"The Rich start Young" Financial topics for Generation Now: Young America and Debt

I was recently reading an article in the Financial times about the growing problem of debt in our country and reading the article has made me realize that young adults such as myself are not given enough financial education as teens to show us how to avoid debt and handle credit cards responsibly. To make matters worse credit card companies have bombarded college campuses across the nation offering novelties and no interest cards and the statistics are proving them successful. According to one poll credit card debt among 18-24 year olds has grown over 102 % over this past decade alone. Personally at the moment I’m paying off a couple of cards I signed up for during my fist year of college before I had any concept of what the terms APR and variable interest rate meant. Millions of Americans, especially during this time of recession, are realizing how shocking the real world is when it comes to organizing and understanding your finances.

Credit cards aren’t the only economic issues that this generation is now facing. The cost of higher education has risen by over 36% since the last decade and our generation now on average carries a balance of nearly $20,000 in student loans alone. With the volatility of the job market and the cost of living increasing, young adults need to be financially educated before they end up in a downward spiral. Through bloggin I want to inform and educate other young adults such as myself about various financial issues affecting our generation while simultaneously implementing the very same advice on my road to financial freedom. With that being said here are a few tips to help take control of your financial future:

1. Become financially literate- Websites such as www.jumpstartcoalition.org and www.moneypower.org are extremely helpful tools in updating your financial vocabulary.

2. Organization is key- Be as organized as possible. Keeping track of you money is one of the most practical and beneficial tips of advice that I follow. Writing down what and where you spend, and what your expected income and expenses for the month are ,will enable you to budget and with a budget you will be able to put some money to the side for an emergency fund.

3. Avoid impulse buying- For tips read my blog on money saving tips for the impulsive buyer.

4. Paid in full- If you own a credit card, pay it in full every month. Once a credit card company starts to charge you interest you’re bills will become increasingly harder to manage.

And always remember “The Rich start Young”

Where the Cash At? Money saving tips for the impulsive buyer

Throughout my working career I noticed that during a month usually by mid-week, after receiving my paycheck the preceding Friday I would be asking myself this troubling question, “ where the cash at?” Where did all my money go after paying off bills and other necessary expenses? I figured out that it was due to my impulsive buying habits. Whether it was an impromptu trip to the club or buying new sneakers that hit the shelves, I was spending money without thinking twice about it. Now I am proud to say that with focus and dedication I have now transformed myself into a very frugal spender. The trick is to reprogram your mindset when it comes to purchasing items you did not plan to purchase. You can begin reprogramming by asking yourself several questions before you reach for your wallet. Some key questions may be :

Is this really a necessity?
Did I try shopping around for this item or have I tried looking for a cheaper alternative?
Am I going to feel guilty about the purchase after I have the item?
Am I buying this item to help me feel better about myself because I may be feeling depressed or sad?

Asking yourself these questions will help you better evaluate the situation and it may help you reconsider spending the cash to purchase the item especially if the item is a luxury. Another great strategy I found to battle my impulsive habit also turns out to be a great financial skill and that skill is called budgeting. If you can, at the beginning of the month estimate how much money you will make and decide where it needs to go. On a daily basis keep track of your spending and that will help you control your spending patterns. Don’t forget to budget yourself some money to put away to the side for a rainy day (you’ll thank yourself later).

Follow this practical advice and the next time you ask yourself “where the cash at?” the answer will be your wallet.

The Unexpected Blessing

Here's my story (As I'm sure that many can relate) : I was 22 years old at the time I found out I was having a child. My son's mother and I had been dating for sometime but we did not become an official item until after our child was conceived. So needless to say, we did not reach the point of our relationship where we afforded the time to sit and discuss the possibilities of us raising a family together. When I first found out she was pregnant my initial reactions were confusion,doubt and worry but my son's mother couldn't tell, on the surface I remained calm about the entire situation. I told her that I was going to be supportive of her ultimate decision since I was not a 100% sure if we should have kept the baby or not. Well, I kept my promise and I now have the honor of being a proud father to my wonderful baby boy. Being a father for me I think is extra special since my father passed away when I was only a one year old; I sit and think about how excited and overjoyed he must have been as I am and then only to have his life taken. I must admit though that this new path my life is on is exactly as difficult as my mom,brother and other family members warned me it would be. Issues ranging from problems with my son's mother to being financially strapped were some of the problems I faced while learning how to be a father.

This is where I would like to open the forum for opinions and experiences with dealing with an unexpected pregnancy. I would like to hear some helpful hints,advice, and/or personal experiences on how you or somebody you know is dealing with a child that is on its way or here already but was not planned for. Thanks

P.S Feel free to say whatever is on your mind, There are no critics...

Zero to a Mill

Salutations bloggers,

My newly formed blog is intended to share my personal experiences and knowledge while I embark on a new journey in my life I like to call Zero to a Mill.