Inspired Savings

Lots of folks confuse bad management with destiny.

Joan and Robin were sisters and had comparable lifestyles. When their parents died, they each inherited $200,000. Ten years later Joan was asking Robin for financial help. What happened?

As soon as they received the money Joan had given $50,000 to her children to pay off their college loans, bought a new car for $30,000, put down $75,000 on a condo as a vacation home (leaving her with another mortgage, upkeep expenses and home owners association fees.) The other $45,000 just disappeared over the years on travel, shopping, house maintenance, etc.

Robin had also used her inheritance to purchase a second house for retirement and vacations.   Most of the time it was rented and that money paid the mortgage and all expenses so, ten years later, she owned it free and clear and was making money on the rentals. She had allocated $10,000 of the inheritance to splurge and gifted $10,000 to each of her children. The rest was saved or invested.

Joan thought Robin was lucky and believed that things never worked out for her. She totally ignored the fact that they both had made choices that led to their financial outcomes. You can control your financial destiny by taking responsibility for your choices—make them work for you in the long run!

Money Saving Tips

Get your food shopping down to once a week or less. Quick trips to the grocery store usually mean buying 54% more than was planned according to a study published by the Marketing Science Institute. That means if you spend an extra $10 each time but only shop four times a month ($40) instead of stopping at the store 3 times a week ($120) you’ll save $80 a month or $960 in a year!

What made you smile today?

What made you proud of your money choices today?

Most legitimate financial advisers will advise you not to make any major financial decisions if you have just received a lump sum of money. In fact, if you’re working with someone who is pressuring you to act immediately, that’s a big red flag to slow down and get another opinion.

While you’re deciding, put your money in a savings account or certificate of deposit where it is safe even if it’s not earning much interest. Better to lose a little interest or profit than to jeopardize your money by acting too quickly. There are always good deals, so don’t worry about passing up today’s special. Don’t try to tackle all your financial decisions at once.

If you have an employer who offers a matching program for retirement savings, that may be a good starting place because it’s like receiving free money. You may need to make some major decisions so get all the information and then give yourself a deadline and a to-do list, but take your time.

Talk to people and ask their advice. If you don’t know where to start, put your money where it is safe. Then talk to a few professionals to determine where to start and how to take those initial steps. Start focusing on one area. Take one step.  Before you know it you will have a plan that works for you!

Money Saving Tips

Need help making financial decisions? If you don’t have a financial adviser, call the United Way in your community and ask if they can recommend financial education programs, contact your local extension office or check out AFPCE (The Association of Financial Counseling and Planning Education) search to locate a certified financial educator in your area.

What made you smile today?

What made you proud of your money choices today?

A woman and a man can have exactly the same resume and a woman won’t feel qualified. If the job description has one thing she can’t do, she won’t apply. Whereas if a man sees one thing he can do, he applies.

Be courageous. If you’re intrigued by a specific job but feel you aren’t qualified, don’t sell yourself short – apply anyway. Just because you haven’t done something, if something sounds intriguing, go for it and don’t minimize yourself.

While it’s true that some jobs are tied to funding that has specific academic or experiential requirements, what do you have to lose by applying? After all, strange things can happen.

Shelley was the director of a preschool, applied for a marketing position at a bank…and got it! How did she beat the competition with no formal qualifications?  It turns out that before there was even a building for the preschool program, she began advertising to perspective families and staff. The idea was to focus on varied learning experiences with no focus on specific academic skills.

By the time the program opened its doors, it was completely staffed and the classes were full even though well-established programs in the area were struggling to fill slots. She had generated excellent news coverage and then received awards for the program once it was open.

Shelley did a great job of selling her creativity, persuasiveness, perseverance and planning in a way that would meet the marketing needs of the bank. Consequently, they took a chance and hired her with no banking experience and no training in marketing. Who knows when any criteria may be waived? If a job looks interesting to you, go for it and always remember to keep in mind what the employer is looking for and express your strengths and experiences in that context.

Money Saving Tips

Looking for a job? Do your research on the issues and changes going on in that business. You may be able to adapt your resume to put more focus on areas that are emerging in that business. Plus, at the interview, frame your comments or ask questions on topics that would be relevant to your potential employer to show that you have taken the time to learn about the organization and the broader business issues.

What made you smile today?

What made you proud of your money choices today?