The Intro
39 years. Wow! That’s how long it’s been since I was 18.
So, what’s up with 18?
Well, that’s when I probably should have started planning for the future and directing money to get me into a good place at 57. That’s where I am, right now. I’m 57, and retired since 54.
So, Let’s have a little conversation. We’ll call me Shin and my early self Keith.
Shin: Keith (Back in 1978)! What the hell are you doing? (Sometimes I ask myself the same question)
Keith: “Uh, what do you mean?”
Shin: Well, you’re spending a lot of money on stuff, and girls.
Keith: “So. A guy’s gotta live.”
(I wasn’t too bright back then.)
Shin: Yeah, but what about years ahead?
Shin: What are you going to do when you NEED money?
“Silence”
“Crickets”
“Ackward Pause” . . . . . . . .
Oh!, My young self bailed on me.
Not surprising. I know the guy.
Intro to the Good Stuff
I’ve learned a lot over the years, but most of it came a bit later, as I really started learning about finances in my 30’s. That’s 12 years a bit too late.
Well, not really too late, but earlier would have been much better.
If Keith had known what Shin knows now, Shin would be in a MUCH BETTER place.
Well, our current financial place doesn’t stink, but if Keith had done better, Shin and Selena would be that much more comfortable.
“Way to go, Keith! You could have really set y’all’s self up even better if you’d made a point to learn about money and plan ahead.
The Good Stuff
- You CAN put money away. It doesn’t matter how much or little you make, you can put money away, if . . . . . you decide to do so. Nobody will do it for you. You have to make the decision to “Pay Yourself First”, making your investment in yourself your most IMPORTANT bill to be paid. Set up auto deposits to investment accounts. We’ve done that for years and it makes it so easy to put money away.
- Stay away from Consumer Debt. Have you heard that Einstein says that compounding intrest is the 8th wonder of the world? Google it. It is. Compounding Interest can build your financial castle up, or tear it down. We have had consumer debt for years and we’ve been investing for years. Compounding interest is great when it’s causing growth.
- KNOW the importance of Cash Flow. If it’s going out more than coming in, that sucks. If it’s coming in more than going out, then you’re on the right path. Positive cash flow is king. Not quite what Dave Ramsey says, but I think I have a better mantra. Positive Cash Flow is King. Even if you’re in the hole, positive cash flow will get you out.
- Net Worth is a Snap Shot of your financial position. Mine and Selena’s Net Worth changes daily, as the bulk of our liquid assets are in the market. Net worth can be Negative, Zero, and Positive. Positive is where you want it. Ours is POSITIVE. Positive Net Worth ROCKS!!!!!!!! Wouldn’t be where we are at without positive cash flow.
- Get your finances in order. Plain and simple. Dump debt and and increase your investments. That’s how it works.
S0, what are you going to do to move your finances forward?
About Keith
Keith is a "60 Years Young" former teacher and counselor who's blundered through the world of personal finance, learning the basics later in life than he likes. It's his mission to share as much about personal finance as possible, helping others get a handle on it, much earlier than he did.
It’s Been 39 Years: Here’s What I’m Sharing With My 18 Year Old Self About Finances
The Intro
39 years. Wow! That’s how long it’s been since I was 18.
So, what’s up with 18?
Well, that’s when I probably should have started planning for the future and directing money to get me into a good place at 57. That’s where I am, right now. I’m 57, and retired since 54.
So, Let’s have a little conversation. We’ll call me Shin and my early self Keith.
Shin: Keith (Back in 1978)! What the hell are you doing? (Sometimes I ask myself the same question)
Keith: “Uh, what do you mean?”
Shin: Well, you’re spending a lot of money on stuff, and girls.
Keith: “So. A guy’s gotta live.”
(I wasn’t too bright back then.)
Shin: Yeah, but what about years ahead?
Shin: What are you going to do when you NEED money?
“Silence”
“Crickets”
“Ackward Pause” . . . . . . . .
Oh!, My young self bailed on me.
Not surprising. I know the guy.
Intro to the Good Stuff
I’ve learned a lot over the years, but most of it came a bit later, as I really started learning about finances in my 30’s. That’s 12 years a bit too late.
Well, not really too late, but earlier would have been much better.
If Keith had known what Shin knows now, Shin would be in a MUCH BETTER place.
Well, our current financial place doesn’t stink, but if Keith had done better, Shin and Selena would be that much more comfortable.
“Way to go, Keith! You could have really set y’all’s self up even better if you’d made a point to learn about money and plan ahead.
The Good Stuff
S0, what are you going to do to move your finances forward?
About Keith
Keith is a "60 Years Young" former teacher and counselor who's blundered through the world of personal finance, learning the basics later in life than he likes. It's his mission to share as much about personal finance as possible, helping others get a handle on it, much earlier than he did.