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A Thread: 30 Rules I Learned About Managing Money Before Turning 30
Disclaimers:
I'm not a finance expert. This is NOT financial advice.
These rules work FOR ME. They may not work for you.
I don't follow a budget. I’ve trained myself to avoid temptations (for the most part) and I live below my means.
I'm not a finance expert. This is NOT financial advice. These rules work FOR ME. They may not work for you. I don't follow a budget. I’ve trained myself to avoid temptations (for the most part) and I live below my means.
#1: Unsubscribe from all retailer mailing lists.
Don't download their apps to receive notifications when new items *that you don't need* drop. Avoid the temptations.
Don't download their apps to receive notifications when new items *that you don't need* drop. Avoid the temptations.
#2: Avoid paying full price for anything* — especially online.
Research coupon codes on sites like "RetailMeNot". Use a browser extension like "Honey" that auto-searches for codes for you.
*Pay full price when supporting your friends' and BIPOC owned businesses, though!
Research coupon codes on sites like "RetailMeNot". Use a browser extension like "Honey" that auto-searches for codes for you.
*Pay full price when supporting your friends' and BIPOC owned businesses, though!
#3: On gift-receiving occasions, request gift cards to help supplement the cost of expensive items.
Example: Collect Apple Store gift cards to help pay for your new laptop. I've done this twice and never paid over $500 out of pocket for a Macbook!
Example: Collect Apple Store gift cards to help pay for your new laptop. I've done this twice and never paid over $500 out of pocket for a Macbook!
#4: Learn your fave brands' pricing strategies.
Many use the same tactics annually. Take note of the patterns.
Many use the same tactics annually. Take note of the patterns.
#5: Purchase for quality over quantity.
Invest in quality pieces that will last vs. cheap pieces that'll wear our quickly. Adopt a price-per-use mentality.
Invest in quality pieces that will last vs. cheap pieces that'll wear our quickly. Adopt a price-per-use mentality.
#6: Check to see if websites like @Rakuten offer cashback on purchases on items from stores you were already going to shop at.
Stores pay Rakuten a commission for sending you their way, and Rakuten shares the commission with you. I've earned over $350 over the years!
Stores pay Rakuten a commission for sending you their way, and Rakuten shares the commission with you. I've earned over $350 over the years!
#7: Don't go grocery shopping when you're hungry. Just don't do it.
#8: Don't try to keep up with others.
Pay attention to you. Measure against yourself.
You don't know who rented that car, who withdrew from "the bank of mom and dad" to buy that condo, and who plans to return that outfit after their IG photoshoot.
Pay attention to you. Measure against yourself.
You don't know who rented that car, who withdrew from "the bank of mom and dad" to buy that condo, and who plans to return that outfit after their IG photoshoot.
#9: If you plan to subscribe to a service long-term, pay the annual fee vs. the monthly fee.
You'll often save ~20% by committing longer term!
You'll often save ~20% by committing longer term!
#10: Live within (or below) your means. Just because you can afford it, doesn't mean you should buy it.
#11: Talk about money with potential partners. If you're serious about them, ask them about their debt, spending habits, financial goals, etc.
It's important to make sure you're on the same page to avoid future conflict.
It's important to make sure you're on the same page to avoid future conflict.
#12: Sleep on it before you make a large purchase to avoid impulse buys.
Make sure that you're spending your hard-earned dollars on items you won't regret shortly after.
Make sure that you're spending your hard-earned dollars on items you won't regret shortly after.
#13: Be mindful of "shop now, pay later" options. Pay in full when possible.
These types of delayed payment/lay-away models sometimes come with hidden charges, interest fees, etc. They can also become difficult to budget for if you don't keep track of them.
These types of delayed payment/lay-away models sometimes come with hidden charges, interest fees, etc. They can also become difficult to budget for if you don't keep track of them.
#14: Buy the travel insurance. If you can't afford the insurance, you can't afford to travel.
Accidents happen. Getting treated outside of your home country can be extremely costly and stressful without insurance.
Accidents happen. Getting treated outside of your home country can be extremely costly and stressful without insurance.
#15: Generate passive income. Figure out ways to make money while you sleep. Ideas:
Open a Shopify store
Build a course on a topic you're knowledgeable about
Affilate Marketing
Purchase a rental property
There are countless options available!
Open a Shopify store Build a course on a topic you're knowledgeable about Affilate Marketing Purchase a rental propertyThere are countless options available!
#16: Take advantage of employee matching programs FROM 
DAY ONE .
If your employer offers stock purchase matching, RRSP matching, pension matching, etc., sign up immediately.
This is free money. We do not sleep on free money.
DAY ONE . If your employer offers stock purchase matching, RRSP matching, pension matching, etc., sign up immediately.
This is free money. We do not sleep on free money.
#17: Know your worth. Negotiate your salary. Don't undervalue yourself.
Use resources like GlassDoor, PayScale, LinkedIn Salaries, etc. to know what the going rate is for your role and your level of expertise. Practice overcoming objections with a friend.
Use resources like GlassDoor, PayScale, LinkedIn Salaries, etc. to know what the going rate is for your role and your level of expertise. Practice overcoming objections with a friend.
#18: Start investing in the stock market. Hire a professional to walk you through the process.
Avoid seeking advice from your financial institution and/or insurance company. Get unbiased advice from an external financial advisor, instead.
Avoid seeking advice from your financial institution and/or insurance company. Get unbiased advice from an external financial advisor, instead.
#19: Auto-first savings.
Set up automatic withdrawals from the account you receive direct deposits in (like chequings) and have it deposited into your HIGH INTEREST savings account. Out of sight is out of mind. Hide money from yourself.
Set up automatic withdrawals from the account you receive direct deposits in (like chequings) and have it deposited into your HIGH INTEREST savings account. Out of sight is out of mind. Hide money from yourself.
#20: Keep a positive balance on your credit card.
By doing this, I never have to worry about outstanding balances, interest, or missing payments that could potentially impact my credit score.
By doing this, I never have to worry about outstanding balances, interest, or missing payments that could potentially impact my credit score.
#21: Don't collect multiple credit cards with the intention to increase your credit score.
People always told me "the more credit cards you manage, the higher your credit score will be". Nah. I've had only one since I turned 18 and I successfully got my first mortgage at 24.
People always told me "the more credit cards you manage, the higher your credit score will be". Nah. I've had only one since I turned 18 and I successfully got my first mortgage at 24.
#22: Keep your credit card limit low.
By making a mental note of this, I am intentional with keeping my spending way below the limit.
My credit card limit has always been below $2500. I ignore every single offer from the bank to increase it.
By making a mental note of this, I am intentional with keeping my spending way below the limit.
My credit card limit has always been below $2500. I ignore every single offer from the bank to increase it.
#23: Use credit score tracking apps.
Use apps like CreditKarma, Borrowell, or the options built in your Online Banking app to not only check your credit score, but to monitor any outstanding payments you have, or to take note of potential identify theft.
Use apps like CreditKarma, Borrowell, or the options built in your Online Banking app to not only check your credit score, but to monitor any outstanding payments you have, or to take note of potential identify theft.
#24: Stop paying unnecessary fees.
There are too many $0 fee bank accounts and credit cards out there to be paying for this. Do your research and make the switch.
A simple $15/mo fee adds up to $540 in 3 years.
There are too many $0 fee bank accounts and credit cards out there to be paying for this. Do your research and make the switch.
A simple $15/mo fee adds up to $540 in 3 years.
#25: Have "X" amount of money saved for a rainy day.
Industry experts often say you should have 1x your annual income saved by the time you turn 30. While I feel that's a bit unrealistic, I do feel it's important to have a chunk of savings ready to go in the case of emergency.
Industry experts often say you should have 1x your annual income saved by the time you turn 30. While I feel that's a bit unrealistic, I do feel it's important to have a chunk of savings ready to go in the case of emergency.
#26: Surround yourself with people that have abundance mindsets.
Attain knowledge from people who truly believe they can achieve all of their ambitious goals.
Don't know any of these people in real life? Follow them online.
Attain knowledge from people who truly believe they can achieve all of their ambitious goals.
Don't know any of these people in real life? Follow them online.
#27: Scared money don't make no money.
Do your research and take smart, guided risks. It's important to shift your mindset from "how much can I lose?" to "how much can I gain?". End up failing? Fail fast, iterate, and try again with a new game plan.
Do your research and take smart, guided risks. It's important to shift your mindset from "how much can I lose?" to "how much can I gain?". End up failing? Fail fast, iterate, and try again with a new game plan.
#28: It takes money to make money.
Spending money on tools that will help you save time and manage your business better is a smart investment. Invest in people and tools that help you focus on what you do best.
Not everything needs to be a DIY project.
Spending money on tools that will help you save time and manage your business better is a smart investment. Invest in people and tools that help you focus on what you do best.
Not everything needs to be a DIY project.
#29: All money isn't good money. Protect your peace, always (when possible).
Working with toxic companies or people isn't worth it.
Prioritizing money at the cost of your physical, mental, and emotional health isn't worth it.
Don't chase money that isn't for you.
Working with toxic companies or people isn't worth it.
Prioritizing money at the cost of your physical, mental, and emotional health isn't worth it.
Don't chase money that isn't for you.
#30: Use your skills to generate supplemental income.
We're often taught to bring our own lunch to work to save money, but we're rarely taught how to utilize our skills to make extra money.
If buying lunch brings you joy, learn to make more to support the habit.
We're often taught to bring our own lunch to work to save money, but we're rarely taught how to utilize our skills to make extra money.
If buying lunch brings you joy, learn to make more to support the habit.
BONUS, #31: Don't get so lost in saving and making money that you forget to live.
Give the gift. Take the vacation. Use your money to contribute to your joy.
There's no time like the present. 2020 DEFINITELY taught us this.
Give the gift. Take the vacation. Use your money to contribute to your joy.
There's no time like the present. 2020 DEFINITELY taught us this.
That's all, folx! I wish you financial abundance in 2021 and beyond.
Find a full recap of the rules (with added context) on my website: https://watchdanicawork.com/blog/money-management-rules-learned-before-30
Find a full recap of the rules (with added context) on my website: https://watchdanicawork.com/blog/money-management-rules-learned-before-30
Oh! If you’re a visual learner, I’ve added all of the rules on my “Finance” highlight, and throughout my feed
https://www.instagram.com/danicasnelson/
https://www.instagram.com/danicasnelson/
