The best financial advice you ever had

[ARIZONA]

The closer you get to retirement, make sure your house, credit cards, loans etc are paid off! If not you might as well still be working. It doesn't cost a lot to retire if you don't have outstanding debt. You'll always have your basic cost of living expense and that's about it. Your retirement should be enjoyable and worry free so pay everything off, and you'll be able to experience a stress free retirement.

 

[firewhen]

I was reading Consumer Reports and its cover story was a guide to mutual funds. This was about 20 years ago and I was just starting out. At the end of the article, and all the charts and figures, it said something like "or you could just buy an index fund offered by a low-cost company like Vanguard". I had never heard of Vanguard or index funds, but after checking it out some, I opened my first mutual fund with them (which I still have) and never looked back.

 

[Gumby]

My parents didn't have a lot of money, Mom didn't work and there were 5 kids so I go a job as soon as I could. It wasn't financial advice per se but the best motivation for me was working at a McDonald's starting at age 15. Knowing the people that worked there 20+ years motivated me all through college.

I worked at McDonald's when I was 16. Uggh. It was a great incentive for me to get a college education.

 

[Deetso]

Im one of those people who had no advice growing up. We always had lots of the latest stufff- and whenever someone got a raise we had more stuff. Now Im seeing my parents with a retirement account about the size of mine- and ive been in the workforce for 2 years. They do have pensions and a house and SS. To me they are the epitome of "it may be your sole purpose on this earth is to serve as a warning to others."

the "advice" is garnered through just watching them. So while I didnt have names for what I didnt want to do I now realize I learned to LBYM and pay yourself first before I knew what they were called.

Now i hope they can learn something from watching me (trying to tell your parents how to handle money doenst really work... as Im sure some out there can relate to)

 

[Mwsinron]

Hell when I was growing up finances were to be kept hush hush and hidden. Im not old or anything just how my family is. Im just happy I stumbled across articles and boards to help educate myself on what to do. Otherwise I would have fallen into the same old rut of spending and debt.

 

[OKLibrarian]

"Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery."
--Charles Dickens, David Copperfield

 

[Dog]

1) Most of my parents arguments were over money and bills
2) Moved out of the house right after high school - watched my roommate and co-worker cash her paycheck and allocate her $ in envelopes for rent, groceries, utility bills, savings - I learned to do the same
3) 1983 - Boss showed me information about a new plan at our company - 401k. I immediately signed up

 

[Dude]

1) Most of my parents arguments were over money and bills

Same here. This caused me much grief in my teen age years because of the uncertainty, and had a deep impact on me, I vowed to never be in a position where lack of money could cause such misery in my life.

 

[kcowan]

Same here. This caused me much grief in my teen age years because of the uncertainty, and had a deep impact on me, I vowed to never be in a position where lack of money could cause such misery in my life.

My parents never fought over money but I became aware of our humble state when I completed a means test for a scholarship and got it. They never suffered but they used the cottage at the lake as a getaway rather than travelling to more exotic places.

I guess I have a natural state of repairing what we have rather than getting something new. This helps. Plus since downsizing, nothing new comes in without something old leaving. This means thinking about getting rid of something whenever the prospect of something new to be purchased arises. It is amazing how that reduces the impetus towards purchases.

 

[scubamonkey]

Watching how my family managed their finances.

Mom and Daddy - spent everything, no planning, ran family business into the ground. The result is bad - no assets.

Sister - spent everything she made and as much as she could borrow. Result bankruptcy.

Aunt and Uncle - Saved and invested everything they could. Lived WAY below their means. Result Rich and provided inheritance for Mom (now she is living below her means).

Being the youngest of the clan helped me see the light!