Hello Money, You Again…

The journey to financial security is not an easy one, but, it all starts with managing your money wisely.

The irony in writing about money is that nobody talks about money unless they are given money to provide services about money. See, now that you've seen the word 'money' multiplied, you're thinking about it again (unless you already persistently do think / worry / wonder about it, as I do). 

An Unhealthy Relationship

I have a complicated relationship with money. It didn't arise until I needed money, of course. And I was fortunate enough not to need it until college, when I attended a private university out of state. Simultaneously, for the first time, I met people my age who had plenty of money. Many a coterie of students went to upscale bars, restaurants, and luxury boutiques on the weekends. Then and now, I deem the difference between having money and not having it akin to the difference between forcing down cup ramen 5 dinners in a row, and the choice to eat cup ramen only because you were too tired to have steak delivered instead. 

In college, I took on part time jobs to cover school and personal costs. There were other costs too - my time, relationships, even grades on occasion - but I do not regret the invaluable skills I have since brought into the professional job market with me. The battle scars from wrestling with money then have blossomed into 3 lessons I know today:

1. Now vs. Not Now

After school, I worked in the luxury fashion industry. As a result, most unfortunately, I developed immunity to sticker shock from 4 figure price tags on handbags before I had developed a sense of practicality. Many handbags later did I learn the incontrovertible truth that I only need to carry 1 bag at a time. More importantly, nobody even cares what bag you’re wearing! I learned to stop living like I was in a magazine ad, and instead lived practically for the sake of my wallet.

Fun Fact: The average American spends $18,000 a year on non-essential items. Items like handbags.

Now, when I have an urge to purchase something, I note it down on the day I want it. Then, on an occasional basis, I will look back on that list and get a good laugh. There have been countless occasions when I revisit it, and all I see is a list of junk. Culottes? Really? 

2. Earn More or Spend Less

Sometimes, the 'must-have' is not just a marketing catchphrase that really works, but a real burning thing in your mind and soul.

When I need a must-have, I make a plan to purchase it, which is where the 'how' really sinks in. In theory, the 'how' is very simple. Either earn more, or spend less. Now, if you're like me and find it excruciatingly painful to divorce oneself from the inconsequentially-seeming personal luxuries of life (Diptyque bath foam, magazine subscriptions, air conditioning, protein shakes...) then the only choice looks to be 'make more'. Over time, this resulted in my weekend music studio. I teach many children both piano and violin, all weekend, every weekend, coming full circle with my own serious classical training up through university. As my style evolves, I also regularly sell/consign pieces that lose purpose in my wardrobe. And finally, I have my own fashion company that provides a commerce platform for international artisans and burgeoning designers to showcase their talents to the world.

Earning more means getting busy, but for the ease in financial decisions and financial autonomy, I would not have it any other way. 

3. Just Talk About It

I read that almost 75% of Americans stressed about money in 2015. Imagine that amplified significantly by our current economy. I encourage you to talk about those stresses with people you trust, who can listen and help you generate creative ideas to relieve your stresses. It may be uncomfortable at times because money topics are emotional. But I believe that being frank in your current financial situation can also bring you a world of comfort, sympathy, empathy, and peace. 

Today, I have come a long way in the savings game (in itself a topic for another day). On the spectrum of easy to hard options, I have found the Acorns app to be among the simplest ways to squirrel away your spare change from purchases you already make into a customizable investment portfolio.

Don’t be afraid to start small, and please, don't put pressure on yourself to save thousands right away. It is all about consistency.

Every dollar and every cent quickly adds up. On the harder end of options is a 401k. Not all employees have them and they're not intuitive to understand, but if you are lucky enough to have one, at least maximize your percentage contribution to it from your paycheck. Your paychecks may look smaller, but your future self will applaud you. 

The money journey is not a fairy tale. Nobody comes in to swoop you off your feet, or hand you their lottery winnings. Sometimes, just talking about money is downright degrading. Instead, think of money as a tale of sacrifice, self control, wisdom, and perseverance.

The bad news is that these take a lot of work and soul searching. The good news is every one of these don't cost a thing.