by Hope
We moved to Georgia, a little over 7 years ago now. What are my worst financial decisions since making this unexpected, unplanned move?
- Sacrificially saving – I have had several great paying jobs over the last 7 years. And each time, even though experience should have taught me, I did not sacrificially save. Like give things up to make substantial headway in building a very robust emergency fund. Having a solid 6 months cash savings account would have been life changing several times over.
- Credit score – Ignorance about credit and scores and how that works has hurt me time and time again. I’ve been unable to get a car loan when I desperately needed a job to provide for me and my family. I have been blessed to have had family to assist me during the worst. But I should have done better. Learn about credit scores and take baby steps to maintain and improve that. Sticking your head in the sand and just thinking it will all work out does not work. Believe me.
- Don’t skimp on the important stuff – I was so proud when I purchased Princess a cash car. So proud. No debt. Cute but older car. I was so proud. But wholly cow that car ended up costing me money. I am ignorant about cars, and maybe if I had someone reliable to advise me or an honest mechanic, this might have worked out differently. But never again. In hindsight, I should have saved longer and bought a better cash car. Just figure out a way to hold out longer, and like #1 says, SAVE for these types of things too.
- Pay it and close it – Commit to yourself. Prioritize yourself. And what that means, take a full evaluation of every single debt you have. List them in order of balance or interest rate, there are arguments for both. And just start paying them off, one at a time. No games, no “squirrels”, just plod through it, making the minimum payments on every one but the one you are focused on. Like Nike says, Just Do It! Now that I’m actually doing that (mostly), man, it’s so worth it.
- Cook it – Focus on cooking. It’s the best way to control your discretionary spending. Cook for your family. Cook for your friends. Make your social life center around your kitchen and in your home. Game nights, puzzles, book clubs, or just sitting with friends enjoying the weather. As much as I love to eat out, I’ve been amazed at how much more I enjoy being in my own space. This is one place that I have GREATLY improved and gotten under control. But it wasn’t always the case.
- Buy a house – Housing has always been a challenge since I became a single mom. And until I had several teenage drivers, it was always my most expensive monthly bill. Buying a house was especially challenging as a contract worker. In hindsight, I wish I had prioritized buying a home YEARS maybe even decades ago. But I am SO grateful I was finally able to buy one in the last several years. The security and comfort of owning your own home is priceless – seriously. And you don’t realize how good an investment it is, until you experience it for yourself.
- You are not alone – The hardest part for me has been doing this alone. And I’m not talking about having a two income household, although that would have been great. I’m talking about not having a sounding board, someone to temper my brilliant plans, or tell me to stop. I mean, BAD has been great. But there is so much shame around debt and stupid financial decisions. Even here it is very tough to be open about it. Find an accountability partner, a judgment free but truth telling advisor. Someone who will hold your feet to the fire, in as much as they can. And lay it all out. I have carried so much shame. Even when I’m doing good, I haven’t done good. Get educated. Be transparent. And then be committed to listening.
I am a terrible example when it comes to finances. The worst part is that I have made the same mistakes over and over and over again. And you know the saying…
“If you always do, what you’ve always done, then you’ll always get what you’ve always gotten.”
That has been so true. I get a great job, fail to save, lose a job, struggle…badly, rinse and repeat. Now, here finally, I am turning it around. Not perfectly but turning it around.
Don’t do what I did. Do it right the first time. Because life is hard enough without making the same mistakes and stupid decisions over and over again.
Hope is a creative, solutions-focused business manager helping clients grow their business and work more efficiently by leveraging expertise in project management, digital marketing, & tech solutions. She’s recently become an empty nester as her 5 foster/adoptive kids have spread their wings. She lives with her 3 dogs in a small town in NE Georgia and prefers the mountains to the beaches any day. She struggles with the travel bug and is doing her best to help each of her kids as their finish schooling and become independent (but it’s hard!) She has run her own consulting company for almost twenty years! Hope began sharing her journey with the BAD community in the Spring of 2015 and feels like she has finally in a place to really focus on making wise financial decisions.