Achieving Healthy Financial Balance

Document created by barryp on May 27, 2016
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As you look to your community of mentors, family and friends for advice on how to maintain financial independence, they will have varying views on the subject. Some believe that happiness is the only variable worth considering when looking for a job, while others believe that money should be your driving force for choosing a career. The method I have found to afford supporting my hobby (racing) with a low starting salary ($20,000) is two fold. First, I cut wasteful spending. Second - which facilitates the first point - is to prioritize your monthly income. I pay all of my bills first: student loans, car, insurance, etc. Then I pay my future self (i.e tattoo fund) based on how many months are between now and the desired execution date. Third, I pull my "spending money" out in cash on the first of each month and do not overspend. In order to do all this, I find it convenient to have three accounts: bills, savings and spending/safety net. I hope this helps some of you as it has helped me.