance), a risk-averse person might be tempted to sell quickly to "cut losses." However, the correct long-term strategy for a solid company in such a scenario is often to hold or even purchase more shares, as they are likely to recover.

Furthermore, the tendency for some autistic people to engage in obsessive behaviors can lead to constantly watching share prices throughout the day, every day. Not only does this lead to an unhealthy lifestyle, but it also often negatively impacts investment performance. Good investments generally rise in value over the long term, even with short-term dips. Micromanaging shares can cancel out these long-term gains by leading to emotional, short-sighted decisions.

Diversified Investment Funds (ETFs, Mutual Funds, Index Funds):

A much safer option for most investors is to consider a diversified investment fund. Instead of buying shares in just one company, these funds invest in many different companies, or even entire market segments. This significantly diversifies your portfolio, making market fluctuations easier to manage because, typically, while some assets in the fund might be decreasing in value, others are increasing. 

These funds are usually classified by their risk level, and if you're a young person who won't need the money in the short term, you can often tolerate higher risk for potentially higher returns. This "set it and forget it" approach (with periodic reviews) is often ideal for autistic individuals, reducing the mental load and temptation for micromanagement.

Property / Real Estate:

Property is an entire investment category. One way to earn money is through capital growth; in the right environment, a house price can rise faster than you could save, especially in developing areas. Another way is through rental income, where you might become a landlord. This can potentially cover your mortgage repayments, though this depends heavily on the local market.

As you make mortgage repayments, you slowly increase your equity – the portion of the house you own. This means that even if you sell before fully owning it, you have increased your personal share of wealth.

Different countries have varying rules and taxes regarding property investments, and different regions will see values rise or fall at different rates, so your choice of location and property quality matters significantly.

The biggest autistic challenge with property purchasing is executive function. There is a vast amount of paperwork, forms, and declarations involved. If you become a landlord, there will be ongoing responsibilities depending on the property type and age. For these reasons, it's crucial to have a quality, trusted, and expert advisor in your corner.

Bonds:

Bonds involve lending money to a government or a company in exchange for regular interest payments. They are generally considered lower risk than shares but also offer lower returns. They can be a good way to balance a portfolio, adding stability.

Retirement Accounts (e.g., Superannuation, 401(k), Pensions):

These are special investment accounts designed for long-term savings specifically for retirement, often with significant tax advantages. While the names and specific rules vary wildly by country (e.g., Superannuation in Australia, 401(k) or IRA in the USA, various pension schemes in the UK and Europe), they are almost universally an excellent way to build wealth over decades. The automated nature of contributions (often from your employer) and their long-term focus make them an ideal, low-stress investment vehicle for many.

While Retirement funds are designed for long-term growth and are a cornerstone of financial security, autistic individuals can experience issues with them for several reasons. These funds often produce information overload with reams of paper and charts that are simply too much to take in. They also frequently change names or merge with other funds, adding layers of complexity.

Autistic people often have issues with very abstract concepts, and actively managing these funds can become problematic. The best mitigation is to ensure that they are given an annual check by a qualified professional and then just leave them to increment on their own through various work contributions. This "set it and forget it" approach, combined with expert oversight, can significantly reduce stress and ensure your long-term financial health.

Next Time

In the final part of this series, I'll look at why you need to build good credit and how to do it – and we'll cover how to review and adjust your plans for all the things that life throws at you.