Money Bootcamp

Posted by youngfinance101 on

Money Bootcamp

One, two, three, four I won’t swipe my cards no more. Five, six, seven, eight I am going to get my money straight. Welcome to Money Bootcamp! With the new year right around the corner, hopefully you have goals in mind. If you haven’t set financial goals yet, fear not! We’re about to whip your finances into shape.

Step 1: Know Thyself (Financially)

Before you embark on this journey, you need to know where you stand. Here are some ground rules. Check to see what credit score is. Are there any errors on any of your 3 credit reports? How much debt do you owe? If any of your accounts have inaccuracies and you can prove the error. By contacting the three credit bureaus you can dispute the claim(s) on your reports.

  • Experian: P.O. Box 4500, Allen, TX 75013 – (888) 397-3742
  • Equifax: P.O. Box 740256, Atlanta, GA 30348 – (866) 349-5191
  • TransUnion: P.O. Box 2000, Chester, PA 19016 – (800) 916-8800

Step 2: Budget Like You Mean It

Now that you’ve faced your credit demons, it’s budget time. Imagine your budget as a financial GPS, telling you where to turn and when to save. Add up all your income, including freelance gigs and/or contracted jobs, rental property etc. Next, subtract your bills. If there’s money left, fabulous! If not, you might be living above your means.

Pro tip: If you’re spending more on lunch than you did on your first car, it’s time for a change. And remember, the Latte Effect is real. Brewing your own coffee will not only save you cash but also give you extra time to perfect your interpretive dance skills in the morning.

Step 3: Attack Debt Like a Hungry Squirrel on Acorns

If your student loans are giving you more stress than a cat at a cucumber convention, it’s time to take action. Forget about that dream vacation for now – it’s staycation season. Call your loan provider and negotiate a plan that won’t leave you eating ramen noodles until retirement. Some of the plans your student loan provider has include: pay as you earn and income-based repayment. To find out which plan works for you visit studentaid.ed.gov for more information.

Step 4: Cut Costs Like Edward Scissorhands

Look at your monthly expenses like a detective looking for clues. Do you really need that premium cable package? Could your hair survive without a weekly salon visit? Try and trim the fat from your expenses, but take it slow at first. It can be overwhelming to break a habit and try something new. Just get started!In time you will be your finances improve.

Step 5: Automate Like a Robot Butler

Set up automatic bill payments so you can spend more time on things that matter. Also, don’t forget to pay yourself first by automating your savings. Life’s emergencies won’t wait for your manual payments, but your robot butler bank will have your back.

Step 6: App It Up

Get yourself a financial sidekick. Mint is like Batman, but for your bank account. It sends you alerts, reminders, and might even whisper encouraging words when you’re feeling financially weak. Also, consider credit monitoring services – because who needs surprises, especially when it involves Equifax getting hacked, again!

Step 7: Celebrate the Small Wins

As you conquer each financial hurdle, celebrate! Throw a party, do a happy dance, or treat yourself to a small indulgence (as long as it’s budget-approved). Remember, Rome wasn’t budgeted in a day.

Class is always in session at Young Finance 101. Visit our website for more financial wisdom, and leave a comment below to share your financial victories. Keep swiping responsibly, and let the financial gains begin!