Today’s post is an interview I did for Pamela at My Money Counts. Below is a sample from the interview where I discuss my money story and my top 3 personal finance tips. If you want to check out the full article, check it out by clicking here.
- Tell us about your ‘money story’. Has this story changed how you manage your money today and how?My money story began in college as I racked up student loan debt. That was a large enough concern as it is, but then the 2008 financial crisis made everything worse. I’ve always come from a home with a middle to upper middle class income, but it was entirely dependent on my parent’s real estate business. Once the market tanked, I saw firsthand the incomes of my parents dry up to essentially zero.There was so much turmoil and stress as a result of the recession, that I vowed to myself I wouldn’t let this same situation happen in my future family. Money in those early days wasn’t about freedom or confidence, it was about avoiding the pain associated with not having it.Growing up I used to believe that money was the root of evil, but I started to consider it the opposite in those days. I started to see the lack of money as being a trigger for terrible events.Long story short, I ended up reading at least 100 books on the topics of investing, personal finance, and building wealth. I pursued a degree in accounting and am now a licensed CPA.
- If you could give 3 personal finance tips to anyone, what would those be?If I had to summarize it as 3, then I would say: First, realize personal finance is sexy because developing great money habits leads to instant confidence. It takes time to build wealth, but at least we can start developing those great habits today. Second, is to commit to learning what to do and what not do. If we spend two thousand hours a year earning our money, then it is a natural choice to spend two or three hours a month learning about personal finance. That’s all it takes. A lot of financial advisors will make it seem more complicated, but they’re just looking for a cut of your hard earned money.Plus, if you don’t spend the time learning about personal finance, chances are high you’re spending that time stressed out about money. That’s what I did for far too long and I’m glad I was able to transition into being more proactive with my finances.
Third, develop an understanding of your expenses. I’ve said this before, but once we gain an honest clarity of our expenses, we can start to tweak our budgets to save and invest more of our money. As the gap grows between income and expenses, we will have more fuel to add to the fire of investing.
Check out the full article by clicking here and let me know what you think over on Pamela’s site.