I’m adjusting my blog posting structure while fine-tuning the upcoming podcast format. (Counting down- twelve days to launch!) Rather than writing one lengthy post about all-the-things, I’m sharing separate posts on the variety of topics, posting them throughout the week. That should give me the opportunity to expand on my thoughts, too.
I’m truly embarrassed to admit that it took me decades to get a healthy view on my finances. If my personal experience can help others on their journey, or even just to know me a little better, then I think it’s fair to share some details on that experience.
I grew up with a limited understanding of money management. A few years ago I realized that’s because neither of my parents had a good grasp on the subject. smh I have vivid memories of my father playing a “shell game” with money, borrowing cash from a credit card to pay another credit card bill. He also had a nasty habit of purchasing life insurance policies with cash accruals and then taking out loans from the policies. So while he had some understanding of financial products, he didn’t have a healthy relationship with money.
After my dad passed away, I stepped up to help my mom with managing things. Her income was less than half what their combined income had been, but she paid little attention to how she spent her money. When I suggested we set up a budget, she told me that my dad’s definition of a budget was “wishful thinking.” Truly eye opening.
I didn’t have a true budget until this year, but for about a decade I’ve tracked my income by pay period along with the debts/bills I had to pay from each paycheck. I’m a spreadsheet nerd, so that picture was easy to develop. But it was not the best system, and I wasn’t really tracking how I spent my money. I knew what my loan payments were and what I paid for my utilities. But I didn’t pay attention to how much I spent on groceries, gas and eating out, or my hobbies. I’d make mental notes about general figures, but all of those purchases went on a credit card.
A couple years ago, I started reading financial advice books and blogs, listening to money-related podcasts, and seeing what the “experts” had to say. Suze Orman, Dave Ramsey, Ramit Sethi – they all have strong opinions about the “right way” to approach money, debt and financial decisions. So I collected this range of guidance to build my future.
Retirement is approaching, and while I have money set aside for it, I didn’t have a plan for exiting the workforce. I had a poor relationship with my finances, and I knew that had to change. I started paying attention to my credit score. Chase Bank offers a program within their Credit Journey applet that recommends steps in a plan to raise your credit score.
I started using an app to track my spending, as this was the biggest gap in my understanding about my own finances. Unfortunately, the app I used has been discontinued and absorbed into another app that I don’t care for. So I migrated my data to Copilot*, linking most of my accounts (have had issues with my mortgage and a couple other banks’ connections), which allows me to see where I stand at a point in time. I started tracking my net worth and set up a budget based on my actual spending habits. Once I could see what I had been doing, I could assess and adjust to suit my goals.
I’ve started strong on this debt-free journey, but I have more work to do. More to come…
Knit on. 🧶
* Copilot: Use my referral code CP93FK to get 2 months free
Kninja Knitter 
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