The personal finance habits you develop when you’re young will determine the standard of living you enjoy (or regret) when you’re older. Take it from me, adding just a couple of these to your financial routine can make a big difference at the end of the year when you look at your bank statements.
How many of these 50 ways to be smarter with your money do you commit to (most admit to less than half):
- Maintain only two forms of debt: Mortgage and (minimal) car payment.
- Donate your time, not your money. Getting involved is far more valuable to yourself and the organization.
- Don’t panic when good investments go down. Investing should not be based on emotion, stick with your strategies.
- Avoid any fees – they take from principal and reduce compounding.
- Get your spouse involved in family finances – it’s better for your marriage and for future financial decisions.
- Renting is cheaper than owning – we have a good 10 years of this staying true.
- Have a 3 month cash reserve for unexpected emergencies.
- Save up for your big purchases, don’t put them on credit – helps determine what you need/want and what was just an impulse buy.
- Lend family members your time and expertise, not your money – sorry.
- Max out company matching/contribution to 401(k).