If only I had known...
 

Im putting together a list of financial dos and don’ts. (Yes I know there are lots of them out there but I’m looking for some TOTV wisdom) from what I consider the obvious like ‘Save first’ to the more controversial ‘put startbucks out of business’. If it helps what would you tell you 20 something self..

So list items like:
1. Save first
2. Put Starbucks out of business.
3. Brown bagging it sets the tone for frugality.

Also if there was a story you’d like to share where you learned a financial life lesson please share it. Like i said if you care to share Ill really appreciate it. Thanks RayinPenn

My financial philosophies have been:

1. Spend less than you earn
2. Save what you don't spend
3. Invest what you save

1. Be frugal and be proud of it
2. Never borrow money
3. Never invest in anything that you do not understand
4. Listen to Clark Howard podcasts

1. Pay yourself first.
2. Take advantage of any offers from your employer for matching funds or discounts on company stock (aka free money.)
3. Pay off credit cards every month.
4. Never lend money to relatives (I know this from experience....)
5. Never co-sign anything for anyone)
6. Get a good financial advisor, certified financial planner, that has your interests first, then listen to their advice, and as stated above, if you do not understand the investment, do not do it.
7. Eat at home, making your own meals.

Buy what you need, not what you want

Don’t keep up with the Joneses or your brother-in-law

IMHO all of the above is excellent advise and has allowed us to live as we do. #4 does not ring true for us though, we loaned both our sons the down payment for a home and both loans were repaid in full and before they came due.

Even when you're married and both working, purchase based on one income including big expenditures like house and cars.

My two cents worth
 

[QUOTE=RayinPenn;1577406]Im putting together a list of financial dos and don’ts. (Yes I know there are lots of them out there but I’m looking for some TOTV wisdom) from what I consider the obvious like ‘Save first’ to the more controversial ‘put startbucks out of business’. If it helps what would you tell you 20 something self..

So list items like:
1. Save first
2. Put Starbucks out of business.
3. Brown bagging it sets the tone for frugality.

Also if there was a story you’d like to share where you learned a financial life lesson please share it. Like i said if you care to share Ill really appreciate it. Thanks RayinPenn[/QUOT

1. Weigh what others tell you carefukky.
2. In the end if you give financial advice and it works out the person you've advised will tell the world how smart they are. If, it fails they will tell the world how dumb you are.
3. Trust but verify.
4. Do not lend money. It always end badly. Been there done that. If, soemone comes to you for a loan, ask yourself why they cannot get a bank loan.
5. The magic of compounding and the magic of time.
At 8% claimed long term stock market return, your money doubles every aprox 9 years rule of 72.
6. Do not forget that losses also compound. I think most of us need to stop to think if asked-you have $100 and make 10% the first year. The next year you loose 10%
You do not have $100 you have 100+10%=110. 110=10%=$99. To get back to the $100 you had you need to add 1%. To get back to the 110 you had you need to make 99 aprox 11.5%.
7. Beware of the PARASITES-inflation and taxes. The FED tells us they have a 2% inflation target. As said above trust but verify. Regan controlled inflation by removing housing and fuel from the calculation. At the time they were the two highest sources of increases for Americans.
Today, our government could, same as Regan reduce inflation by removing Medical costs and school expense..

I so agree. I SO agree.

If it sounds too good to be true,it usually is!

Tinker has an excellent list. The only thing I will add it that there are no shortcuts and no magic. Start early and NEVER let up. I started when I was 8, mowing lawns and shoveling snow. Since then, I have always had a savings account ( they became 401Ks and such... but still saving more than spending).

Also, find a wise, wonderful beautiful sponse who thinks the same of you and who shares your long-tem vision.... after that, life is happiness 24/7/365

Tinker has an excellent list EXCEPT number 6. Almost all financial advisers do not have your best interest in mind. They will put you in investments like front end loaded funds, anninities, things where they make the most profit.

So IMHO number 6 should be: Learn how to manage your own money. Use low expense index funds only. Build a simple diversified portfolio using 4 funds. Total stock market, total bond market, total international stock market and total international bond market.

All other investment will cause the average investor to lose money.
Learn how to do that well with the proper asset allocation for your age before you invest in anything else.

Plus one!

Not sure why I’d want to put Starbucks out of business as long as I stick to just coffee and not their fruity creamy drinks. Re: Starbucks I won’t post the link from the late “Kid From Brooklyn” on Starbucks because it is very vulgar and I don’t think it would be appropriate to post here out of respect. To the OP this “Kid from Brooklyn” really despised Starbucks.

Good points but I would rewrite #4. If you can afford the loan make it a gift or consider it a loan that may not be paid back and if it is not it will not hurt your relationship. You might also want to consider the purpose of the loan - vacation or needed medical.