Know Your Blogger Series
Financial IQ by Susie Q
I started Financial IQ by Susie Q in the fall of 2018. The impetus for the blog was a conversation with my insurance agent. He was in his late 20s and had just been to a financial advisor. Based on the advisor’s recommendations, it was clear that the advisor would be paid based on commissions, as his recommendations had little to do with the needs of a single, young professional. After a long conversation about a wide range of financial topics, my insurance agent suggested that I find a way to share my knowledge with other people. My mission is “to provide clear, practical, unbiased information to help people, Millennials in particular, make better financial decisions”. The purpose is to help people make better financial decisions to help avoid uninformed choices, such as those that contributed to the 2008-2010 financial crisis.Check out our Q&A with Financial IQ by Susie Q here.
Come learn about the blog Financial IQ by Susie Q and how it is helping millenials learn about finances.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Financial IQ by Susie Q.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Financial IQ by Susie Q, learn about the author, and learn personal finance tips from Financial IQ by Susie Q to help you improve your financial situation.
A big thanks for Financial IQ by Susie Q for this interview! Now, we will turn it over to the author for this interview.
Tell us about Financial IQ by Susie Q
I started Financial IQ by Susie Q in the fall of 2018. The impetus for the blog was a conversation with my insurance agent. He was in his late 20s and had just been to a financial advisor. Based on the advisor’s recommendations, it was clear that the advisor would be paid based on commissions, as his recommendations had little to do with the needs of a single, young professional. After a long conversation about a wide range of financial topics, my insurance agent suggested that I find a way to share my knowledge with other people.
I followed up that conversation by contacting my daughter whose expertise is in technology and graphics. She created the name, logo and all the things that make my web site look terrific.
My mission is “to provide clear, practical, unbiased information to help people, Millennials in particular, make better financial decisions.” The purpose is to help people make better financial decisions to help avoid uninformed choices, such as those that contributed to the 2008-2010 financial crisis.
What makes you and your blog unique?
I write the posts for Financial IQ by Susie Q solely for the purpose of providing practical financial information to my readers. As such, there are no financial consequences related to anything I write, allowing me to be completely unbiased.
I am a semi-retired actuary who spent many years modeling the financial risks of insurance companies. I stopping working 9-5 in my late 50s with enough savings to meet my retirement goals. My experience with both business and personal finances and my strong understanding of the math behind financial decisions gives me unique expertise to provide information to my readers.
What does “being good with your personal finances” mean to you?
To me, being good with your personal finances means:
- Paying all of your expenses as they come due.
- Having a plan to pay off any debt.
- Having a vision and an implemented plan to meet your long-term financial goals (e.g., a house, a big vacation, college for your kids, retirement).
- Understanding all of your financial decisions and their risks.
What are some habits you practice to keep your personal finances in order?
To keep my personal finances in order, I:
- Monitor my investments no less often than monthly.
- Have a long-term plan for my retirement spending that shows the average annual return on investments needed to meet my goals.
- Balance my checkbook every month to the penny
- Discuss our finances and investment choices regularly with my husband.
- Have a good idea where we are spending our money, though I don’t monitor in detail.
- Pay all our bills in full on time.
What are your three articles people should read to get to know you and your message better on your site?
These posts cover examples of the range of topics covered on my site.
For someone looking to improve their financial situation, what’s your best advice?
My advice is to figure out where you are with your finances, identify your goals and find a path to get there. Eventually, I think people should create a financial plan, which looks at:
- A list of your financial goals
- You’ll want to identify your three to five most important financial goals.
- A list of your current assets
- Assets that a company can sell and turn into cash within a year and liabilities (debts)
- Your budget
- A plan showing targets for income and expenses over a fixed time period, such as a month or a year.
- Your savings and investment strategies to help you attain your goals, including
- Short-term savings
- Designated savings
- Retirement savings
- Desired use of debt, including re-payment of current debt
- Your giving goals
- Risk
- The possibility that something bad will happen. management strategy, i.e., types and amounts of insurance to buy
- Understanding of your income tax situation
- What you want to have happen to you and your assets
- The value of things the company owns and amounts it is owed when you become incapacitated or die and related documents
In your opinion, what’s better? Renting a place or buying a house to live?
I think that, as with all decisions, the answer is, “It depends.” It depends on your lifestyle and goals. Do you want to own your home? How long do you plan to live at your current location? Do you have money for a down payment and any unexpected expenses? Depending on the answers to these questions, then you can find the answer for yourself.
What are your favorite personal finance books?
The two books I love are:
- One Up on Wall Street by Peter Lynch
- Never Eat Alone by Keith Ferrazzi
What is your favorite investment class and why? (stocks, private business, bonds, real estate, crypto, precious metals, etc.)
Until I retired, I was invested essentially 100% in stocks (individual stocks, mutual funds and ETFs), keeping a fair amount in cash for emergencies. I invested in stocks because I understand them and their risks and they provide a relatively high return when looked over long periods of time.
In retirement, I keep most of my investments still in stocks. In addition, I’ve created a bond ladder with individual bonds held to maturities of less than 5 years to provide cash to pay our expenses and a gold ETF to add diversification. The latter decision was made after researching my post on the All Seasons portfolio.
Do you have any financial mistakes you’d like to share, and how have you grown from these mistakes to improve your personal finances?
When I was busy with my job and children, I hired someone to manage a portion of my portfolio. At the time, index funds were pretty much unknown. This experience confirmed for me that almost no one can “beat the market.” I wished I had learned about index funds as soon as they became available and transferred the money from the money manager to an index fund many years earlier.
What’s a non-money related interest you have and what do you love about it?
I have many non-money related interests, but will focus on playing bridge. My parents taught me to play bridge when I was a teenager. I taught my husband to play and we would spend long evenings with friends until our kids were born. Once our youngest was in high school, we took lessons as many of the techniques had changed from the time I learned to play. We played for many years at the bridge club near our home, meeting some of our best friends there.
When I moved to a new city, I joined the local bridge club and made many new friends. Even though both our friends and we have moved thousands of miles away, we still play bridge on line once or twice a week and coordinate our visits with each other around bridge tournaments. I also play bridge on line with my mother and nephew. Not only has bridge been a great activity for making and keeping friends, keeping in touch with family, and staying safely busy during the pandemic, it is a game with constant mental challenges and learning opportunities which are particularly important as we get older.
How You Can Contact Financial IQ by Susie Q for More Information
You can learn more about Financial IQ by Susie Q at https://financialiqbysusieq.com/ and follow them on Twitter at @IQbySusieQ.
Thank you for reading this interview, and thank you, Financial IQ by Susie Q, for providing us with some great personal finance tips!
Know Your Blogger Series
One Frugal Girl
I started my blog during a very dark period of my life, back in 2005. After multiple emergency room visits and six months of misdiagnosis, I underwent a series of medical procedures and a painful surgery to repair my body. I started the blog while I was at home on short-term disability, recovering and feeling very sorry for myself. The original name of my blog was One Lucky Girl. Despite all that I had been through, after six months of misdiagnosis and two major medical emergencies, I felt lucky to be alive. The blog began as a personal journal, but after a few months of writing, I noticed I kept talking about money. Eventually, I changed the name to One Frugal Girl.My mission is simply to tell my story in the hopes that others can learn from it. In real life, money is still a taboo topic. Personal finance blogs allow us to break those taboos and share our knowledge with others who can benefit from it. I hope that readers stumble across my blog and feel comfortable sharing their questions and concerns.
Check out our Q&A with One Frugal Girl here.
Check out our Q&A with One Frugal Girl here.
Come learn about the established and awesome blog, One Frugal Girl.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, One Frugal Girl.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind One Frugal Girl, learn about the author, and learn personal finance tips from One Frugal Girl to help you improve your financial situation.
A big thanks for One Frugal Girl for this interview! Now, we will turn it over to the author for this interview.
Tell Us About One Frugal Girl
I started my blog during a very dark period of my life, back in 2005. After multiple emergency room visits and six months of misdiagnosis, I underwent a series of medical procedures and a painful surgery to repair my body. I started the blog while I was at home on short-term disability, recovering and feeling very sorry for myself.
The original name of my blog was One Lucky Girl. Despite all that I had been through, after six months of misdiagnosis and two major medical emergencies, I felt lucky to be alive. The blog began as a personal journal, but after a few months of writing, I noticed I kept talking about money. Eventually, I changed the name to One Frugal Girl.
My mission is simply to tell my story in the hopes that others can learn from it. In real life, money is still a taboo topic. Personal finance blogs allow us to break those taboos and share our knowledge with others who can benefit from it. I hope that readers stumble across my blog and feel comfortable sharing their questions and concerns.
What makes you and your blog unique?
My blog is unique because I’ve been writing for so long. Honestly, fifteen years of blogging makes me feel like a grandma in the personal finance space. I’ve gone from a young twenty-seven-year-old with big financial plans to a financially independent forty-three-year-old who achieved the dreams I set for myself.
Many bloggers write about their journey to financial independence, but very few write about it from beginning to end. When I started blogging, I didn’t know about FI and FIRE. I wrote about my experiences with money and my relationship with it. What’s remarkable, though, is the more that I wrote about money, the more I began to pay attention to it. Blogging about personal finance made me a millionaire.
What does “being good with your personal finances” mean to you?
Oh, this is such a good question. Being good with your finances means being intentional with the money you earn. It means finding ways to increase your income, decrease your expenses, and not feel deprived in the process.
If you are good with your money, you look at your life and ask yourself what you want out of it. What goals should you set for yourself? How do you want to live your life, and what is important to you? I think many of us walk through life with blinders on. We go through the motions of life without pausing to ask if we are happy on our current path. Many of us spend money without consciously thinking about it. When you examine your money mindset, you become intentional with your financial decisions.
Some people need a lot of money to be happy, while others don’t. Being good with personal finances isn’t just about money. It’s about using the money you earn to live your best life.
What are some habits you practice to keep your personal finances in order?
My number one habit is talking about money openly and honestly. My husband and I started discussing money right from the start of our relationship, and financial conversations still occur in our household at least once a week, if not more often. We discuss financial matters in front of our children too. We want our kids to listen to our stories and to feel comfortable asking questions on their own.
Once a year, we host a family financial meeting to discuss our financial goals. After all, what is the point of earning money if we don’t set a plan for using, saving, and spending it? This meeting ensures we are moving forward together and staying on the same page. I think everyone could benefit from a money mentor. For me, that’s my husband. I love that we can bounce ideas off one another and keep ourselves accountable to our goals.
My second habit is tracking our expenses. We started writing down our expenses in 2001 and have continued to document every transaction since that time! This is a painful experience, but so worth the time. Tracking our expenses helps us realign our spending patterns to ensure they match our short-term, mid-term, and long-term goals.
What are your three articles people should read to get to know you and your message better on your site?
Here are three for you to check out:
For someone looking to improve their financial situation, what’s your best advice?
I think it helps to alter your money mindset. Everyone’s path will be unique, but these steps will help.
First, calculate your hourly pay rate. Begin by dividing your after-tax salary by the number of hours you work in a year. Then write that number down and stow it inside of your wallet, in front of your credit card. Each time you plan to buy something new, look at that number and ask yourself how long you have to work to pay for the item you want to buy. By correlating time with money, you begin to make more conscious decisions on how much to spend. You will be less inclined to waste the money you spent so much time and energy earning.
Next, track every expense and write down everything you buy. I know this sounds like an awful, tedious task, but many of us spend money in little ways we don’t even realize. Try to decrease significant expenses like housing, transportation, and food first. Then review the rest of your costs and ask yourself which optional items made you happy. Create a joy based ledger to weed out the things that don’t bring joy to your life.
Third, take a good, hard look at your possessions and calculate how much you spent on them. When I was ill, I spent a lot of time buying things to make myself feel better. Years later, I dragged items out of my closets and dressers to see how much money I spent on stuff I rarely used or wore. After adding up all of the needless expenses, I convinced myself to stop buying stuff. The process turned me into a quasi-minimalist. I love knowing what matters to me and what I want to spend my money on.
Lastly, the best way to improve your financial situation is to earn enough to pay for your expenses and still have enough left over to save. We can talk about all of the other tips and tricks of personal finance, but the number one way to improve your situation is to search for ways to earn more, which of course, is often easier said than done.
What’s an area of your life which has benefited from improving your personal finances? Have there been any areas of your life which have suffered?
Improving my finances has dramatically improved my peace of mind. I felt stressed and anxious about money for most of my life, but my husband and I have now amassed enough to ease my mind. The best part of financial independence is paying bills without worry.
As a result of our financial success, we never argue about money or financial decisions of any kind. We share accounts and don’t feel the stress of being unable to pay for something we need.
IFinancial stability has also allowed me to become more generous. In my youth, I volunteered my time, but not my money. Now, I am free to do both.
What are your favorite personal blogs and bloggers you have been inspired by?
I’ve been reading personal finance blogs for over fifteen years now. Unfortunately, many of my early favorites like Newlyweds on a Budget and Little Miss Money Bags stopped blogging many years ago. I loved reading their stories and conversing with them about financial matters. Men may dominate the PF blogging space, but since the beginning, there have been many strong, smart, successful women chatting about money.
I tend to subscribe to blogs that tell interesting, personal stories, and J.D. Roth and J. Money are two of my long-time favorites. J. Money is one of the most generous individuals in the personal finance space. He is so supportive of other personal finance bloggers. I’m glad that J.D. and Jim Wang started ApexMoney because I miss finding new blogs through Rockstar Finance.
Last but not least, I will always be grateful to Angela (Tread Lightly Retire Early) and Revanche (A Gai Shan Life) for convincing me to return to blogging after a yearlong hiatus. Without them, I wouldn’t be here telling my story. Both are incredible, supportive women.
If you received a $5,000,000 windfall tomorrow, what would you do with the money?
If I received a windfall, I would donate most of my money to pay off medical debts for those in need. When my medical problems emerged, I was blessed with incredible health insurance and a short-term disability policy. For six months, I visited over thirty doctors searching for a diagnosis and underwent $60,000 worth of medical tests and procedures.
When you are ill, the last thing you should have to think about is money. I spent a ridiculous amount of energy and strength, fighting against a broken medical system. I could do that because I wasn’t also fighting hospitals and insurance companies over medical bills. If I inherited a windfall, I would donate the money to help others who were not as lucky as I was.
I lived a healthy lifestyle before my medical problems began. I exercised, ate well, and maintained a healthy weight, but none of those things prevented the problems that occurred or the pain I have experienced since. Sometimes you cannot avoid medical issues. It sucks that many people have to go into debt for them. I would love to help eliminate those financial worries for at least a few families.
What’s a non-money related interest you have, and what do you love about it?
I love to write poetry and children’s stories. I keep this all under wraps and rarely write these days, but I hope to get back to telling stories one day. Having children has amplified my desire to write a children’s book.
I’ve also been searching for ways to increase childhood literacy in our area. Before COVID, I started handing out free books to kids in our area. I purchase $1 books through the Scholastic order forms at my son’s school and hope to continue this effort after COVID ends.
Many children don’t have access to a single book in their home. Every child should be able to hold a book in their hands, flip the pages, and let their imaginations venture into new places and worlds.
Why do you believe learning about money and caring about personal finance is important?
Whether we like it or not, money controls so many different aspects of our lives. If you can learn about money and personal finance, you can free your mind of the worry and stress related to paying your bills.
How You Can Contact One Frugal Girl for More Information
You can learn more about One Frugal Girl at https://onefrugalgirl.com/ and follow them on Twitter at @OneFrugalGirl.
Thank you for reading this interview, and thank you, One Frugal Girl, for providing us with some great personal finance tips!
Know Your Blogger Series
Money in Your Tea
My name is Kari, and I started Money In Your Tea in May 2019. I’ve always naturally been a “numbers person” and I enjoy tracking our family’s personal finances. When I was looking for a new personal challenge in my life, I decided to focus on my strengths and interests by starting my blog. I genuinely enjoy sharing what I know about personal finances, and I have also learned a lot myself through researching my articles.
Check out our Q&A with Money In Your Tea here.
Check out our Q&A with Money In Your Tea here.
Come read about the awesome Candian personal finance blog, Money in Your Tea.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Money In Your Tea.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Money In Your Tea, learn about the author, and learn personal finance tips from Money In Your Tea to help you improve your financial situation.
A big thanks for Money In Your Tea for this interview! Now, we will turn it over to the author for this interview.
Tell us about Money In Your Tea
My name is Kari, and I started Money In Your Tea in May 2019. I’ve always naturally been a “numbers person” and I enjoy tracking our family’s personal finances. When I was looking for a new personal challenge in my life, I decided to focus on my strengths and interests by starting my blog. I genuinely enjoy sharing what I know about personal finances, and I have also learned a lot myself through researching my articles.
What makes you and your blog unique?
I’m a Gen X, which puts me in a different stage of life than many personal finance blog writers. For example, I now have 2 children in university so we’re drawing down their education funds, which I talk about on my blog.
I’m also an economist, so I sometimes incorporate that into my articles, such as What Everyone Should Know about Economics during COVID-19.
As a Canadian, some of my writing includes Canadian government finance programs, for example Registered Retirement Savings Plans (RRSPs).
What does “being good with your personal finances” mean to you?
I believe that “being good with your personal finances” means being intentional in your financial decisions.
-
Be aware of how much money you make, especially if it’s coming from multiple sources or varies month-to-month.
-
Track how much you spend in various categories, and see if this makes sense to you. If you’re spending too much in some areas, see where you can adjust, such as buying store-brand groceries instead of shopping at high-end stores.
-
Only take on “bad debt” if there is a good reason, and have a plan for how you will pay it off. What I mean is, if you have lost your job and then run up your credit card in order to buy groceries, that’s a great reason for that debt. If you have no idea what you’re earning and what you’re spending and your line of credit grows every month, that’s not so good.
-
Invest in your future. This can include education to further your career options, as well as putting money aside for future large purchases and for retirement.
What are some habits you practice to keep your personal finances in order?
The most important habit I practice to keep my personal finances in order is tracking my spending and income. I have used Quicken for the past decade, which I love because it categorizes all my spending. I also use it to track my investments and mortgage.
What are three articles from Money In Your Tea that people should read to get to know you and your message better?
-
The 50/30/20 Budget Rule: A Simple Step-by-Step Guide – This is my most popular article, and it is newly updated and expanded, with a free budget tracker printable.
-
RESP Investing from Newborn to High School – Investing in your education fund (RESP in Canada) is very different from investing in your retirement fund. You can move your retirement date forward or backward as your finances (and preferences) allow. But post-secondary education almost always starts when your child is 18. This is why I believe it’s so important to monitor and adjust your investment strategy over the years.
-
Personal Finance during the Coronavirus Pandemic – I’m kind of cheating here, because this is actually a series of articles. They range from what to do in a cash flow crisis, to understanding economics during COVID-19, to paying off debt, and more.
For someone looking to improve their financial situation, what’s your best advice?
Short-term: Focus on decreasing your spending.
This is where you can get quick and easy wins. Food is one of the top 3 spending categories for most households, so start there. Eat in more often if you aren’t already. Take-out is cheaper than eating at a restaurant if you want a treat, because you don’t have to tip (as much) and you don’t have to buy drinks, which have a big mark-up. Start meal planning and buy groceries at a discount store instead of high-end, and buy store-brand instead of name-brand products.
If you’re really strapped for cash, consider selling things you no longer need. This is a source of one-time income, but it can really help with paying down consumer debt.
Medium-term: Focus on increasing your income.
Demonstrate your worth to the company do show why you deserve a raise. Or look for a job at a new company – this is typically when you get the biggest increases in income, much more than a raise. Consider a “side hustle” or income generating investment to diversify your income sources.
The second thing to look at in the medium term is transportation costs, another of the top 3 spending categories for most households. Can you reduce this by trading in the car with a big loan or lease for a car that’s a few years old. Or can you sell one of the family cars and share driving or take public transit.
Long-term: Focus on investing for the future.
Open a retirement account if you haven’t already, and start putting money aside regularly. Decide what the best mix of investments is for you, and then don’t look to closely. In the short run stocks and bonds go up and down in value, which can make you worry needlessly if there is a stock market downturn.
The second thing to look at long-term, is your housing situation. Housing is the last of the top 3 spending categories. If you feel you’re always “house poor” it may be time to consider moving to a cheaper home. Imagine the difference to your budget if you shave 20% off your rent or mortgage expense each month.
In your opinion, what’s better? Renting a place or buying a house to live?
There are clear times in your life when renting is the obvious choice, like when you’re in post-secondary education and you’re unlikely to continue living in that city when you graduate.
But as you get established as an adult, with a career, renting can feel like “throwing money down the drain” as compared to paying a mortgage where you ultimately own a house.
However, I’d say the argument is not as clear cut. As a homeowner, I can attest that it is really expensive to own. Every time something breaks down, you have to pay to fix it, like our $10,000 hot water heater/boiler system. And inevitably there are upgrades because you want a nicer kitchen, bathroom, or whatever. Plus the property taxes. And upfront costs like land transfer tax and legal costs of buying a home.
In addition, the relative costs of buying versus renting are dependent on what city you live in. The average price of a detached house where I live is $1 million (Canadian).
If renting is cheaper, you can invest more into your retirement fund. It also gives you more freedom to move to follow your ideal career path.
Ultimately I think this is more of a lifestyle and location choice, and it’s not clear cut whether financially you are better off to own or to rent.
In your opinion, what should you do first? Pay down debt, or invest?
If you have high-interest rate debt, such as balances on a credit card or store card, I would definitely focus on paying down those first.
If you have only low-interest rate debt, such as a mortgage or HELOC (home equity line of credit), I would focus on continuing with regular debt payments, but also maximize investing. Mortgage interest rates are incredibly low right now. Financially, you’re more likely to be better off by investing for the long term than paying down that debt.
What are your favorite personal finance books?
My favorites are:
-
Quit Like A Millionaire: No Gimmicks, Luck, Or Trust Fund Required, by Kristy Shen and Bryce Leung.
-
Kristy and Bryce retired at 31 with over $1 million, and now travel the world. But even if the FIRE movement (financial independence retire early) isn’t for you, this book is still a great read. The detailed description of how they draw down their investments in retirement while still protecting themselves from stock market declines is essential.
-
-
The 5 Years Before you Retire, by Emily Guy Birkin.
-
This book covers all the important personal finance steps to take BEFORE you retire, including what to do if you haven’t saved enough. Lots of great information here, particularly with respect to American social programs and taxes. (I wish it had a Canadian version!)
-
-
Make Your Kid a Money Genius (even if you’re not), by Beth Kobliner.
-
This is the book I would most recommend to parents. She covers 10 important topics ranging from saving, earning, debt, smarter spending, college, and more. In addition, each chapter is broken down into advice by age range: preschool, elementary school, middle school, high school, college, and young adulthood. For example, in the chapter called Hard Work Pays, elementary kids learn that work isn’t always fun, while high schoolers learn how to read paycheque deductions, and advice to young adults includes how to negotiate your salary at a new job.
-
There are a handful of very highly respected personal finance books that many people love – that I absolutely hated. I won’t name them, of course, but if you start a personal finance book and it doesn’t speak to you, find a different one that does, even on the same topic.
What are your best investing tips?
Investment classes include stocks, bonds, real estate, cryptocurrencies, precious metals, options, and much more.
I believe there are 4 main principles to investing, and this is how I meet them:
-
Invest based on your goals and risk tolerance.
-
You can take more risk (and hopefully get higher return) with funds that are invested with a long-term horizon. In my children’s education funds, by the end of high school I have them invested in 100% GICs (guaranteed investments certificates, equivalent to a CD in the United States). When the stock market crashed 20% in early 2020, and my son was months away from graduating, can you imagine if his education fund had fallen by that much?
-
-
Diversification.
-
Don’t put all your eggs in one basket. My own investments are mainly in ETFs (exchange traded funds) that track broad market indexes. As a Canadian, I ensure I invest internationally as well as at home.
Reduce the cost of investing./div>-
When we first started investing, we had mutual funds because we didn’t know much about investing and that’s what our bank recommended. As we learned more, we switched to self-directed investing with ETFs, which have much lower management fees.
Invest regularly.-
We add to our investments regularly, to ensure it grows over time. I also check our investment allocation periodically, to balance between types of investments where needed.
If you received a $5,000,000 windfall tomorrow, what would you do with the money?
I would start by hiring a fee-for-service financial advisor. $5 million is too much to manage without getting some expert advice. And I know a fee-for-service advisor isn’t going to “sell” me the wrong things to profit off me.I think both of us would retire from our careers.Then:-
I would pay off my mortgage, because I find it annoying. Even though the interest rate is low, and financially this isn’t the best use of funds. I would also hire someone to do all the little renos to make our home perfect.
-
I would buy a cottage. Living in a big city as we do, it would be lovely to have a place to go where we could be in nature.
-
I would maximize our tax-advantaged investing accounts. Then invest more in non-registered investment accounts.
-
I would set up funds in trust for our children. We live in a city where buying a house or condo is very expensive, and I worry that they may not be able to afford to live here as adults.
-
We would travel (when COVID-19 is no longer an issue).
-
I would give some to family.
-
and, I would donate to a worthy cause.
How You can Contact Money In Your Tea for More Information
You can learn more about Money In Your Tea at https://moneyinyourtea.com/, and follow Kari on Twitter @moneyinyourtea.Thank you for reading this interview, and thank you, My Quiet FI, for providing us with some great personal finance tips!
-
Know Your Blogger Series
Clipping Chains
I started Clipping Chains in late 2018. I didn’t have a super clear direction at the time, but I knew I wanted to combine my two favorite obsessions, rock climbing and personal finance.
You see, the outdoors community, but climbers in particular, are drawn to freedom. We have the Van Life movement, we have the dirtbags, and we have all sorts of folks who completely retool their lives around this sport. I think the fully obsessed climber lifestyle is not well understood outside of this community.
I thought climbers would be particularly drawn to the idea of financial independence. At the time in late 2018, my wife and I were on the final stretch to full FI. I really wanted to share all I had learned, and I thought the best avenue was to preach directly to the climbing community. I didn’t necessarily want to be another voice in the personal finance world, which I believe can be an echo chamber at times.
Check out our Q&A with Clipping Chains here.
You see, the outdoors community, but climbers in particular, are drawn to freedom. We have the Van Life movement, we have the dirtbags, and we have all sorts of folks who completely retool their lives around this sport. I think the fully obsessed climber lifestyle is not well understood outside of this community.
I thought climbers would be particularly drawn to the idea of financial independence. At the time in late 2018, my wife and I were on the final stretch to full FI. I really wanted to share all I had learned, and I thought the best avenue was to preach directly to the climbing community. I didn’t necessarily want to be another voice in the personal finance world, which I believe can be an echo chamber at times.
Check out our Q&A with Clipping Chains here.
Learn how the climbing and personal finance communities collide in this interview with Clipping Chains.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Clipping Chains.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Clipping Chains, learn about the author, and learn personal finance tips from Clipping Chains to help you improve your financial situation.
A big thanks for Clipping Chains for this interview! Now, we will turn it over to the author for this interview.
Tell us about Clipping Chains
I started Clipping Chains in late 2018. I didn’t have a super clear direction at the time, but I knew I wanted to combine my two favorite obsessions, rock climbing and personal finance.
You see, the outdoors community, but climbers in particular, are drawn to freedom. We have the Van Life movement, we have the dirtbags, and we have all sorts of folks who completely retool their lives around this sport. I think the fully obsessed climber lifestyle is not well understood outside of this community.
I thought climbers would be particularly drawn to the idea of financial independence. At the time in late 2018, my wife and I were on the final stretch to full FI. I really wanted to share all I had learned, and I thought the best avenue was to preach directly to the climbing community. I didn’t necessarily want to be another voice in the personal finance world, which I believe can be an echo chamber at times.
The name clipping chains is a bit of a double entendre, without the sexual connotation. When rope climbers reach the top of a route, there’s usually a twin pair of chains that mark the permanent anchor. Therefore, a successful “send” is usually called “clipping the chains,” for slang. However, I also saw the methods of financial independence to be liberating and freeing. So, in a way, we also use these same tools to clip the chains of invisible barriers in our lives created through poor financial habits.
What makes you and your blog unique?
Man, I don’t know. In a way, I feel like I talk a lot about the same methods and hacks that we all mention (see echo chamber above). Where I feel I’m different is that I’m taking this directly to a community where money is a huge taboo, more so than almost anywhere in society. Climbers love to glorify simplicity, and so I’m taking the bold stance of talking about money as a means to a better life, not just to buy stuff. Climbers already understand that worthless junk doesn’t buy happiness. My goal for that community is to start a thought process around long-term thinking.
I also like telling stories. I’m really bothered by superficial listicles, like “six ways to save more money in 2021!” I hate that stuff. I want to intertwine the trials and tribulations of life. I want people to understand that life is built around a foundation of elements that bring contentment, not just shiny toys and an endless pursuit of the happiness carrot.
I feel like a lot of the FIRE community has an unwritten message of “get there and all of life’s problems are solved.” It’s simply not true. So, I want to be honest and write real reviews of life, rife with a full spectrum of emotions and at-times borderline inappropriate humor. I like metaphors and self-deprecating stances. I have no business being one of those FIRE writers that says, “behold, I am retired! Watch me wake at 5:30, ride my bike, do deadlifts, and grocery shop at noon while you are at your terrible job!”
What does “being good with your personal finances” mean to you?
I don’t believe in too many rules for my life. I hear from a lot of my readers who think that full financial independence is too big. That’s fine, I get that.
I believe in financial stability. If that’s a three months emergency fund, or 35 times your annual expenses, the beauty is in the eye of the beholder. What does financial stability mean to you?
I was too much of a coward to quit my corporate job without full financial independence, and it was cushioned at that. Someone else might have a bad day and quit with enough money for groceries next week and be highly satisfied with that decision (not CC recommended).
For another example, I sometimes feel like my wife felt better about our finances when we had less money! It seems ridiculous, but sometimes the crushing weight of what could be lost overshadows the bubbling hot tub of financial independence. All the sudden you become Gollum, intent on protecting the precious. It’s weird, man.
See, isn’t life so rich?!
What are some habits you practice to keep your personal finances in order?
Automation is key. The guiding light in my life is simplicity. Nothing gets me fooled up more than complicated strategies. As a climber, I like simple training methods. I believe the same simplicity ethos applies to finances.
First off, we track our spending. We do this old-school in an excel spreadsheet.
We spend almost exclusively on rewards credit cards. Later, in a pre-Covid world, we’d redeem those for fantastic trips. We’re piling rewards points as we speak.
In our working lives we set up automatic 401(k), HSA, and brokerage account investments each paycheck, or monthly. We invested nearly every dollar we didn’t spend, keeping a small cash cushion on the side. It was all automatic, set-it-and-forget-it strategies.
We used to check all of our accounts once a month. We did this manually. I really think it’s dangerous to get in the habit of checking your net worth hourly, daily, or even weekly. Sure, it’s motivating in good times. But when the poo hits the fan, the psychology of seeing your life savings erode like a Georgia red clay driveway can be a very motivating force…to make the wrong decision.
These days we mostly do nothing. We still track our spending, but we don’t check our net worth very often. Finances are easy once you get the ball rolling on automatic systems. Systems are the key, not goals.
What are your three articles people should read to get to know you and your message better on your site?
These three would be great for people to check out:
For someone looking to improve their financial situation, what’s your best advice?
In the short-term I always recommend getting some sort of cash buffer, or emergency fund. I feel that a three-to-six-month cash cushion is healthy for most people.
From there it’s investing any additional savings. My wife and I are lazy, so I prefer investing in passive index funds, heavy on equities with some bonds.
All of that is really not too complicated. I think the complicating factors are breaking down those old habits and mindsets around (a) can I make more money, and (b) can I potentially spend less money, and (c) can I get comfortable with keeping that money in an asset that carries some risk?
Someone who can rein in spending, increase income, and invest that income in something generating at least a 5% annualized return is going to be very happy with their long-term prospects.
The next phase is how to handle life once some sort of financial independence is achieved. I think far too much attention is paid to everything I just wrote above, so that’s why I didn’t answer this question for three days! There’s plenty of content about saving more and investing your savings.
I believe that far more introspection should be occurring on why we are pursuing financial independence. Why do we want a solid net worth? How will we use this incredible gift?. Perhaps the pandemic has taught folks that maybe time at home constantly with their families isn’t what they thought it would be. Maybe they actually like a little time at the office. I think a long, hard look at the elements of contentment for the individual will greatly inform the greater mission.
Truly understanding and questioning the “why” is swinging with the hips. The rest will follow.
What’s an area of your life which has benefited from improving your personal finances? Have there been any areas of your life which have suffered?
Discovering a path to—and then achieving—financial independence might truly be my life’s work. Of course, as I’ve mentioned before, being FI is simply just the start of the next hill to climb.
That said, when the world started to seemingly fall apart around us back in March and April, I felt a sense of ease that I can’t really put into words. And frankly, I felt really guilty. People were sick, dying, and losing their jobs or livelihoods. Even though we watched our life savings fall by about 30% in a month, I felt very satisfied with our choice to embark on this journey. I wasn’t employed, but I never felt like running to get a job. I felt so incredibly content. I really don’t like to use the word happiness because I feel it’s a kind of fairy tale word, sort of like the rom-com of emotions.
I guess feeling financially solid in a major time of uncertainty is exactly why we pursued this journey, and I am content with that.
In terms of where life has suffered, I’d say we’ve been too eager to change too much, too soon. As soon as the first wave of the pandemic passed, we sold our home and hit the road in a small camper.
Adjusting to life on the road has been more difficult than we might have imagined. My wife was still working remotely, which was very challenging. She eventually resigned, which is a long story. Life has become much easier now that she’s no longer working!
My wife also isn’t a climber, so it’s easy for her to feel resentful of my time pursing the sport, and it’s easy for me to feel resentful that I’m not pursuing it enough! It’s challenging to have a solid and productive routine when your front door is always changing. Basically, the mistake we made is not having an end-game plan. It’s now trickier than we anticipated to transition from road back to home ownership, all the while trying to chase that endless fall weather across the country!
Don’t get me wrong: I love life on the road in small doses. My recommendation is to have a clear exit strategy before you go full homeless!
What are your favorite personal blogs and bloggers you have been inspired by?
I admittedly don’t read many blogs these days because I no longer have a dreadfully boring corporate job.
I have to give credit where it’s due to some of the key founders:
- Mr. Money Mustache: My gateway drug
- J.L. Collins: That voice. Also has such a way with words for something as boring as investing.
- Mad Fientist: The nerdy hacks. Plus, he seems like a really nice guy without much of an ego.
- Early Retirement Now: Keeping me from running out of money. I feel like Karsten is one of the true brains behind this FIRE operation. He’s one of the only blogs I still read, because I need to hear his opinion from time to time. He’s kind of the Jiminy Cricket of the numbers.
In your opinion, what’s better? Renting a place or buying a house to live?
I’m all about being a home owner. I want to put sledge hammers through my own walls and curse my own roof. It has nothing to do with numbers and everything to do with qualitative life.
I know it’s all the rage to say that renting is better for your finances (so long as you are investing the surplus). And you’ll hear no argument from me in most cases. However, I’ve heard from several early retirees who resent not retiring as a home owner. Renting was good enough when they cut their expenses to the bone, but now that their resume is looking stale and they’ve grown a little older, bouncing from apartment to apartment no longer has the same appeal.
Right now, we are on the road in a small camper, four months and counting. We pocketed the cash from the sale of our home in Denver. We’re out looking for the next town to resettle, and I can’t wait to get back in my own home!
In your opinion, what’s better? Focusing on increasing your income, or focusing on decreasing your expenses?
Both have their place. Personally, I think the FIRE movement has a problem with over-promoting unsustainable frugality. There are many bloggers, some of whom I respect greatly, that make it their mission to get everyone to spend virtually nothing. I think spending money absolutely has its place, so long as it’s not frivolous.
In that sense, I think it’s probably far more important to, within reason, focus on income. Build a life you like around a spending profile that is both (a) comfortable now, and (b) accounts for changing tastes (see home ownership above). I thought I knew everything about what I wanted when I was 27. Now that I’m closer to 40, I realize that I appreciate some of the “finer” things.
I spend far more time convincing climbers that a job that pays reasonably well is not a sin. Climbers generally have the frugal part nailed, but I struggle to get that group to get comfortable with the image of having a decent salary. In light of the glamorous history of the traveling dirtbag, having a decent salary still feels like selling out. This “live simply” ethos is stronger than society writ large.
What’s a non-money related interest you have and what do you love about it?
Well, I guess it goes without saying that I’m thoroughly obsessed with rock climbing. What I love about climbing is that it combines the perfect blend of sport, adventure, psychological drama, all in stunning outdoor settings. Even just when considering the physical aspects of climbing, the ability to balance a highly technical sport, all the while maintaining an optimum blend of strength, power, and endurance really captures me.
I’ve always been drawn to the outdoors, but simply hiking or even basic camping doesn’t quite do it for me. Having something like climbing with a bit more edge satisfies my need to always be touching the oven to know it’s hot, so to say. I need that edge. I need to get scared, get psyched, or sometimes get downright angry at an eight-foot boulder or 60-foot cliff. Sometimes it feels good to throw a shoe, so long as no one is around. 😉
I guess I just never knew what my life was missing before I discovered this sport. Now I travel to amazing places all over the world, and I have this unifying activity, a sort of universal language. Climbers all over the world understand, and we need not even speak the same language. It’s the music of sports to me.
Wow, you got me fired up there.
How You Can Contact Clipping Chains for More Information
You can learn more about Clipping Chains at https://clippingchains.com/ and follow them on Twitter at @ChainsClipping.
Thank you for reading this interview, and thank you, Clipping Chains, for providing us with some great personal finance tips!
Know Your Blogger Series
My Quiet FI
I tend to write with an edge and biting sarcasm that comes from an addict’s point of view – that’s just how I see the world. Curiosity drives me. Plus, I enjoy gallows’ humor and try not to take my writing too serious and sprinkle in a comedic persona whenever I can. Since drug addiction and alcoholism are a big part of my story, you’ll find a lot of themes centering on second chances, redemption, gratitude and working through struggle. I’m big on growth, learning and world building – whether that be your mind, philosophy, spirituality, career or finances, it doesn’t matter. Let’s share, embolden and enlighten our perspectives together.
Check out our Q&A with My Quiet FI here.
Check out our Q&A with My Quiet FI here.
Follow the experiences and FI Journey of My Quiet FI.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, My Quiet FI.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind My Quiet FI, learn about the author, and learn personal finance tips from My Quiet FI to help you improve your financial situation.
A big thanks for My Quiet FI for this interview! Now, we will turn it over to the author for this interview.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind My Quiet FI, learn about the author, and learn personal finance tips from My Quiet FI to help you improve your financial situation.
A big thanks for My Quiet FI for this interview! Now, we will turn it over to the author for this interview.
Tell us about My Quiet FI
I began writing this blog a little over a year ago back in September 2019, so I’m still a newb in all things blogging. Why I began writing in the first place is tough to pinpoint, but I think it was a combination of having an outlet to discuss FI, connect with people and hold myself accountable – I do this 100% for fun. The blog also began as a FI journey but has more evolved into an online journal chronicling what I’m thinking about and experiencing in life. So in a nutshell, I think the mission has become self-exploration. Plus, I’m usually a very private person, so writing about deep and troubling issues has put me outside of my comfort zone and been extremely rewarding.
The name is a funny thing – I tend to be more of a quiet observer and practice watchfulness, so that’s where the name Quiet Financial Independence came from (Q-FI). It encapsulates the person who is quietly going about their business with stealth wealth and is so resolute in their values that they don’t have to voice their opinions.
I originally wanted the site to be named quietfi.com – thinking I was crafty that there weren’t that many blogs that began with the letter “Q”. Of course, the domain was already taken so the host site spit out “My Quiet FI” as another option. At first, I was like cool, that even kind of rhymes – I can totally use this. Then after a few months of writing I realized that everyone did the same thing and there were a bazillion other blogs starting with the word “my”. Hahaha. So, if you’re an aspiring blogger out there that hasn’t picked a name yet, don’t make the same mistake I did!
What makes you and your blog unique?
I think for me, I tend to write with an edge and biting sarcasm that comes from an addict’s point of view – that’s just how I see the world. Curiosity drives me. Plus, I enjoy gallows’ humor and try not to take my writing too serious and sprinkle in a comedic persona whenever I can. Since drug addiction and alcoholism are a big part of my story, you’ll find a lot of themes centering on second chances, redemption, gratitude and working through struggle. I’m big on growth, learning and world building – whether that be your mind, philosophy, spirituality, career or finances, it doesn’t matter. Let’s share, embolden and enlighten our perspectives together.
I also try to create a relationship with the reader. My goal is to give an authentic experience in which the reader can climb into my head and feel what I’m feeling. My style is usually a one sitting, no outline, free hand form. I write for an hour or two, scan it once and then send out. So what you’re getting is how I’m feeling and thinking in real time. Whether that leads to inconsistencies, change or hypocrisy, who knows and all the more fun. I also crave substance and authenticity over the numbers, which usually leads me to exploring the deeper questions in life.
What does “being good with your personal finances” mean to you?
For me personally, its simple: Live within your means. That’s it. Find out what that means to you and live it.
What are some habits you practice to keep your personal finances in order?
I actually wrote a post that explains what I am doing: “My Financial System – How I Manage the Q-FI Kingdom.”
But for brevity, I track my monthly expenses and budget passively. What I mean by “budget passively” is I take my annual expenses in each category and average them over the entire year by month. Then at the end of each month I compare the actual spent to the average budget to see if there are any outliers. So, the budget is more to give me a baseline rather than to stick with it.
What are your three articles people should read to get to know you and your message better on your site?
This is a tough one, because a lot of my most popular posts aren’t my favorite… haha. Shows what I know, right?
But I’m going to go with this mind-blowing trifecta that just might leave you weak in the knees:
A Change of Plans – this is one of my top five most viewed posts (so I guess people were interested in it) and will give you a sense of who I am and what I am doing in my current life.
Duality Will Be the Death of FI – this is one of my earliest satirical posts that seemed to get people riled up, so why not sprinkle in a little spice and give my fans what they want: entertainment and controversy!
A Starless Black Heaven – this is a taste of my addiction writing and a post I enjoyed chronicling from a memory in detox (heads up it is unrelated to personal finance).
For someone looking to improve their financial situation, what’s your best advice?
This is a good question that I get a lot in real life: “Hey Q-FI, I want to learn how to invest. How do I buy stocks?”
My answer is probably redundant to finance people, but I say this a lot:
- Step One – do you have a 401K match?
- Step Two – do you track your expenses and have debt?
- Step Three – do you have a Roth IRA?
- Step Four – After steps 1-3 are handled, now we can have some fun and buy stocks/ETFs or whatever stuff you want to get into.
What are your favorite personal blogs and bloggers you have been inspired by?
The early blogs I read are all the boring answers like MMM and JL Collins so let’s get into what I’m currently consuming. I’ll preface that I still work 60+ hours a week in the corporate world so I don’t get that much time to follow other bloggers as much as I’d like and I tend to focus on the ones I can relate to their story.
- Fates on Fire: Fate is my homie and someone I look up to in the FI community. He’s an incredible writer that consistently showcases a unique creativity and outlook on life that I love to follow. We also share our roots in LA and both have a fondness for the Pacific Northwest.
- Along The Camel Ride: Katie is more new to me, but I love her story telling ability and the amount of content she pumps out is pretty amazing. We’re close in both age and our FIRE timelines and I share a lot of her views, so it’s been fun watching her journey.
- Other blogs I try to keep up to date on that I enjoy: Full Time Finance, Freddy Smidlap, Your Money Blueprint, and Indeedably.
In your opinion, what’s better? Renting a place or buying a house to live?
Hahaha… I crack up at this question, because people get so crazy with it. I mean, I’ve literally seen people as fired up as if they’re talking politics or religion. Wild. And the easy answer is it depends, simply because rarely do you have such a large decision that intertwines both finances and emotions/psychology to this extent. But the rent vs buy question is also location dependent, literally neighborhood dependent. So I don’t understand how people paint it with a broad brush.
That being said, my personal story is just as inconsistent. I’ve grown up my entire life believing in buying a house. I’ve always favored the security and stability in owning and controlling an asset. However, the irony is that I have never owned a home in my entire life. And the main reason I’m going to reach FI early is that I have rented a small house for 10 years in the HCOL city of LA at a smoking deal. Tons of luck played into this, I have a great landlord, we didn’t need to move for a job or more space for kids during that time period, but it just goes to show you how unique and personal this question can be.
The other hilarious part is that I’m literally in the process of buying my first house as I type this. So, I’ll probably be writing a lot on this subject in the near future. Stay tuned mi amigos and wish me luck.
Do you have any financial mistakes you’d like to share, and how have you grown from these mistakes to improve your personal finances?
I actually have an entire financial mistakes section on my blog that you can peruse at your leisure (and still growing).
But my personal biggest financial mistake, that you won’t find in that section of my blog, was not taking care of my mental health. Addiction ended up costing me a lot in medical bills (Want To Know How Much Rehab Costs?) as well as losing an entire year’s worth of salary, medical and retirement benefits.
However, I will say that the growth and life lessons learned from surviving that experience have been priceless. It has also played a major role in kick starting my FI journey and reconnecting me to what really matters in life. Nothing like a close death trip to jumpstart those senses and get the juices flowing… haha.
What’s a non-money related interest you have and what do you love about it?
This question only asks for one, but we love more in America, right? So, let’s slap on our consumption pants and get busy. I’m usually doing one of four things in my free time:
-
Music – I’ve been a drummer my entire life but also enjoy playing guitar, bass and piano. Any time I can sit with an instrument is time well spent.
-
Playing in the outdoors – anything to do with nature and I’m in. That includes hiking, camping, backpacking and I was very into running Spartan races pre-COVID.
-
Reading – I have a voracious appetite for books, especially epic grimdark fantasy. The series Malazan Book of the Fallen, by Steven Erikson is by far my favorite.
-
Gardening – I am obsessed with succulents and my addictive personality has led to a copious collection of these beautiful plants. Where I live, we don’t have that mysterious, white sticky stuff that falls from the sky, so there are no weather constraints on enjoying this hobby year-round.
Why do you believe learning about money and caring about personal finance is important?
This is a topic that I have strong views on and have already written about: “Have We Failed At Financially Educating a Nation?”
But in a nutshell, America has to be better about financial education and literacy. Period. There’s no excuse and we have failed up until this point. I think some form of basic personal finance needs to be mandatory in high schools and college. How we do that, I don’t have the answers. But until we can give more people the fundamental knowledge on understanding how credit card debt works, investing and compound interest, I only see the inequality and wealth gaps increasing.
Plus, I’ll be a foster parent soon, and going through that process has given me a whole new level of understanding on privilege and just how tragic this financial literacy problem is. The more we can help, the better. The sooner we can help, maybe it’s lives we save?
How You Can Contact My Quiet FI for More Information
You can learn more about My Quiet FI at https://myquietfi.com/ and follow them on Twitter at @MyQuietFI.
Thank you for reading this interview, and thank you, My Quiet FI, for providing us with some great personal finance tips!
Know Your Blogger Series
Fresh Life Advice
I’m here to put a fresh perspective on money and make it as easy as possible for the Average Joe to learn how to handle finances responsibly. Fresh Life Advice not only will open your eyes to how attainable financial freedom is but also make you laugh and keep you entertained along your journey. Everyone has the potential and willpower to increase his or her savings rate – it just may take some motivation and/or automation to get you on the right path. I’m here to help!
Check out our Q&A with Fresh Life Advice here.
Check out our Q&A with Fresh Life Advice here.
Learn tips on how to increase your savings with Fresh Life Advice.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Fresh Life Advice.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Fresh Life Advice, learn about the author, and learn personal finance tips from Fresh Life Advice to help you improve your financial situation.
A big thanks for Fresh Life Advice for this interview! Now, we will turn it over to the author for this interview.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Fresh Life Advice, learn about the author, and learn personal finance tips from Fresh Life Advice to help you improve your financial situation.
A big thanks for Fresh Life Advice for this interview! Now, we will turn it over to the author for this interview.
Tell us about Fresh Life Advice
Fresh Life Advice has a lofty goal to help 10 million people achieve financial freedom. We want to make it the new norm!
As the writer of FLA, I am currently employed at a full time job as an engineer. However, I truly enjoy finance, music, movies, and sports as hobbies. I thoroughly enjoy accumulating wealth and promoting the concept of delayed gratification. I’m an avid learner, always curious to grow and improve to be the best version of myself possible.
Fortunately, I can assure you that you are already in a great position if you too are seeking financial advice. You are being proactive about your situation by even reading this rather than reactive. Kudos to you!
There is no perfect idealized way to make the most money possible, but I’m here to fail, learn, rinse and repeat until I reach F.I.R.E. (Financial Independence Early Retirement).
What Makes You and Your Blog Unique?
Well, simply put, I’m here to put a fresh perspective on money and make it as easy as possible for the Average Joe to learn how to handle finances responsibly. Fresh Life Advice not only will open your eyes to how attainable financial freedom is but also make you laugh and keep you entertained along your journey.
If a 20-something can save more than half of his income annually, then you certainly can too! Everyone has the potential and willpower to increase his or her savings rate – it just may take some motivation and/or automation to get you on the right path. I’m here to help!
What does “being good with your personal finances” mean to you?
While experts and the finance community could argue on this definition for days, FLA defines “being good with your personal finances” as being out of debt, continually making investment contributions, and diversifying your income streams. At the very heart of these concepts, Fresh Life Advice mainly advises you to save more than you spend. It’s a lot simpler than Wall Street makes personal finance out to be!
What are three articles people should read to get to know you and your message better?
5 Foolproof Steps for Early Retirement – I’ve spent years developing habits and routines to optimize my retirement portfolio via trial and error. When your life is already working well, it’s hard to avoid getting set in your ways. I always make sure I have a plan, so I recently outlined some steps to help the average Joe retire early or achieve financial freedom.
September Side Income Report | 2020 – Most people assume they can only make money from a full time job. FLA is here to bust that myth! Here, I show you how FLA makes money on the side. Keep hustlin’!
5 Scary Halloween Spending Facts That May Spook You – With every Fresh Life Advice article, I like to put a fresh take on each issue. This article conveys that sense that we should all be having fun along our financial freedom journey. Halloween is one of my favorite holidays, and this is a fun way to talk about money with the holiday.
For someone looking to improve their financial situation, what’s your best advice?
The most basic advice FLA can give is to increase saving and decrease spending. It really is that simple! Everyone thinks they aren’t making enough money, but the truth is it’s a lot easier to save more money than it is to make more money. Saving even a few percentage points more will rapidly increase your early retirement date! Stay the course and make consistent investments, especially with your 401k if available.
What’s an area of your life which has benefited from improving your personal finances? Have there been any areas of your life which have suffered?
I believing the compounding effect not only applies to investments and interest but also to each of our lives. Once one gets his or her personal finances in order, the other aspects of your life seem to fall into place. It’s quite a magical concept.
The difference between a successful high performer and a slacker often boils down to habits. Humans are creatures of habits, but it’s imperative to make sure you are practicing productive habits.
And what’s the point of money if you’re not using it for things that make you happier? FLA suggests you spend your money on things that buy you back time – valuable time that can spend with friends and family.
Many also make the mistake of sacrificing sleep and time with loved ones for more money. Your health should be prioritized over money if you want to live a long life. Never forget the reasons why you are working so hard! Life is short. Always remember to enjoy the journey!
In your opinion, what should you do first? Pay down debt, or invest?
I’m naturally an optimizer. I believe you can do both simultaneously and effectively. Set a monthly amount with 50% allocated to the debt and the other half allocated to an index fund. Here’s where opportunity cost comes into play. Is your money better off getting you out of the hole or making more money for you to get out of the hole later? It’s a personal question everyone needs to ask themselves. Thankfully, I’m out of debt but I know this isn’t true for everyone. I’m grateful for the opportunities presented before me, but I also know how stressful debt can be.
No matter what, put your money to one of these noble causes instead of blindly spending it on materialistic items that do not provide you with long term happiness.
In your opinion, what’s better? Focusing on increasing your income, or focusing on decreasing your expenses?
As aforementioned, it’s much, much easier to decrease your expenses rather than increase your income. It’s something every single person can easily do. Trim the fat from your budget. And if you don’t have a monthly budget, take 10 minutes to outline one. It will set precedent and help you tremendously in the future.
There are many ways to supplement your income, and that’s one of the most common traits that millionaires use to their advantage.
What’s a non-money related interest you have and what do you love about it?
I love walking. I think it’s one of the most underrated forms of cardio out there! Walking in the woods and along nature trails allows you to realize the beauty on this planet. There’s no doubt that life can be overwhelming and stressful, especially in corporate America. This outdoor activity not only provides you with natural vitamin D and fresh air but also gives you a calorie-burning workout without even breaking a sweat! I would recommend walking to everyone that still has working limbs. It’s something we all take for granted.
Just get out there and get moving!
Why do you believe learning about money and caring about personal finance is important?
Whether you like it, dislike it, agree with it, or disagree with it, money does make the world go round. Whether you think money is evil or not, you’re in a far better position if you obtain enough money to provide with yourself with freedom to enjoy your time on this planet. When you have a large sum of money, you can do whatever you please; you can keep accumulating or you can give it away to noble causes or people that you think need the cash.
Like we touched on earlier, personal finance will not only help your wallet, but also provide security to your family, enhance your opportunities, and even allow you to enjoy the finer things in life.
Jason Bateman’s opening monologue from the pilot episode of the hit Netflix TV Series Ozark really drives home how important it is to learn about money:
“Half of all American adults have more credit card debt than savings. Twenty-five percent have no savings at all. And only 15 percent of the population is on track to fund even 1 year of retirement… Money is, at its essence… The measure of a man’s choices.”
How You Can Contact Fresh Life Advice for More Information
You can learn more about Fresh Life Advice at https://freshlifeadvice.com/, like them on Facebook at https://www.facebook.com/FreshLifeAdvice/, and follow them on Twitter at @FreshLifeAdvise.
Thank you for reading this interview, and thank you, Fresh Life Advice, for providing us with some great personal finance tips!
Know Your Blogger Series
Keeping Up With The Bulls
The name Keeping Up With The Bulls is a play on stock market bulls. No matter how much I learn about investing there are always people that are way ahead of me and more bullish than me. I can’t keep up!
Keeping Up With The Bulls focuses on both personal finance and career advice. While saving money is important, this blog focuses most on ways to increase your income. It’s much easier to save money and build wealth when you have a higher salary.
Check out our Q&A with Keeping Up With The Bulls here.
Keeping Up With The Bulls focuses on both personal finance and career advice. While saving money is important, this blog focuses most on ways to increase your income. It’s much easier to save money and build wealth when you have a higher salary.
Check out our Q&A with Keeping Up With The Bulls here.
Learn how to increase your income with Keeping Up With The Bulls.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Keeping Up With The Bulls.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Keeping Up With The Bulls, learn about the author, and learn personal finance tips from Keeping Up With The Bulls to help you improve your financial situation.
A big thanks for Keeping Up With The Bulls for this interview! Now, we will turn it over to the author for this interview.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Keeping Up With The Bulls, learn about the author, and learn personal finance tips from Keeping Up With The Bulls to help you improve your financial situation.
A big thanks for Keeping Up With The Bulls for this interview! Now, we will turn it over to the author for this interview.
Tell us about Keeping Up With the Bulls
I graduated with a BS in management and a minor in marketing and later got my MBA. For the past 10 years I’ve worked in operations at a technology company. I’ve always been passionate about personal finance, investing and budgeting.
When I started looking into how to invest in private companies I realized how much of the personal finance content was about saving money. I figured, if I couldn’t find content about investing in private companies I’ll have to learn it and write about it myself. Turns out, it’s hard to write about subjects you know little about. I decided instead to first focus on areas I know well such as saving money, leveraging corporate benefits, investing and career advice. I still hope to expand to investing in private companies and investing in real estate down the line.
The name Keeping Up With The Bulls is a play on stock market bulls. No matter how much I learn about investing there are always people that are way ahead of me and more bullish than me. I can’t keep up!
What makes you and your blog unique?
Keeping Up With The Bulls focuses on both personal finance and career advice. While saving money is important, this blog focuses most on ways to increase your income. It’s much easier to save money and build wealth when you have a higher salary.
Sure, there are plenty of ways to earn more money on the side but you’ll make way more money tripling or quadrupling your salary. There are also a lot of corporate benefits that help you save money or earn more money like additional health care benefits and ESPPs that many are unaware of.
I highlight these as easy ways to increase your total comp package. There are few blogs that focus both on personal finance and making more money through a traditional 9-5 job.
What does “being good with your personal finances” mean to you?
Personal finance is personal. What is good for one person may be bad for another person. Each person (or family) needs to understand what works for them and what makes them happy. In general, being good with your personal finances means you’re not spending above your means, and in the long run spending less than you make.
However, sometimes you do have to spend more money than you make to get in a better financial position (ex college, grad school, moving locations). And, sometimes saving too much money is a bad thing when you feel constant guilt saving money or waste hours of time to save a couple of dollars.
Everyone should find the right strategy that works for them, set financial goals for that strategy and work towards those goals.
What are some habits you practice to keep your personal finances in order?
I’ve maintained a budget since I graduated college. I update it once or twice a month and put all spending on my credit card so I can track where I spent all my money (plus, reward points!). I also automate my savings and have a set amount of money going straight to my savings account with every paycheck. My 401k is also currently maxed out, so between that and automating my savings there is a decent portion of my paycheck that I never even see.
When I graduated my MBA program I realized I spent too much energy on saving money and not enough on making more money. I needed to change that! Instead of spending a lot of time on saving money I put more energy behind making more money. I knew your lifetime earnings are decided in the first 10 years of your career so I really focused on getting promoted, increasing my salary, and RSU grants. I also have become more active with my investments.
Lastly, I created a few models for future net worth when I was in my early 20s. Once a year I update it with my net worth for the year and play around with the assumptions. For example, if I can increase the amount saved by X, in 20 years my net worth will be Y higher.
What are your three articles people should read to get to know you and your message better on your site?
– 10 Career Tips for Young Professionals I share tips that helped me at the beginning of my career including getting promoted, finding a sponsor and networking.
– Smart Money Moves in Your 20s It’s never too late to start, but if you start focusing on your personal finances in your 20s, your finances for the rest of your life are much easier.
– 10 Financial Tips for Living on Your Own I have several articles on how to save money in certain situations such as living on your own. I couldn’t believe how expense things were when I moved out on my own and now know way more tips on how to drive that cost down.
For someone looking to improve their financial situation, what’s your best advice?
Short term – First, get your spending under control. Next, look for opportunities to make more money. You can make a little more money passively, or get a side hustle. If you have an opportunity to negotiate a raise definitely go for it. If you have debt, start tackling the debt with the highest interest first and also start an emergency fund.
Medium term – Increase your compensation package at work through promotions, RSUs or move to a new company. Begin additional income streams like investing, dividends and REITs.
Long term – In the long term, focus on doubling, tripling or even quadrupling your annual income. This can include your compensation package, starting your own company and/ or having multiple passive income streams. Continue to spend less than you make and spend money on things that make you happy. Whether you want to retire early or not, becoming financially independent gives you more flexibility and is a good long term goal.
What’s an area of your life which has benefited from improving your personal finances? Have there been any areas of your life which have suffered?
It’s really the day to day that has benefited from improving my personal finances. When I just graduated, I had the same budget structure as I do now but much lower amounts. So, I would have to say no to dinners, I never ordered takeout, I felt guilty ordering a coffee. Now, I can spend money on these small luxuries guilt free.
This improvement in my personal finances has come at the cost of time. I was able to graduate with my MBA debt free; however, working full time and going to grad school part time left little free time to relax and see friends and family.
What are your favorite personal blogs and bloggers you have been inspired by?
Tread Lightly, Retire Early – for amplifying women in the personal finance community.
The Luxe Strategist – for how to score luxury items for less.
Dqydj – for their personal finance tools and calculators.
In your opinion, what’s better? Renting a place or buying a house to live?
It depends if renting a place or buying a place is better. First, look at the data. The data can vary wildly based on location. Nerdwallet has a great rent verse buy calculator you can use to get this data. If you may only live in the house 3 years, and the break even point is 5 years then it’s cheaper to rent. If you’re planning on staying for 8 years, it’s cheaper to buy.
In your opinion, what’s better? Focusing on increasing your income, or focusing on decreasing your expenses?
I am a strong believer in first focusing on increasing your income. This, in part, is because I realized I personally focused too much on saving money my first few years out of college and should have used that energy towards increasing my income. It is much easier to save $50,000 a year when you’re making $150,000 a year. It’s not even possible to save $50,000 a year if you only make $50,000 a year. Saving 20% of your income at $50,000 is $10,000. At an income of $150,000 you’re saving $30,000. You can then use that money saved to build additional passive income streams through investing, real estate and more.
That said, if you always spend all the money you make you need to focus on decreasing your expenses. Increasing your salary by $50,000 a year won’t help if you then spend that entire additional amount.
Do you have any financial mistakes you’d like to share, and how have you grown from these mistakes to improve your personal finances?
Often people think of an expense that’s their biggest financial mistake but my biggest financial mistake was actually not negotiating my first salary. I graduated in 2010 and got a job offer in Fall of 2009. I was so grateful to even get a job I accepted the first offer. If that doesn’t sound like a big deal consider that by not negotiating your first salary you may be leaving over $1,000,000 on the table in lost earnings over your lifetime.
It was a mistake early on, but I fixed that relatively quickly. I fixed my initial mistake within 18 months and have had a major negotiation about every 2 years since. Even still I have room for improvement here. Luckily I have great mentors and career sponsors that push me, remind me to evaluate how much I’m worth in the market and coach me on advocating for myself.
How You Can Contact Keeping Up With The Bulls for More Information
You can learn more about Keeping Up With The Bulls at https://www.keepingupwiththebulls.com/ and follow them on Twitter at @KUWTBulls.
Thank you for reading this interview, and thank you, Keeping Up With The Bulls, for providing us with some great personal finance tips!
Know Your Blogger Series
Financial Wolves
I started Financial Wolves in late-2019/early 2020. I’m super passionate about the concept of making money on your own terms. So, I thought it was fitting to have a “wolf” type theme to play into the fact that I’m from Minnesota. It’s not the thought of being a wolf to pry off of “sheep” by any means. Actually, it’s about being a wolf to create your own path to financial freedom.
Income is powerful and so is hard work. If you put in time to learn and put your best foot forward to creating your story, chances are it’s going to work out.
Check out our Q&A with Financial Wolves here.
Income is powerful and so is hard work. If you put in time to learn and put your best foot forward to creating your story, chances are it’s going to work out.
Check out our Q&A with Financial Wolves here.
Learn how to make more money with Financial Wolves.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Financial Wolves.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Financial Wolves, learn about the author, and learn personal finance tips from Financial Wolves to help you improve your financial situation.
A big thanks for Financial Wolves for this interview! Now, we will turn it over to the author for this interview.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Financial Wolves, learn about the author, and learn personal finance tips from Financial Wolves to help you improve your financial situation.
A big thanks for Financial Wolves for this interview! Now, we will turn it over to the author for this interview.
Tell us about Financial Wolves
I started Financial Wolves in late-2019/early 2020. I’m super passionate about the concept of making money on your own terms. So, I thought it was fitting to have a “wolf” type theme to play into the fact that I’m from Minnesota. It’s not the thought of being a wolf to pry off of “sheep” by any means. Actually, it’s about being a wolf to create your own path to financial freedom. Income is powerful and so is hard work. If you put in time to learn and put your best foot forward to creating your story, chances are it’s going to work out.
What makes you and your blog unique?
I like to think that I keep a pretty open mind. I’m very income oriented. You can always reduce your expenses or reduce your expenses so low that it may impact your lifestyle or your well-being. Don’t get caught up in the penny and dollar type decisions. Focus on income first, then ensure you save that income and you’ll do great.
I first learned this when a path to online entrepreneurship led me to proceeds in 1 year that took me 7 years to save that much in my 401(k). After that, I was like whoa. Maybe the slow method of saving isn’t the most optimal approach.
What does “being good with your personal finances” mean to you?
Habits. Repetitiveness. Discipline. You simply need to develop good financial habits upfront, then practice repetition over those habits and then be disciplined to not get out of control with your spending.
What are some habits you practice to keep your personal finances in order?
First, whatever I can do to minimize my time focused on my personal finances without sacrificing my output/goals the better. This sounds counter-intuitive but I want the value of my time to go to things like making money, finding better investment opportunities, etc.
The moment I spend hours over a budget or coloring a diagram about my debt payoff is the moment I lose sight of the bigger picture. Building wealth. So, I focus on setting up things like automatic recurring transfers, reevaluating my asset allocation and use software for tax planning optimization.
What are your three articles people should read to get to know you and your message better on your site?
Great question! There are a few that I’ve worked extremely hard on. Beware they are extremely long, but warranted.
70+ Ways to Make Extra Money – This is my master list of all ways to earn. Bookmark this because it’s only going to have more and more ideas added to it.
15+ Online Business Ideas to Crush a Day Job – This is one of my favorite posts that includes some amazing interviews from online entrepreneurs. This will get your ideas running wild about how the world of online business can unlock freedom.
How to (Actually) Make Money Online – Noticing a trend here? Probably… But yes, I believe there are real ways you can make money digitally. I’m not talking about surveys and other stuff like that, I’m talking about real market opportunities that are happening right in front of you. That you might just not notice yet.
For someone looking to improve their financial situation, what’s your best advice?
Find a side hustle as soon as possible. You never know where that side hustle might take you. It could be just a short-term way to earn extra money to get out of debt or it might become a whole new career. Or, you might even become a new business owner along the way.
The risk relative to the reward is so worth it. The reward can take you to a whole new level financially and you’ll learn a ton about yourself along the way. The downside? You spend time but don’t earn as much as you’re time is worth (you’ll still learn something new along the way).
In your opinion, what’s better? Renting a place or buying a house to live?
Buying a house to live by far. There are just too many benefits from buying. First, if you live in a house for 2 years that you own, your capital gains are completely tax free at the federal level (up to $250,000 for singles and $500,000 for married filed jointly).
Second, the flexibility that owning can give you is way too underrated. Yes, you’ll have a huge commitment with your mortgage but your equity can be easily monetized if you need it. The property is a real asset that has cash flow value if you every need to rent it.
Finally, the cost of borrowing for a home is insanely low and can be accessed easily. There’s a reason why families that take the long-term approach to real estate build generational wealth…
In your opinion, what should you do first? Pay down debt, or invest?
Depends on your cost of debt. If your cost of debt is less than 4.5%, then you should just invest all the way. Generally, the market returns about 8-9% on a pre-tax basis. If you tax-affect that return, you are looking at a conservative after-tax return of 4.8%-5.4% so you are coming out ahead over the long-term.
What is your favorite investment class and why? (stocks, private business, bonds, real estate, crypto, precious metals, etc.)
Private business, real estate and stocks in that order. First, I love, love private business opportunities because the rate of return can be exponentially better than real estate and stocks. If you own control of a private business, you are in the driver’s seat and that is extremely valuable.
I like real estate for different reasons. Real estate is proven, sound and stable. It provides you a ton of flexibility to compound cash flow and capital appreciation together. This is a great way to build wealth.
Finally, I love stocks for all different reasons from the above. First, you don’t own control so that’s a disadvantage but it’s highly liquid. You can get your cash at anytime these days. Plus, with micro investing platforms for no-cost investing. You have no excuse to not get started these days.
If you received a $5,000,000 windfall tomorrow, what would you do with the money?
First, buy a flat in Amsterdam for about $500,000 to $750,000. That’s a lifestyle choice. I know I want to live there. I’d know I’d be happy having that experience and optionality. It would improve my happiness.
Then, I’d buy a lifestyle business for ~$1 million that is around one of my hobbies. Preferably a lifestyle business that can be operated from anywhere and is already cash flowing.
Finally, I’d put the remaining in a near 50/50 mix of real estate property and stocks/bonds. This would ensure that I would always have assets and some stabilized cash flow in case things went dramatically wrong.
What’s a non-money related interest you have and what do you love about it?
Travel, photography and video. I’m not great at the photography and video part yet but the world fascinates me. People fascinate me. There is so much out there to learn and see that we can’t leave Earth without answers, so I want to find them.
By traveling and documenting it visually through video and photography, you can have everlasting experiences and memories in case the opportunity to travel goes away (uhm, COVID). I’ve seen a lot and I’m fortunate to be able to look back on those experiences when times get tough.
I’ve noticed that I’ve grown significantly as a person the more I’m in uncomfortable or challenging situations. By traveling, you’ll find those discomforts while also seeing the perspective of the world through the lens of someone else.
How You Can Contact Financial Wolves for More Information
You can learn more about Financial Wolves at https://financialwolves.com/, like them on Facebook at https://www.facebook.com/financialwolves, and follow them on Twitter at @financialwolves.
Thank you for reading this interview, and thank you, Financial Wolves, for providing us with some great personal finance tips!
Know Your Blogger Series
Cash for Tacos
My goal for Cash for Tacos is to help people realize that taking control of their money through budgeting or spending plans is empowering and doesn’t have to mean giving up all of life’s joys. Yes, there may be what feels like sacrifices in the beginning as you get used to new spending habits. But once you align your money with your priorities not buying something because you are working towards a goal no longer feels like a sacrifice.
Personal finance can feel overwhelming in the beginning, and I wanted Cash for Tacos to feel approachable and relatable, and I try to accomplish that with the fun name and content.
Check out our Q&A with Cash for Tacos here.
Personal finance can feel overwhelming in the beginning, and I wanted Cash for Tacos to feel approachable and relatable, and I try to accomplish that with the fun name and content.
Check out our Q&A with Cash for Tacos here.
Learn more about, Cash for Tacos, and how they make personal finance more approachable and relatable.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Cash for Tacos.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Cash for Tacos, learn about the author, and learn personal finance tips from Cash for Tacos to help you improve your financial situation.
A big thanks for Cash for Tacos for this interview! Now, we will turn it over to the author for this interview.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Cash for Tacos, learn about the author, and learn personal finance tips from Cash for Tacos to help you improve your financial situation.
A big thanks for Cash for Tacos for this interview! Now, we will turn it over to the author for this interview.
Tell us about Cash for Tacos
Cash for Tacos launched in April of 2019. And honestly, when I started, I did not know what I was getting myself into. I simply wanted to share how life-changing it has been for me to take control of my money and hope to inspire others to do the same. I had no clue what it meant to run a blog, but I’m so glad I’ve taken on this endeavor. I’ve learned a lot along the way and the blog has been a great way for me to work through some of my own money hang-ups.
My goal for Cash for Tacos is to help people realize that taking control of their money through budgeting or spending plans is empowering and doesn’t have to mean giving up all of life’s joys. Yes, there may be what feels like sacrifices in the beginning as you get used to new spending habits. But once you align your money with your priorities not buying something because you are working towards a goal no longer feels like a sacrifice.
Personal finance can feel overwhelming in the beginning, and I wanted Cash for Tacos to feel approachable and relatable, and I try to accomplish that with the fun name and content. I want people to understand what their priorities are in life, whether that be debt freedom, vacations, a new home, etc, and then use their money to support those priorities. “Tacos” represents these priorities and all of the things that we love and want in our lives. It just seems like the perfect analogy because really, who doesn’t want tacos in their life?
What makes you and your blog unique?
Part of my goal with Cash for Tacos is to be real and as transparent as possible in hopes that readers can connect and relate to any part of my story.
Personal finance is all about working to create sustainable habits around money. And like anybody, I mess up once an awhile. I am constantly learning and want to share my struggles along with my successes to help motivate others.
I recognize that every one of us has our own unique lived experiences. There is not a one size fits all approach to personal finance. What works for me may not work for you. But I think by telling my own story, I give others the opportunity to learn from my journey and start to think about how it could apply to their own lives.
What does “being good with your personal finances” mean to you?
For me, being good with your personal finances means that money decisions are based on your life priorities and goals.
So often we don’t think about money in terms of the life it can help us create. Instead, we simply think of our money as a way to pay the bills.
If we take the time to think about what we want our life to look and feel like (our priorities and values) we can align our money with those goals. Whether that means giving back to your community, getting yourself out of debt, saving up for that house downpayment, or taking a vacation, we’re using our money to build a life that we can be happy with.
What are some habits you practice to keep your personal finances in order?
There are three things that I do that help me keep my personal finances in order:
-
Create an annual money plan – Each year I sit down and layout my savings goals and create a spending plan. Spending priorities are always changing, so I feel better about making adjustments on a yearly basis.
-
Track spending – I have a serious love affair with YNAB. I’m a data geek so I love being able to review my spending habits in YNAB.
-
Regular money meetings – A few times a year (usually quarterly) my partner and I review our money plan. This helps determine how we are doing towards meeting our goals and allows us to make changes as goals and life changes.
What are your three articles people should read to get to know you and your message better on your site?
Being Good With Money is More Than Simply Spending Less – When I first sat down to write this article, it was going to be a year-end summary about where I cut expenses. After looking at the data, I had an entirely new perspective.
It’s OK to Feel Guilty About Spending Money – Enjoying spending money is hard sometimes. In this article, I try to take the guilt I often feel after spending money and use it as an opportunity to learn something about myself.
My New Money Focus: Spending as Well as I Can – When I first got into personal finance, I had a narrow focus: how can I use my money to live a life I love? But as the years have gone by, I’ve come to realize there is more to personal finance. My finances affect a world much larger than myself.
For someone looking to improve their financial situation, what’s your best advice?
No matter where you are on your financial journey, take the time to envision what you want your life to look and feel like. This vision is what will keep you motivated to say no to unnecessary spending and work towards your financial goals whether that be living in Thailand for a year or becoming debt-free.
In addition to having a vision for your life, get to know your core values. What things are important to you in your life? Do you want to give back, take up cycling, or be debt-free just to name a few?
When you know what you are working towards and what is important to you, it will be easier to establish and stick to your financial goals.
What’s an area of your life which has benefited from improving your personal finances? Have there been any areas of your life which have suffered?
One of my favorite things that happened because of my focus on improving my finances, is the fact that I consume less. And by consuming less, I have a tidier house and more importantly have reduced my impact on this fragile planet.
Before buying anything new, I’m always trying to think of a way to either use something we already have or find it used.
The one downfall to this is that my wardrobe isn’t evolving much these days. Each time I wear out a pair of shoes or jeans I go right back to Poshmark and find the same ones. I know they fit and I like them so why risk buying something that doesn’t work.
What are your favorite personal blogs and bloggers you have been inspired by?
One Frugal Girl – I love Jewel’s honesty in this blog and can relate to many of her struggles along her journey.
The Fioneers – I love their focus on creating a life you love right now, and not waiting until you hit a certain financial milestone.
EducatorFI – I have loved following Ed’s financial journey, but also enjoy reading about how he is working to grow his blog to be a tremendous resource for educators looking to improve their finances.
In your opinion, what’s better? Focusing on increasing your income, or focusing on decreasing your expenses?
As with most personal finance advice, my answer here is “it depends”.
I have been fortunate to have had the privilege of focusing on only reducing my expenses. A while back I purposefully switched to a lower-paying job with less responsibility so that I could work fewer hours and start enjoying my time outside of work more.
But for others who find themselves struggling to pay the bare-essential bills each month, I believe that a focus on increasing income would have a greater impact on their ability to improve their finances.
What’s a non-money related interest you have and what do you love about it?
When I’m not thinking about what to share on the blog, I’m doing everything I can to spend as much time outdoors as possible.
I love to explore the natural wonders around me. We even recently purchased a tiny campervan, who we named Albie, to make it easier for us to get up and leave the city at a moment’s notice.
Getting out in nature is my way of recharging. There is something about waking up on a brisk morning and sipping coffee by the campfire that calms my mind and helps me feel at peace.
Why do you believe learning about money and caring about personal finance is important?
I truly believe that working towards a healthy financial situation is important to our overall well-being. Without a healthy relationship with money; our physical, mental, and emotional health can all suffer.
Money and financial security is a huge cause of stress in our lives. Therefore, learning about personal finance and how to set yourself up for financial success is key to a healthy life.
How You Can Contact Cash for Tacos for More Information
You can learn more about Cash for Tacos at https://www.cashfortacos.com/, like them on Facebook at https://www.facebook.com/cashfortacos, and follow them on Twitter at @cash4tacos.
Thank you for reading this interview, and thank you, Cash for Tacos, for providing us with some great personal finance tips!
Know Your Blogger Series
Along the Camel Ride
After discovering the FIRE movement, I read numerous blogs and loved them, but I couldn’t find any written by single woman. It seemed like everyone was married and/or worked in tech and that didn’t represent me.
Even though I found my favorite blogs incredibly informative and so valuable, I knew others could identify with me and I wanted to write for them.
Check out our Q&A with Along the Camel Ride here.
Even though I found my favorite blogs incredibly informative and so valuable, I knew others could identify with me and I wanted to write for them.
Check out our Q&A with Along the Camel Ride here.
Follow a single woman’s journey to financial independence and early retirement.
Each week at Personal Finance Blogs, we publish interviews from amazing bloggers from the personal finance space. This week, we are featuring the blog, Along the Camel Ride.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Along the Camel Ride, learn about the author, and learn personal finance tips from Along the Camel Ride to help you improve your financial situation.
A big thanks for Along the Camel Ride for this interview! Now, we will turn it over to the author for this interview.
During these weekly features, we are hoping to provide a way for you to interact and learn more about different blogs in the personal finance space.
Below, you can read more about the story behind Along the Camel Ride, learn about the author, and learn personal finance tips from Along the Camel Ride to help you improve your financial situation.
A big thanks for Along the Camel Ride for this interview! Now, we will turn it over to the author for this interview.
Tell us about Along the Camel Ride
I started writing my blog months before I finally published it on September 1, 2018. After discovering the FIRE movement, I read numerous blogs and loved them, but I couldn’t find any written by single woman. It seemed like everyone was married and/or worked in tech and that didn’t represent me.
Even though I found my favorite blogs incredibly informative and so valuable, I knew others could identify with me and I wanted to write for them. The post here embodies my thoughts, feelings, and experiences around the time I started this blog. The responses I received assured me I was not alone in this struggle and that plenty more shared my thoughts and feelings.
What makes you and your blog unique?
To my knowledge, no one else has a precious little “Camel Dog!”
What does “being good with your personal finances” mean to you?
Being good with personal finance entails knowing how to live well within your means. By well, I mean not living a life of deprivation. You shouldn’t feel as though you’re missing out on life to reach financial independence sooner. However, if you have substantial debt to pay off, particularly credit card debt, then you should probably reevaluate your definition of living well.
Being good with personal finances should also entail a basic understanding of investing as well as having a reason to invest. In other words, what are you saving for? One of my favorite bloggers, Freddy Smidlap, always says that you’re saving now so you can spend later. If you can spend less than you earn and save the rest, then you are well on your way to some level of financial success.
What are some habits you practice to keep your personal finances in order?
I’m a spreadsheet junkie! I track my income, investments, and spending in separate spreadsheets and add details in the comments. It’s incredibly rewarding to update my investment spreadsheet every time I make a contribution because I know I’m buying my financial freedom. Even though some of my investments, like my 403(b) contributions are automatic, I track them anyway.
racking them makes me feel like an active participant in the process rather than a passive one. I regularly track my non-retirement investments too, and that makes me feel like I’m accelerating my path to financial independence.
After lifestyle inflation took over about 7 years ago, I realized I needed to start tracking my expenses. I can now tell you how I spend every dollar because I document it all on an Excel spreadsheet. Knowing how I spend my money helps me prioritize my spending and cut any bad habits I see creeping in. If only I could kick that expensive sweets addiction…
What are your three articles people should read to get to know you and your message better on your site?
Here are a few of my favorites:
For someone looking to improve their financial situation in the short-term, medium-term, or long-term, what’s your best advice? (open-ended, take this wherever you want)
It’s easy to advise spending less than you earn, but how can you fight temptation? One way to illustrate this idea through a question I’ve found helpful to ask myself before making a purchase: “Who do I want to make rich? The person selling me this item, the person making this item, or me?”
Chances are I’d rather make myself rich than buying the fancy Kate Spade handbag I’m drooling over in the store because I know the glossy sheen will eventually fade and I’ll be out over 200 bucks. I wrote a blog post on this topic because it’s such an important question. If you’re more concerned about making yourself rich, then you’re less likely to give in to temptation and buy more things you don’t need and eventually won’t want.
What are your favorite personal blogs and bloggers you have been inspired by?
Accidentally finding the Frugalwoods’ blog jumpstarted this whole journey to early retirement. My plan had always been to retire early, but I had no concrete plans or a definite plan to follow. My previous frugal nature had given way to lifestyle inflation, so reading her blog helped me rein in my spending and invest more money than I ever had before. I thought I was doing well before reading her blog, but I learned how much room I had for improvement.
Shortly after discovering her blog, I somehow discovered Mr. Money Mustache and loved his outlook on life, health, and money. So many are turned off by his face punches, but I grew up with older brothers and can handle those face punches. I can dish them out too. That’s probably why I appreciated his tone and found his blog both amusing and incredibly informative. Like MMM, I find most restaurant meals disappointing and eat lots of salads.
In your opinion, what’s better? Renting a place or buying a house to live?
There is no right or wrong answer to renting or buying. Both have benefits. If you love where you live and plan to stay there indefinitely, then you should probably buy. If you don’t love where you live or don’t plan to stay where you’re living much longer, then don’t buy. Before you buy, though, carefully consider your options.
I’ve always wanted to buy a home because it meant stability and investment to me. Before buying my home, I did a tremendous amount of homework. I learned the market inside out. I knew the listing and sale price of every home in my target area, not just the ones in my price range. I went to every open house I could and looked at the architectural details, the level and quality of updates and renovations, any amenities, and compared them to similar homes on the market. I knew when something was overpriced or not. When I found my current place, I knew it was priced appropriately and would be gone immediately, so I acted accordingly.
Realtors tried steering me in other directions, telling me that I should target other neighborhoods to get more space or to pay less. I pushed back. I knew what worked for me and what didn’t, so I patiently waited for the right property and it finally came along. Location always trumped size for me because I needed 1) to be safe, and 2) to be able to rent it if I wanted or needed to leave. I actually wound up getting more space than expected in my ideal location, so being patient paid off.
In your opinion, what should you do first? Pay down debt, or invest?
My instinct is to invest first, but the type of debt matters. It’s more important to invest than pay down a mortgage with a low interest rate, but it’s a better idea to pay off unsecured, high interest debt before investing. Ideally, you should invest and pay off debt simultaneously, especially if your employer offers a match.
I pay extra each month on my mortgage, but I also invest a substantial amount of money each month. With the market overvalued, I’m not against someone paying down a low interest mortgage right now. I wouldn’t suggest skipping retirement investments, but if you have cash after your retirement accounts are fully funded, then it’s okay to put more towards your mortgage.
If you have thousands of dollars of credit card debt, I’d strongly suggest paying that off instead of investing. The interest alone costs more than you will likely earn from an investment, at least in the short term, and that debt can be a nightmare if you lose your job. If you have no savings, simultaneously build a safety net and pay down the debt before investing. You’ll sleep better and build better saving habits too.
If you received a $5,000,000 windfall tomorrow, what would you do with the money?
Assuming nearly half of that money is going to taxes, I’d have $2.5 million to work with. I’d pay off my current house, give money to my family and a few close friends, then make generous donations to my favorite non-profits. I’d probably have around $1.8 million left at that point, so I’d either reduce my work hours or quit. To be honest, I’d probably ask to reduce my hours first so that I can think about my next steps and transition more smoothly into semi-retirement or retirement. I haven’t planned to walk away from work just yet, so I think it might be hard to step away unexpectedly. Plus, I don’t feel like researching health insurance just yet. Working two ten-hour shifts per week would be perfect for me!
Since the world is still pretty much shut down from coronavirus, I don’t have many options for doing things anyway. I’d probably buy a stand up paddle board and kayak and go out more often to do those things. I’d probably go hiking and biking more too. With my extra time off, I’d have more time to cook, so I could experiment with more recipes. Once the world reopens, though, I’ll be able to travel and volunteer again. At that point, I might quit working.
Other than that, I’ll hopefully spend more time with family and friends and maybe even enroll in an MFA program for creative writing. With my leftover time, I’d love to learn Spanish and become a better gardener.
What’s a non-money related interest you have and what do you love about it?
Traveling! I’ve written extensively about how much I love traveling. It takes money to travel, but less than people think. However, you can’t buy the experiences it provides, nor can you buy the wisdom and self-knowledge you gain through traveling. You can read as much as you want about poverty in the third world, but you have no idea what it looks like until a desperate mother begs you to buy the cookies she’s baked to send her child to school.
I love discovering languages, mannerisms, cultural idiosyncrasies, and foods. I love learning the geography of a place, getting lost, then finding my way. I love finding all the small details, using the local currency, and connecting with the locals. The world is an amazing place!
There’s no better way to understand the world and your place in it than going out to see it. And there’s no better way to gain a greater self-reliance than landing in a foreign country and figuring out how to get around alone, especially when you don’t understand the language.
How You Can Contact Along the Camel Ride for More Information
You can learn more about Along the Camel Ride at https://alongthecamelride.com/, and follow them on Twitter at @alongcamel.
Thank you for reading this interview, and thank you, Along the Camel Ride, for providing us with some great personal finance tips!