Getting an education is good because it opens doors and offers numerous opportunities. However, there are some real-life scenarios you will never come across in school. These lessons can only be taught in the field after you graduate.
Many people finish their education hoping to hit the ground running. They learn that things operate on a different scale when they get there. Here are good pieces of advice to improve your life you could never learn in school.
Learn How To Cook
You don’t have to be Gordon Ramsay, but being able to do the basics, like using a knife properly and cooking good meals at home, will make a huge difference. You’ll save money, eat better, and feel better.
Save When You Get Paid
Don’t wait until the end of the month and see what you have left after expenses. That ability to buy something you like when in high school/college immediately really goes out the door once rent becomes a factor.
Learn How Credit Works
If you don’t know how credit works, learn it now before you get scammed into a credit card you can’t pay off. Learn as much as you can about doing your taxes before you have to do them yourself.
Live Within Your Means
Avoid check advances, maxing out credit cards, and overdraft fees from banks. That’s a hole you just keep digging deeper. You will be excited to get that credit card and cannot wait to start spending, but be moderate about it. You do not want to have a debt you cannot control.
Learn How to Properly Budget
When you get paid, you need to account for how you will spend every penny. How much do you have left over for groceries? Eating out? Entertainment? Dry cleaning? Etc. Budgeting will allow you to start saving.
Take Care of Your Taxes
Always file a federal and state tax return even if you don’t think you have to. It’s up to Uncle Sam to decide whether or not you owe taxes, and back taxes/penalties are unforgiving.
Put Money Into Tax-deferred Accounts
If you were to max out your health savings and 401k contributions for a year, you could legally avoid paying tax on as much as $22,500 of income in the current year.
Do Not Waste Money
Are you buying an energy drink every day? Well, stop. Those simple ‘negligible’ expenses add up over time. You will find yourself at 40 years old and still cannot afford an apartment because you wasted ‘meaningless small sums” on unnecessary luxuries all your life.
Come Up With a Hustle
Moonlight. Have a second set of skills. Let your hobby pay for itself, but don’t get so deep into it that you’ll burn out. Daydream about your hustle at your day job. If you burn out there, switch to your hustle full-time and repeat.
Invest in Mutual Funds
Invest something little every month, and don’t touch these investments till you retire. Learn how to invest in the stock market. Wealthy people don’t get wealthy from working at a job.
Learn How to Budget
Budget for everything. Even if it’s just your allowance or any income, you’ll be so much better prepared for when life throws a curve ball at you, and you can cover it with “emergency funds.” It’s very easy to budget, and you will be surprised at how much money you can save. There are plenty of free budgeting apps available, and some banks even have their own tied directly into your bank account.
Take Care of Your Stuff
Take care of your car, motorcycle, etc. It’ll save you a ton of money in the long run. Spending $200 for an oil change now is better than spending $2000 to get your engine rebuilt because the oil didn’t get changed.
Avoid Car Loans
Buy a good used second-hand car if possible. Car loans will pin you down for a long time, and the interest payments on some of these loans can be bullish.
Time Is Money, but Money Isn’t Always Time
Make the most of your time when you can because it is our most valuable resource. All the money in the world won’t buy you an extra second beyond 24 hours.
Do Not Buy Things To Impress Your Friends
Stop buying things you don’t need, just to “keep up” with your friends. Being financially secure is such a huge weight lifted off your shoulders.
9 So-Called “Frugal” Habits That Are Actually A Waste Of Time And Money
Do you know any things that people do that they think are frugal but actually aren’t saving them money but sometimes are just wasting their time and money?
I am sure you have read articles and tips that promote frugal living and give some ideas that are just not frugal! These frugal myths float around and sometimes even cost people a lot of money!
12 Extreme Frugal Living Tips You Can Try
A Reddit user was curious to know the extremely frugal things people did that they didn’t tell people about. He gave an illustration that he used to collect promotional coffee sachets on top of car windows and that saved a ton of money. He wanted to know whether other Reddit users did extremely frugal things that they did not want other people to know.
15 Tips For Frugal Living On A Tight Budget
If you are looking for tips for frugal living on a tight budget, this post is for you.
Being on a tight budget means looking for even the slightest opportunity to save money. It could be saving to clear your loans, for a bigger purchase, or even for early retirement.
12 Not Very Obvious Sign That Someone Is Rich
It is easy to know when someone is rich. However, sometimes it is not obvious. One Reddit user wanted to know what non-obvious signs pointed out that someone was rich. We have sampled some of the best responses from other Reddit users in that conversation.
23 Side Hustles You Never Considered That Make More Than Your 9 To 5
Looking to make some extra cash? While your 9 to 5 job might offer benefits or stability, there are some side hustles that, surprisingly, can net you quite a bit of money. You probably haven’t realized how lucrative some of these could be!