Owning your Finances

[Alethea]

I noticed many people, including myself, want to level up their financial skills. Getting out of debt, saving money, making budgets and sticking to them... These are all worthy goals, and the true secret to personal freedom in today's money-driven world. I also know that we have a few gurus who have been down this path and seriously rock their finances, with lots of good advice for newbies.

So I figured we could start a thread for ideas and woots.

And here it is.

These are a few articles I found recently that are great to read for anyone who understands that money = power:

7 Habits of Highly Frugal People: http://moneyning.com/frugality/7-habits ... al-people/

How to Become Successful at Anything Worth a Damn: http://moneyning.com/better-yourself/ho ... th-a-damn/

How to Save Money Every Month: http://moneyning.com/money-tips/how-to- ... ery-month/

[Asuria]

I once read this advice somewhere: devide your salary by three. Use one part for your rent, bills, etc. Use one part for other expenses like food, clothes, party's, movie, books,... Regular expenses. And than the third part goes straight into your savings account.

I think I read this advice when I first started working and I have been doing this for three years now. There are months when you have to spend a bit more, but there are also months when you get to spend a bit less. But so far it's been working pretty good.

[LynnyLee]

I can attest to what the 7 Habits of Highly Frugal People article is saying. My husband and I paid off our 30 year mortgage in 5 years, and that article pretty much sums up the attitude we adopted (although I'd never read the article until now). And I agree fully with his ending point: frugality doesn't just mean giving things up. Often it means reevaluating what is truly worth spending your resources on.

[67alecto]

This was on consumerist earlier today:

"Everything You Need To Know About Personal Finance Fits Onto 5 Business Cards"

http://consumerist.com/2010/10/everythi ... cards.html

[Robzilla1983]

I can attest to what the 7 Habits of Highly Frugal People article is saying. My husband and I paid off our 30 year mortgage in 5 years, and that article pretty much sums up the attitude we adopted (although I'd never read the article until now). And I agree fully with his ending point: frugality doesn't just mean giving things up. Often it means reevaluating what is truly worth spending your resources on.

Holy crap! I am officially checking out this article. That's amazing. I haven't even started thinking about trying to pay the mortgage off early yet. We're still swimming in student loans (at least we're not drowning though)

[Alethea]

I can attest to what the 7 Habits of Highly Frugal People article is saying. My husband and I paid off our 30 year mortgage in 5 years, and that article pretty much sums up the attitude we adopted (although I'd never read the article until now). And I agree fully with his ending point: frugality doesn't just mean giving things up. Often it means reevaluating what is truly worth spending your resources on.

Holy crap! I am officially checking out this article. That's amazing. I haven't even started thinking about trying to pay the mortgage off early yet. We're still swimming in student loans (at least we're not drowning though)

I'm no where near paying off my mortgage, but did pay off $20 thousand in debt and put a 20% downpayment on a house in 3 years with my partner through following these principles. Frugality is definitely a state of mind.

[67alecto]

As a part of growing up (as I coldly rationalized to myself at the time), I sold my "toys"...a 1967 Plymouth Fury and then a 1971 Plymouth Satellite Sebring Plus and paid off my student loans. With an additional, child on the way, we needed a bigger, safer car, so I bought a station wagon.

That the station wagon had a Hemi and could run the quarter mile in 13.9 is entirely coincidental, I assure you.

[mjmetcalf]

I forget who originally said this but I always thought this was the super secret to getting rich:

"Spend less than you make."

Do you really need anything else after that?

[Alethea]

Are you saving for retirement? You should be. And you should be investing it for exponential returns.

For modest inspiration, here's an advertisement for some investing company or another. http://www.youtube.com/watch?v=ous3v8kh2Kc

Who do you want to become?

[Alethea]

Call me contrary, but I twitch when I realize I'm being manipulated to do things that I didn't intend to do. Don't let cheep tricks influence your behavior - make your own buying decisions.

12 Spending Schemes We Fall For:

http://www.womansday.com/Articles/Money ... l-For.html

[TMedina]

Night of the Living Budgets!

 

I realize this thread is almost five years old, but in the same breath, I know a lot of folks include "making a budget" as part of their life goals/challenges, so I thought it deserved a resurrection.  And it saves me from starting a new thread on the topic.

 

Last year I finally cobbled together a budget that made sense for me, based on the "You Need A Budget" principles.  The basics are free to view/download/etc - you only pay for the software, if desired.  I have a couple of friends who absolutely love it, but I'm cheap enough that I'm not convinced (yet).

 

You Need A Budget

YNAB, the Method (to the madness)

 

EtA:

Reddit subforums on YNAB - fair warning, it is Reddit

[TheOtherScott]

This might not work for everyone, but here's what I did with my first credit card to work on building up my credit while I was in college:

- Get a card with a stupid low limit.  Keep it that low as long as is practical

- Use it for small purchases you'd make anyway.  I think I made exceptions for textbooks from Amazon, but that was it.

- Pay it off right away if you have the option, or pay the bill in full when it comes in the mail.

- Repeat to the point of habit