| “Anyone who has ever struggled with poverty knows how extremely expensive it is to be poor.” —James Baldwin |
Little known fact about me: I’m the money nerd in my closest circle. I definitely don’t make the most, but I’m the best self-manager of it, and I’m always reading or listening to financial advice. Not the how-to-get-rich kind (I hate that shit), but the kind that applied back in BC days, today, and tomorrow.
Here go my top 10:
- Tell your money where to go or wonder where it went. And at the end of the week/month, add up your transactions and see if you obeyed yourself.
- If you ain’t got enough money: are you spending too much or not making enough? Add up necessary expenses. Add up all your income. What’s more?
- Plan for tight times. Even millionaires got ‘em. Have a regular budget, one for when shit gets real, and another for when shit gets really real.
- Money is emotional. Af. Too much “I deserve” will have yo ass broke and outta shape.
- Are your desires truly yours or capitalism-driven?
- What does it mean to be good with money? Your own definition, not Google’s or some guru’s. And make sure that definition works for your now-and-later peace of mind.
- Keep in touch with people who are good with money. Jade Warshaw is current fave, but I also dig Tiffany Aliche and Andrew Giancola. And my mama is my since-been money mentor.
- Baby, who you laid up with affects your health and wealth super dupery! My stepdad was horrible with money. That’s why I ain’t realize just how good my mama was with it until he passed away, God bless him.
- Save more for retirement. Tiffany Aliche recommends naming your retired self. Mine is Cheryl. And I’m constantly considering how I’m looking out for Cheryl, because once I am Cheryl, what’s done is done.
- Your generation got the same damn struggles as you. Below, I’ma share the worst money habits of people in their 20s, 30s, 40s, and 50s. I got it from Andrew Giancola.
| Worst Money Habits for People in their 20s, 30s, 40s, and 50s According to Andrew Giancola |
| People in their 20s -Sports gambling as a side hustle -Buy now, pay later -Living luxury on a starter income -Crypto as an entire investing plan -Not saving anything for retirementLiving off credit card debt -Using credit cards for emergencies instead of cash -Constant upgrades (average do phone upgrades every 1-2 years) People in their 30s -House poor (spending more than 30% of income on housing costs) -Keeping up with friends’ social media (comparison trap) -Spending more on vacations than retirement investing -Delaying investing until “things calm down” -Not protecting your income (only 14% of millennials have disability insurance and 60% have little to no life insurance) -Letting kids’ costs explode without boundaries -Staying in underpaid jobs instead of growing your income (switching averages 8% more. Raises average 4%) -Overspending on the Big 3 (homes, cars, food) People in their 40s -Massive lifestyle inflation (making more so spending A LOT more) -Not catching up on retirement savings -Ignoring tax plans like HSAs and Roth conversions and making poor retirement accounts selections Ignoring health until it becomes a financial crisis -Funding kids over funding retirement -Holding too much cash for too little growth -No plan for aging parents People in their 50s -Not taking retirement seriously until it’s urgent -Staying in high-fee financial products -Avoiding hard financial conversations (45% haven’t even discussed where they’re gonna live in retirement) -Carrying debt into retirement (credit cards and mortgage) -Having no healthcare strategy (in retirement, you’ll spend about $300k in healthcare) -Overestimating your ability to work forever (more than 50% leave earlier than expected for different reasons) -Taking on big financial burdens later in life |
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