Spending-Scrimping 101

A Woman's Money Life Stages

If you are 20-25 years old - You probably just entered the workforce or haven' t been working for that long. Take advantage of your youth and start saving 10% of your paycheck per month. Start building a good credit history by applying for your first credit card and regularly paying off. But don't spend all your time scrimping and saving. These are your "me" years, when everything is possible and you don't have too many financial obligations (Oh..but I have alotta financial obligations, sending my younger bro to college is one, could I still possibly save 10%?!? Whew, a sugar sister!- janis). While you are still young and are free, do all the things you've always wanted to do. Travel to a far-off places or rent your own apartment.

Once you are 26-30 - If you religeously followed the 10% saving rule in your early 20's, you should be sitting in a modest cash hoard by now. You might even use part of it for a downpayment on a new car, but make sure, you also put enough investments so your net worth can grow. At your age, you can afford to take a bit more investment risk, so look beyond simple time deposits. As you move closer to age 30, give your long-term career goals more serious thought. Non-stop job-hopping might have been okay while you were "finding yourself" in your early 20's, but continuing that pattern in your 30's can seriously hamper your long-term - earning power. (Sigh...I fear reaching this age bracket, I'm slowly approaching...just 3 years!)

*Cosmopolitan Mag, Phil. Ed
2004, May.

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10 reasons to take control of your spending

1. You never met a credit card you didn't like. - TRUE!
2. You are impulsive by nature and think that using your credit card makes you appear more attractive. - Not Really, I applied for one out of necessity, not for some "status quo" reasons....
3. Your retirement plan is to work until you die.
4. You don't know how much you owe or don't care.
5. You buy things you didn't know existed before you saw them on television but now desperately need. - Guilty
6. You never worry about money because your partner does enough for you both.
7. You have never saved a penny in your life.
8. You don't know if you will have a job tomorrow.
9. You run out of money before you run out of week.
10. You know more about erectile dysfunction than money management.

***I just hope I could save, hey, I still have three years before going to the "established stage" and buy my own condo (dream on...c'mon, it's free....) ....I just hope I could!