Let’s Talk About Money

You need it, you love it, you want more of it!

 

We’re not exactly going to tell you how to optimize your earning potential and make enough money to bridge the gap that falls somewhere between the bank accounts of Paris Hilton and Donald Trump, that’s another entry and article entirely.

 

Let’s start with a simpler premise:  How to get started on the road to your financial recovery.

 

Maybe you’re okay with money, even have some saved for retirement.  Maybe you’re nowhere close to saving money and don’t know how to get started.  Regardless, most guys and gals our age, the early 20s crowd for those absent on Friday, never learned about finance in school and didn’t have a parent, sibling or friend who told them about money. At some point you’ll want to look back and figure out where you got your money values and who to blame but that’s another day. 

 

Now since most of us have never been taught about money we will need someone to tell us how this works.  And no, passing high school Econ does not qualify as a financial education, Macro and Micro economics have surprisingly little to do with how to reconcile a bank statement and save for retirement.  Lack of a solid financial education is dangerous and a major reason why we don’t talk frankly about money with friends.  Who wants to bring up a topic they know nothing about? We thrive on being the expert, on having the facts right and actions to back them up.  To our knowledge no great Happy Hour conversation has ever started with, “so…. Mutual Funds, what are those about, huh?”

 

So we, your kind guides, give you permission to reference us in all conversations regarding money henceforth.  And since “some people who might be arsonists from the internet say” is kinda long, let’s go with “a friend of mine…” because that’s what we are, friends.  Whether we call on Tuesdays after beer pong, kick you exiting the subway or work across from your gum-popping selves, we’re all friends here. 

 

And at the risk of sounding extremely self-important, we know what we’re talking about. Before reaching our respective quarterlife crises (25th birthdays) we have independently invested in retirement, worked hard at a variety of jobs, built up savings, paid off loans, balanced checkbooks and educated ourselves on money.  We look forward to a retirement that is not dependent on cat food and dryer lint stuffed pillows.

 

So, the question for the class is, drum roll please, what do you want to know about money? 

 

Maybe you don’t know enough to ask yet, and that’s okay.  Here are some questions to get you started:

·     What is a credit report?

·     Why is a credit score important?

·     How do I make a budget?

·     What is a budget?

·     Uh, retirement? Help!

·     What does APR mean?

·     Is it bad to have a credit card balance?

·     How do you consolidate school loans?

·     Should I lease or buy a car?  Power up a Vespa?  Rent a horse?

 

The purpose of this exercise is simple but hard.  Simply identify what you’d like to know more about.  Maybe it’s something you’ve always been curious about but never asked for answers.  Maybe it’s a topic you looked up on Wikipedia but the numbers made your eyes cross.  Whatever the motivation identify and write down at least one topic you want to learn about.  Now.

 

Put a sticky note on your computer monitor, email yourself, put it in your crackberry, tattoo it on your arm or paint it on your wall.  Whatever you do, do it. 

 

FYI, we recommend bookmarking this page and leaving a comment.  You might just get this new friend to address your question!