Does the thought of managing your finances make you sweat from anxiety? Rest assured, you’re not the only one! Whether you’re looking for your first job or looking to advance in your business, it’s important to understand that the financial decisions you make now, will have repercussions (believe it or not) into your retirement. But, have no fear…! This week on #MillennialTalk sponsored by@SoFi, we spoke with Finance Experts Tonya Rapley (@MyFabFinance), Brian Moran(@brianmoran), Brittney Castro(@Brittneycastro), and Ashley Stahl (@AshleyStahl), about “How To Take Control Of Your Finances and Reach Your Goals Faster!”
This Twitter Chat was loaded with priceless information and tangible tips on how to better your money habits and mindset. It’s worth the scroll, take a look some of the night’s TOP TWEETS.
@ChelseaKrost:This is truly how I feel inside when it comes to finances at times… #guilty. I love learning about Money Management = Key to success!!!
@MyFabFinance: My financial situation has be in a perpetual state of awe. I used to think I could never “do money right” and now I’m “doing money right.”
@Brittneycastro: Feeling pretty great with amounts of money coming in.
@brianmoran: Some days I’m all . Other days, when invoices are late, I get . But most of the time, when it comes to finances, I am .
@AshleyStahl: I’m inspired by my finances, because they’re an opportunity for me to step into empowerment where i used to want to HIDE! I learned through running businesses that I cannot choose “not to be good at” money – I must learn, and that has been so empowering.
@MyFabFinance: The good: I learned about credit and the things I needed to do to maintain good credit. I also learned how to save and establish financial independence as a woman. No matter what we had my parents never spend everything they had. My parents also taught me to work for my money. I wasn’t given handouts and was expected to multitask through high school and paid for my SATS and college applications even though they could have. The bad: My parents were career military and didn’t have to save for retirement. So when it came to retirement planning and healthcare as an adult I was like….what is happening?
@brianmoran: My parents had 7 kids. There were a LOT of expenses!! We all worked every summer to pay for our own entertainment. Before going to college, and each summer during it, we had to give my father $1,000. He then put it into our checking accounts during the school year. When i grew up, my parents said “No!” a lot more. For entertainment, we played outside with our friends. This was one way of keeping expenses in check.
@Brittneycastro: Learned the importance of budgeting and saving every month. I also learned to find ways to create passive income so I don’t have to aways trade time for money to create wealth.
@AshleyStahl: Society has so many sayings – money doesn’t grow on trees, you have to work hard to earn money, all of it… And that’s what I heard often as a kid. I believed it was hard to make money because that’s what I watched the people around me experiencing – struggle. It wasn’t until later that I realized I could overcome that with the right mindset.
@MyFabFinance: That it’s not as scary as it may seem and that knowing your numbers actually puts you in a position of power to create a different scenario. You can’t change what you don’t know. I would’ve taken advantage of company stock options and savings plans. I’d have thousands more in my portfolio had I started earlier.
@brianmoran: I would think twice about every big purchase. This tip alone would have saved me a year’s salary. I wish I had a life plan for money in my 20s. My daughter is 23 and has a solid 402(k) plan, a stock portfolio, and a budget for monthly expenses and travel. I would tell my younger self to have an emergency fund and always replenish it. Emergency money can be VERY expensive.
@Brittneycastro: I wish I knew sooner how to finance my own business. I used my own money and personal debt but wish I started with a business loan instead. Tricky as hard to get when a start up.
@AshleyStahl: That me saying “I’m not good at that” was an excuse not to look. And that you’re disempowered when you choose not to see something that is already there. I also wish I better understood the power (or chaos) of credit cards! I started my companies with debt and struggled to pay it off until they were successful! We all owe it to ourselves to at least know what we’re getting into.
- Get clear on your monthly overhead
- Get realistic on where you can cut back
- Get in the habit of spending less and stashing more – mindset shift
- Avoid your spending triggers
- Look for savings before you buy
@MyFabFinance: Understand that your current $$$ responsibilities and what they are costing you. I love that @SoFi offers affordable options for managing student loan debt, which plagues a lot of millennials. I improved my spending habits by asking questions before almost all of my purchases:
- Do I need this?
- What would happen if I didn’t buy this?
- Do I already have something that meets a similar need?
- Did I plan to buy this before I left the house?
@brianmoran: If you want to improve your spending habits, create a realistic monthly budget and FOLLOW IT! Learn to say “No” more when it comes to spending. Learn to live beneath your means. Not every dollar you earn needs to be spent. Invest and save.
@Brittneycastro: Track your cash flow every month. Also, set up auto savings so you HAVE to adjust your spending accordingly every month. It’s easy to spend money so also need clear goals and a plan to have systems where you save automatically, otherwise who wouldn’t spend all their money?
@AshleyStahl: Apps like GoodBudget have been super helpful for me to set a budget, pay attention to my income, and set goals! Also, my savings is autopaid when my company cuts me my paycheck every couple of weeks.
- Ask more questions about money management.
- Take time to read or listen to finance podcasts.
- Follow amazing Finance Experts like @Brittneycastro @MyFabFinance @stefanieoconnel @SoFi.
- Eliminate the fear and shift your mindset – take control of YOUR finances.
- Understand what you make after taxes.
- List what you owe and your monthly expenses.
- Create a plan that will help you achieve your financial goals based on where you are.
Honorable mention, start listening to finance podcasts instead of music to find out how others like you did it. I love @PayBalances.
- You can’t control your finances without goals and a real plan.
- Get a software program to help you with finances. You can also chart your saving and investing goals.
- If you have accumulated debt, create a realistic plan to pay it off (maybe 12-18 months) but start paying it down TODAY.
- Biased but first fire a financial planner. Easiest way to get clear on budget and strategy to help you reach your goals more efficiently and not be alone on your financial journey.
- Create and review your budget. See what has been working and what needs updating based on your goals and current situation.
- Read about personal finance every week to understand language and now feel as overwhelmed by money/finance.
- Look at your monthly spending.
- Set a budget for what you want it to be, versus where it is.
- Set an auto-deposit for your savings.
It is SO profound to realize how many people (I used to be one!) don’t actually KNOW what they’re spending. That first step of REALLY examining where your money is going is a big one.
@ChelseaKrost: I love how @SoFi genuinely encourages members to create goals and celebrate the milestones along the way. Don’t forget to celebrate the small wins. Every step gets your closer and closer to the end goal. #FinancialFreedom
@MyFabFinance: By creating a plan for achieving both. Often times your short-term goals will build on your long-term goals. Creating a plan and understanding it will help you identify activities that contribute to both types of goals.
@brianmoran: Short-term and long-term financial goals should not be mutually exclusive; have plans for both goals and review your progress regularly. Start by paying down debt to get the best ROI for your money. It will also help you sleep better at night. Have someone review your short-term and long-term goals; a financial advisor, friend, or family member. They might see something that you will miss.
@Brittneycastro: Hire a financial planner to help. Write out all your goals and then order them based on when you want to achieve, shortest to longest. Then calculate how much you need per each goal. Then set up auto savings per each goal to reach in desired time frame. Rinse and repeat every year if not more!
@AshleyStahl: I have two savings accounts – one for life investments like a home, and another for long-term retirement savings. I’ve found this to be helpful! ALSO, have a WHY behind your goals. No one saves money for something they haven’t thought enough about as far as WHY that thing matters to them. As a career coach, I must say getting really clear on what you love and what your skills are PAYS as a financial strategy. People too often don’t feel clear in their careers and that impacts their bank accounts.
@MyFabFinance: Understand what you can afford to invest and find your options from there.
@brianmoran: Invest your money the same way you pay your bills – every month. A little money today becomes a lot of money in 10 years when you invest it properly. Talk to a financial advisor to help assess your appetite for investment risk. Have a yearly goal for investing money and review your plan monthly (similar to expenses). Are you on track? If not, adjust your plan.
@Brittneycastro: Open up an investment account, set up auto contributions, choose investment allocation based on risk tolerance for the goal.
@AshleyStahl: If you have extra cash, think of investments that inspire you. Friends (including me!) have thought about becoming a certified Angel investor. Others want to invest in real estate… think about what inspires you. Secondly, HONOR YOUR BUDGET. This means setting boundaries and learning to say no in life, realizing that a no to that expense you cannot afford is a YES to yourself and your future.
- Go above and beyond your minimum payment.
- Stop going out to eat and get to cooking.
- Break up with your barista.
- Learn to say “No.”
- Ditch the fancy gym membership
@MyFabFinance: Well i created a debt elimination challenge called #banishthebalance. Check out banishthebalance.com. Stop using credit cards ASAP. You can’t get out of debt the same way you got into it. Get a side hustle find other ways to generate income if necessary to eliminate your debt.
@brianmoran: Want to become debt free ASAP? Easy – Stop Spending discretionary income! Start paying down debt by attacking the highest interest rates first. Consolidate debt with higher interest rates into one payment with a lower rate. You may need collateral or a cosigner to get the best rate.
@Brittneycastro: Check out personal loans that may offer lower interest rate to pay off current debts with. @SoFi has some good options. From there you can make extra debt payments every month.
@AshleyStahl: Create a side hustle. Ask yourself what skills you have, be it language skills, writing skills (I own a ghostwriting house and used to make money on the side writing!) or anything… And start a website to market yourself, and a Yelp profile.
@MyFabFinance: I typically do a gratitude meditation. Depending on what the accomplishment was I might treat myself or I might just get to work on what’s next. But, I always create space to acknowledge what i just did.
@brianmoran: Always celebrate victories… especially becoming debt free! Put money into a savings account so when you celebrate becoming debt free, you don’t have to go back into debt to pay for it. The bigger your goal, the more you should celebrate – a dinner, trip, or maybe a new wardrobe??
@Brittneycastro: Plan a dance party of course. Any reason is a reason to dance and celebrate and the more you can enjoy and celebrate your financial journey the better!
@AshleyStahl: Time with friends – the one thing worth the most and that money can’t ever buy. I went into over 100K of business debt years ago to start my e-course on job hunting, and when I cleared it, a friend hosted a dinner for me. Life is meant to be celebrated, and while I’m grateful for what my debts gave me, I’m a lot more mindful of financial risk and more educated on making choices for myself now.