$$$ Talk

My biggest regret in life is not saving enough money when I had a chance to do so.

I started working when I was 16 years old. The pay was not much. At that time, the minimum wage was $5.15/ hr and I got just that. I got my paycheck twice a month. I expected to see a big number since I worked more than 40 hrs a week but I was forgetting that I had to pay taxes so basically the more money I earned the more tax they're taking so the less money I got. But when I was at that age, I had no self control of money spending. My salary increased over time. I would suspect my bank account would be healthy but I had to close my checking at the beginning of freshman year in college because the amount of money was "insufficient."

Where did all my money go? to the mall, that's where it went. I went crazy with clothes because I was a teenager who had lost her baby fat. I spent money on shoes, food, manicure, pedicure, spa, hair stylist and car treatment. Anything that made me look and feel good. Such a dumb idea. I think of how much money I could have saved by now if I knew better. SIGH.

Looking back, I wish that I was smarter and wiser about money. I didn't know better. My parents never talked about money. It's just a taboo topic of conversation period. I remember when we went to Chicago for vacation, my dad handed out credit cards to me and my sister... with our names on it!!!!! if you're a parent, DONT DO THAT. Bad idea. A complete no no. What do kids know about credit cards? They know how to swipe it. I mean kids dont know what interest rate is, or credit score or the fact that when you use a credit card, you have to pay the credit card company back. You should teach your kids how to budget before giving them a credit card.

No use of feeling sorry for myself. All I can do right now is start over and learn how to save and spend wisely.

I'm in almost my mid 20s now and am beginning to think about my financial life. Better be late than never. I read an article somewhere that someone of my age should have stored away at least $10,000 and setting money aside for retirement. Uhmmm it's kinda hard to save that much money if we care so much about fashion. ....cute shoes and clothes and up to date make up, doncha think? I know my limitation. I love clothes, there's nothing that can stand between me and clothes. But if I want to be financially stable I have to put my image aside. I mean who do I really need to impress? No one but me. Just because I don't own the latest things, doesn't mean I'm old fashioned.

So after a long soul searching, I made a conclusion that I need to give up my old lifestyle. No more eating out every weekend, no more shopping because I am bored. I want to have a healthy relationship with my bank account. I want to have a little cushion just in case things don't go as planned. I am old enough to take care of this without the help of my parents.

I have learned to budget. Thanks to this website I learned how to manage my money.

My lifestyle has changed:

Budget:

I spend 20% of my salary on bill payments and 10% for myself. The rest go to the bank.

Shopping:

I no longer buy things that I don't need. I now can differentiate the difference between wants vs needs. I think twice before buying clothes..even if it's on sale. I don't go to the body shop for soap. I have a $20.00 budget for soap, shampoo and personal stuff at the beginning of the month. No body knows if my soap comes from the body shop or walmart. As long as I smell clean, I'm ok.

I keep my jeans. That's a big investment in clothes. My weigh goes up and down. If I dont fit in my old size that doesn't mean that I get to throw them away. I keep them just in case I might need them later. Jeans are expensive, you know... and it's hard to find the ones that fit you in the right places.

I buy more of basic stuff. Black and white cotton t-shirt for layering is a must. A cardigan. Button down shirt for a formal day. A good pair of black pants.

I don't buy 2 for $12 jewelry anymore. I invest in jewelries that are versatile and has monetary value. I'd rather buy one $100 Tiffany and Co. necklace than a bunch of inexpensive ones that I'll wear only once.

I don't buy unnecessary make up. I realize that my skin is the most important thing. So I'd rather spend time buying fruits and face cream to maintain my skin. Walgreens by my house has tons of inexpensive good quality make up. I gave up Sephora, my goddess.

I don't need anymore shoes and bags. I have enough.

Entertainment:

I used to go to the movie theatre every weekend. Now, I don't do it because one, I have no time, two, I have nobody to go with (tears). So I save about $8x4=$32 per month.

I don't go out to eat as much. If I do, I have to make sure it's within my budget. I eat at home now, and they feed me at work, so it's all good.

I go to Borders to see what books are out. I memorize the tittle and borrow the book from the library. Free of charge.

My house doesn't have cable. No one minds because all the good shows are on the regular channel, anyway.

So far, so good. I haven't used my credit card in a loong time. Right now, I am focusing on paying it off. I am constantly learning about financial jargons... I have broaden my horizon. I pay more attention to the word CDs, stocks, investments.

When I have kids in the future, I will definitely teach them about the value of money and not spoil them too much on unnecessary things. I am going to show them that the great things in life are free. I won't buy them the trendiest toys but I will use that money to take them to see the world and spoil them on making everlasting memories.