Chasing the Fionist Dream

Just like cooking, doing laundry, or communicating effectively with others, managing money is an integral life skill. Learning how money works and mastering your own financial situation can and will enable you to live your best life. While money can’t buy happiness, it can put a roof over your head, put food on your table, and help you sleep better at night, knowing that you can afford all of your needs and some of your wants.

So how do we do it? While learning to best manage your money is an ongoing process, here are a few key steps that should guide you on your journey.

1. Budget and track your expenses. We say this all the time, but it is an essential first step of getting a hold of your spending. You can’t make any changes if you don’t know where your money is going. Use our expense tracker in real time – or if you are like us and hate using cash – log in to your credit or debit card and read through your past expenses and divide them into categories. Additionally, it is a good habit to read through your credit card statement once a month. This will help you stay on top of your spending and catch any fraudulent charges on your card.
   
   
2. Create an emergency fund and slush funds. Financial gurus recommended keeping 3 to 6 months worth of expenses in an easily accessible fund. This way, you can easily reach this money in the event of unemployment, all your appliances biting the dust at once, or any another unexpected expense. Having one will prevent you from going into debt. This is something you should be gradually building up every month. When it’s full – yay. Start putting away money for upcoming expenses like summer camp, vacations, or a new car. After you withdraw from these funds, it’s time to slowly build them back up again.
   
   
3. Invest. Invest in your future. Invest in yourself. Invest. Invest. Invest. It’s the only way to beat inflation. We are hardcore compound interest groupies. You can see what we invest in here. When building a portfolio, make sure it is diversified, so that if one sector does badly, others will still do well. This is why we prefer ETFs and index funds over individual stocks.
   
   
4. Pay yourself first. Pay into your investments and savings first thing after your pay comes in. Automate this if you can. It’s a monthly payment just like your rent or utilities. Then learn to live on the rest. This way, you are not just “trying” to save money. You are actually doing it.
   
   
5. Invest in yourself. You only get one life. Make sure not to let it pass you by. What have you always wanted to do that brings you joy? Travel? Get in shape? Learn a new language? Get on top of your finances and learn your rights? Knowledge is power. Dream big and design a realistic logistical and financial plan to make your dreams come true. Live your life and not someone else’s. It’s so easy to get caught up in the here and now and let your life pass you by.
   
   
6. Don’t be afraid to ask for help. We advise our children to ask for help when they need it. So why should adults be any different? This might come from a financial advisor, a therapist, a handyman, or your community’s chessed committee. No one was meant to do everything on their own. We all need help sometimes.
   
   
7. Pay it forward. Whether it’s money, time, knowledge, or previously loved items in good condition, we all have something we can give to someone else who needs it. We regularly give things away on our community’s free-swap group and donate to charity every month.

We hope that this post has inspired you. While money is not a goal, it is a tool that can be used to help you live your best life.

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