money management Archives -

Is There a Right and Wrong Way To Give Your Child an Allowance?

December 13, 2018December 13, 2018 by Anj.

In 2017 KRC Research, a public opinion research consultancy, reported that 67% of U.S. parents give their children an allowance, and 49% give their children money for earning good grades in school.

Despite the survey results, there’s little consistency in the way allowance is issued among families nationwide.

Some families distribute allowance based on completion of chores or household tasks. Others issue a set rate so that young children can gain experience managing money. Some families use allowance to curb bad behavior at school or at home, issuing allowance for the demonstration of positive qualities and traits.

Ron Lieber, personal finance writer for The New York Times, posits that these are the three primary approaches families take:

(1) No chores necessary. Children are simply given money weekly or monthly,
(2) No allowance at all, or
(3) No free money. Allowance is linked to chores or other work.

Is there a right and a wrong way to give your children allowance?

Let’s start with the pros and cons, then move into the “when,”“how,” and “best practices” questions we consider when deciding whether or not to give allowance.

Top 8 Reasons Why You’re Broke and Fat Like Me

December 13, 2018December 10, 2018 by Anj.

I was the fat kid in my house growing up, and later on into elementary and middle school. The picture that other people had of me didn’t match the picture I had of myself.

I think we do the world a disservice when we teach women and girls

that they will always be valued, first and foremost, by their bodies,
that it’s appropriate and socially acceptable to evaluate others’ bodies at all,
that being fat is worthy of chastisement and ridicule,
that weight and size actually reveal insights into a person’s true character.

For these reasons (and a host of others), I hate the word fat.

It’s triggering.

I’m appreciative and in awe of the growing body positivity movement. But for the sake of this post, I’m using the word intentionally to think through the ways that gaining unwanted weight and gaining unwanted debt are the same.

10 Ways Not To Go Broke This Holiday Season

November 20, 2018November 19, 2018 by Anj.

Money, love, food, and family.

Four things we love dearly, but can all add stress during an already hectic holiday season.

I recently had the chance to contribute to a great playlist about managing stress this holiday season.

The playlist is a compilation piece by four bloggers as they share their perspectives on each of these four themes.

You’ll hear from Nora Nur, relationship blogger, in “How to Protect Your Happiness This Holiday Season,” and “Happiness Happens on a Tuesday: A Single Person’s Guide to Holiday Survival.”

From Julia Bushue, life and career coach, you’ll hear a “Holiday Stress Buster.”

Ryan Worlds, emotional eating coach and blogger, will share “How to Maintain Body Confidence and Self Love During the Holidays.”

And from me, you’ll hear “10 Ways Not to Go Broke This Holiday Season.”

Please head over to Love From the Other Side and download A Single Person’s Guide to Surviving the Holidays.

Happy holidays!

What I Wish I Knew Before Going To College (Money Management Included)

November 14, 2018November 13, 2018 by Anj.

I actually started this blog because of my student loan debt. Living with so much debt impacts your life—where you can live, how much you can save, whether or not your ends will get to meet one day.

If and when I generate any income from it, I’ll give all of it to Navient. Every last cent.

If I never make money from it, I’ll be content with the personal finance knowledge I’ve gained since I first started.

I’d really prefer to make money though.

Recently, I asked a few friends to share their perspectives on college. Given what they know now, would they do everything the same?

Here’s what they said.

Let’s call them Mike and Natalie.

What was your major, and did you stay in-state for school?

Mike: I double majored in History and Japanese Studies. I stayed in-state.

Natalie: I double majored in Biochemistry and Spanish. Yes, I stayed in-state, but I didn’t want to.

Why did you choose the school you did?

Mike: I liked that they had a language program on campus since I wanted to learn Japanese and possibly study abroad for a long time.

Natalie: It was the best option for me at the time.

Given what you know now, would you approach college the same?

Mike: Yes, I would approach it the same because I had the privilege of attending a college prep school that assisted me with the process.

They made sure to motivate and encourage us to always have college as the end goal after high school. However, one thing I would change would be to apply to more scholarships. I applied to a few but felt that I could’ve had less loans if I buckled down and applied to more.

Natalie: No, I would not approach college the same. I would have done a more practical major through another university.

Are Timeshares Worth the Investment?

November 8, 2018November 7, 2018 by Anj.

According to The Timeshare Consumer Guide, at least 20 million households around the world own at least one timeshare. Approximately 60% of timeshare owners have a four-year college degree or higher. Their median household income is slightly more than $81,000 annually.

Data from The American Resort Development Association and The Timeshare Authority confirm that approximately 53% of timeshare owners spend more than $10,000 on their timeshare purchase each year.

Last week, I had the esteemed pleasure of celebrating a friend’s birthday—on Halloween, mind you!—in New Orleans, Louisiana.

While on the trip, we were offered discounted tickets to attend two or more local tours if we were willing to sit through a presentation at a nearby hotel. Advertised at more than $125 per person, per tour—we could pay a mere $25 each if we were willing to exchange less than 90 minutes of our time.

A few signatures later, we were escorted to a luxury hotel with superhuman air conditioning where we waited curiously for the conference room to open up for us.

When it did, we found ourselves chaperoned and held captive in a—wait for it—timeshare sales pitch! Noooooooo! Nooooo!!!

(In hindsight, the discounted tours afterwards were the best tours of my life. If you’re visiting New Orleans, check out the Ghost Tour with Todd from Gray Line and the Swamp Tour with a very spirited fellow whose name has escaped me!).

Although I knew little about timeshare ownership prior to the presentation, I wanted to do a little more investigation now, now that I’ve gotten the hard sell.

(Full disclosure: This isn’t something I can afford right now, even if it’s worth it. For the record though, I don’t think it’s worth it.)

If you’re still on the fence about it, please don’t take my word for it. Do your own investigation, of course. Here’s a good post to start that was shared on Out of Your Rut. Make sure you check out the comments at the end of the article!

If you’re short on time, just read the infographic. 🙂

50 Personal Finance Books Recommended For Adults & Elementary Aged Children

November 16, 2018October 29, 2018 by Anj.

I was inspired by a new podcast this weekend, “So Money with Farnoosh Torabi,” and it led me down a rabbit hole of Tim Ferriss’s YouTube videos, blog posts, and podcast episodes. I’m almost embarrassed to admit that, before yesterday, I hadn’t actually heard of him.

This post will be brief because I’m just gathering resources for now, but I’ll take a much, much deeper dive later on once I’ve made time to really read and evaluate them.

If, like me, you’re just getting started on your personal finance journey, these recommendations may or may not be new.

If you know of others that have changed your mind on spending, saving, and investing, I’d love to hear them.

More to come!

11 Money Management Keys That May Matter More Than Your Partner’s Income

October 26, 2018October 26, 2018 by Anj.

Relationship blogger Nora Nur is an educator, entrepreneur, and personal friend. A few months ago, she published a piece titled, “Money, How Much Does It Matter in a Relationship?”

In her post, men and women of different ages and backgrounds shared their perspectives on love, money, and relationships. They talked about the ways money impacted their dating preferences—and, later, their marriages.

Stop for a second and read it, and then come right back. You have to come right back though!

Okay, did you read it?

Great. Let’s chat for a few minutes.

We all have different values and different expectations about how much money we need to survive, thrive, and live our best life.

There’s no doubt that money matters in a relationship, even if you don’t actually care about money. The question is how much does it matter?

Does money matter more in domestic partnerships than in non-domestic unions? Does money matter more for couples who have children than for those who don’t?

It’s an important question, but it doesn’t give the full picture. (Sorry Nora!).

Here are 11 money management keys that (potentially) matter more than how much your partner makes for a living.

What Tips Would You Recommend For Brand New Investors?

October 17, 2018October 11, 2018 by Anj.

I’ve always been interested in investing, but I haven’t always had the bandwidth to learn.

In May 2017 when I was finally able to get my head above water, I wrote down a list of questions that other brand new investors, like me, might ask.

First I made a list of all the terms I needed to research:

asset classes
dollar cost averaging
Class C and Class A stocks
P-ratios
short/shorting
short sell
gross margin
penny stocks
blue chip stock
SEC filings

Then I created a list of questions:

If you own shares of a company that offers dividends, but then you sell your shares of that stock, will you still receive dividends for the period when you owned the stock?

Where can you find a company’s income statements and balance sheets?

What’s the best strategy for selling your shares of a stock, i.e. when is it most advantageous?

Do you need special knowledge to become a day trader? Can you day trade on Robinhood, or is it best to go through a brokerage firm?

Best case scenario, what’s a realistic amount that an inexperienced investor can potentially earn in their first year of investing?

Money Milestones For Children And Young Adults

October 1, 2018 by Anj.

A few months ago I learned some alarming facts about debt and money management.

According to NerdWallet’s 2017 American Household Credit Card Debt Study, the average American household with credit card debt has a balance of approximately $15,432.

Indebted households pay hundreds in interest each year, and many Americans use credit cards to cover medical expenses.

Nearly 1 in 10 of those earning more than six figures annually said they struggled to make ends meet.

We need to have a conversation about money.

8 Free Investing Apps You Should Try If You’re New To Investing & Broke Like Me

September 25, 2018 by Anj.

What apps should you try if you’re new to investing?

A few months ago, I stumbled upon a YouTube video about the ins and outs of investing, for beginners. In the video, the speaker was excited to report that he’d become an investor.

He’d invested just $25 dollars so far!

Wait, what?!

It hadn’t occurred to me until then how little I knew about investing. I didn’t realize you could start with so little.

How did you start?
Where did you need to go?
Did you have to physically “go” anywhere?
Did you need to have a financial planner first?

Everything I know about investing can fit easily onto a 3 X 5 index card. Which is to say, I don’t know very much.

I know that when you invest you should be mindful of all the associated fees. If you invest through a brokerage firm or through an app online, at the absolute least, you should make sure you can answer these questions: