[floridaorange]

Many of us came from families with a high level of financial acumen, many of us did not. Regardless, we listen to people outside of our social circles differently, even when it's the same information our family and friends may have already given us.

What financial lessons can you share here that have worked in your life?

My wife and I have 2 kids and one day will be coming into a rather big amount of money. I believe it will start with monthly checks, in the next couple years, and then a lump sum eventually. They've always used money market accounts and have very conservative investments. Other than that, would like to hear from others about mistakes or victories they've made during their lives, when it comes to their finances.

[UPSROD]

Live within your means!

[RnmEvo9]

Don't get married (if you are man).

[chassis]

Originally Posted by UPSROD

Live within your means!

And the closely related “live below your means”.

For the millennials: LBYM or #lbym

[zx10guy]

Start saving early. The earlier you start the better off you will be. Everyone can talk about what to invest in. But the one thing you can't get back is time which is priceless. What saved my bacon (even getting raped from my divorce) was that I started some what early with saving. Had I not, I'd be in terrible shape right now.

Also, don't panic when you are investing. Losses are only losses when you sell. Have a long term approach and look at market dips as a buying opportunity as everything is on sale/discount.

[ZL9M2]

Solid prenuptual or stay single.

Only use leverage to purchase appreciating assets.

[leopard print]

YOLO

[Our03z4]

Originally Posted by leopard print

YOLO

I've known too many people who have died young. They all wish they would have not worked so hard and enjoyed life more. So we are living the YOLO route, also after being a first responder for 13 years it makes me believe that even more. We can always pay our bills even if we lose half of our income and still wouldn't have to change how we live. Works for us. If we want it we buy it. Not having kids helps as well.

[happyjack]

[shawnhayes]

Finances are a lot like playing in the NFL. Unless you are a "super', you NEVER will. Nothing wrong with trying tried and true, but never count on coming up with that idea that no one has ever had before.

That being said - LISTEN TO THE PEOPLE SMARTER THAN YOU. If your financial advice is coming from a guy who's homeless, you might want to consider that before you take it. Find a mentor, or a financial advisor who only makes money when you do. Take their advice and listen to them. You aren't Elon Musk, who's parents had a lot of money to give him to get started, and you aren't going to invent PayPal tomorrow. Keep trying if you want, but count on the advice from the solid people.

Shawn

[leopard print]

Originally Posted by Our03z4

I've known too many people who have died young. They all wish they would have not worked so hard and enjoyed life more. So we are living the YOLO route, also after being a first responder for 13 years it makes me believe that even more. We can always pay our bills even if we lose half of our income and still wouldn't have to change how we live. Works for us. If we want it we buy it. Not having kids helps as well.

I was partly joking but I see where you’re coming from. To be honest, I’m fairly conservative with my finances and often think to myself what am I saving for. It could all end any second.

[3.0L]

The best advice I received was from my father-in-law and I took it.

Not long after I sold my small business and landed a good technician job at our local university, he suggested that we meet with his financial advisor and start a TSA.

The 2nd (critical) part of that equation is that my wife always had a job. The fact that she brought home a paycheck allowed me to plug money into my TSA at the maximum rate. Had she been a stay-at-home mom, there would be little or no TSA. In addition, my wife's last job (for 20 years) included profit-sharing.

Since retiring, we rolled my TSA and her profit-sharing into IRA's. Our combined portfolio is still increasing in value, despite our monthly draw for the past 10 years.

All in all, very satisfying.

And oh yeah, we never raided the equity in any of our homes. Our retirement home is paid for.

[DETRoadster]

Best advice was given to me when I was 22 way back in 1996, having just started my first "big kid" job out of college: "Put 10% of your paycheck into your 401K starting NOW, stop renting and buy a modest house as soon as you can."

I'm so glad I listened to that advice.

[pikkagtr]

Spend what you have after you save
Rule of 3x for luxury items ie cars phones clothes watches etc.
If you can't BUY 3 of something with MONEY and have to finance it, you can't afford it
But always finance and or lease to take on less risk

[aguywalksintoabar]

Someone gave me Alvin Hall's book. You and your money. It changed a lot of things for me. One of the key things was. Always have enough fuck you money. If you want to quit your job you should be able to comfortably sustain yourself for at least a year. Minimum. Love that idea. Fuck you money. No one has power over you. No one can threaten to fire you because if they do you'll be just fine.

[///MPhatic]

Diversification.

It's not going to be the way to the biggest money, but it's going to be the way to money you can count on.

[Darth One]

"Compounding interest is the eighth wonder of the world"

-Albert Einstein

[chassis]

The book The Millionaire Next Door is a good one. Entertaining and mildly useful.

[DocL]

Buy low, sell high.

[zx10guy]

Originally Posted by Our03z4

I've known too many people who have died young. They all wish they would have not worked so hard and enjoyed life more. So we are living the YOLO route, also after being a first responder for 13 years it makes me believe that even more. We can always pay our bills even if we lose half of our income and still wouldn't have to change how we live. Works for us. If we want it we buy it. Not having kids helps as well.

There's a balance. Also being a first responder, I've seen my fair share of mayhem and death. But I still didn't think any of that would affect me until I got hit with the big C twice. Once that happens your whole perspective with life changes. Being told recently it's not a matter of if but when I get cancer back, was something I had to process at some level. But when I got my blood work back which showed a significant drop in a tumor marker that is being tracked, it triggered me to put a deposit and buy the K67 S1000RR the next day.

But even with all of this going on, you can't be foolish and go full YOLO either. There's a balance. I go back to one of the things I brought up in my initial post in this thread. The sooner you start saving, the less you have to save to reach a specific goal at retirement per month. This frees up some discretionary funds. Or start early with saving a ton and taper the amount as you get older.

[overcoil]

My Aunt said don't trust lawyers and stockbrokers
My Mothers said don't trust doctors and people with business degrees.

Basically don't trust anybody.

[ASAP]

Originally Posted by UPSROD

Live within your means!

Sadly... in today's world if you followed this advice you would have actually lost out... you should be in debt up to your eyeballs w the interest rates we've had and the current inflation rate.

If you saved, where responsible and didn't buy left and right... you massively lost out on gains... it's sad... but that's today's reality.