Mo’ Money, Less Problems
It may have made a catchy ’90s tune, but Biggie was notoriously mistaken when he rapped that mo’ money meant mo’ problems. Sure, the majority of us don’t have enough dough to blow on ridiculously blingy homes worthy of attention on VH1’s The Fabulous Life, but when you’re a big girl, it’s time to put on your big girl panties and learn the basics about money management. ’Cause in the real world, it’s better to have mo’ money in the bank than less. Here’s how to protect yourself financially.
Get out of debt: If you have loans or credit card debt, devise a plan and stick to it. Set aside a certain amount each month to chip away at your debt, and stop acquiring new debt! This means saying no to half-off Jimmy Choos at Bloomies!
Set up an emergency fund: Maybe you chipped your front tooth after an enthusiastic dance with certain “male performers” at your bestie’s bachelorette. Or perhaps your “bossy dearest” decided to cut your department funding. Life happens, and the best way to prep for the unexpected is to have an emergency fund. You can start small, but aim to have three to six months of living expenses saved up.
Automate your savings: It’s hard to save for an emergency fund when Chanel No. 5 tantalizes you at Sephora. Instead, divvy up your paycheck so a certain percentage automatically goes into savings.
Enroll in company-sponsored retirement plans: Talk to your HR department and find out if your company offers retirement savings plans like a 401(k). Oftentimes, your employer will match a percentage of your contribution. Translation: They’re giving you free money for retirement, and it’s your loss if you don’t enroll.
Remember that computers are smarter than humans: OK, that one may be debatable, but the truth is that there are some awesome online tools that can really help you manage your money. Mint.com and LearnVest.com both feature fab financial tools that help you budget, set savings goals, and guide you to a healthy fiscal future.
xx, The FabFitFun Team