Money Lessons Learned: What Would You Teach Yourself About Money?
Mon, Jun 28, 2010
What if you could travel back in time 10 years and give yourself a lesson about money? Certainly, you don’t want to dwell on mistakes today and always think about what could be better if you only had done X. But, perhaps such thoughts could be used in positive light. If you could identify a few lessons learned about money, then what might you be able to teach others if presented with the opportunity someday? Or, if you thought long and hard about it, would you definitely find yourself acting consistently on these lessons today?
No matter your stage of life there are probably many things you’ve learned in the last 10 years about money management which may have come at the expense of mistakes, from reading and research, or from the model behaviour of others around you. 
So, pretending I could travel back in time 10 years ago there are a few money lessons I would definitely tell myself. 1o years ago would have put me in the stage of life of being single with no children. I had just graduated graduate school and was a few years into my profession.
Ownership and Responsibility
10 years ago I thought I owned all my money. I didn’t have God’s perspective on managing money, although, I naturally wanted to manage it well given my organization and business skills. But, I still thought it was mine to do with it as I pleased and I was far from using it for God’s purposes. This was definitely evident in the absence of my giving. Since then I’ve learned through some key scripture the foundational principles of ownership and financial stewardship that help me live in God’s economy.
The earth is the Lord’s and everything in it (Psalms 24:1).
So then, men ought to regard us as servants of Christ and as those entrusted with the secret things of God. Now it is required that those who have been given a trust must prove faithful (1 Corinthians 4: 1-2).
Saving
I think savingfor emergencies and having extra cash on-hand is so important. 10 years ago I was blessed to be making an excellent salary for my age and experience, but I had absolutely no cash to show for it. Saving requires alot of discipline because you have to be able to say no in order to put money aside. I will tell you this becomes increasingly difficult to do when you get married and have a family. The expenses increase and their are more reasons to spend money. So, what are some savings tips I would have provided myself 10 years ago?
- Auto deposit a portion of your savings into a savings account directly from my paycheck
- Make sure your savings is a separate savings account
- Set specific and attainable savings goals with an eventual target of at least 6 months of emergency expenses
- Differentiate savings between emergencies, auto and other future needs and make sure there are clear categories for these in your monthly budget
Work/Making Money
I would also give myself a lesson on work and making money. I think my attitude when I got out of school was to chase after the highest paying job. I definitely had some interest in my field of software and technology, but I was mostly attracted to the salary and didn’t pay as as much attention as I should have to my God given passions and talents.
I’ve definitely learned I have passions and talents for my profession, but I think my hobbies outside of this work truly reflect what I love to do. Today I believe in looking at these hobbies and figuring out ways to monetize them. So, if your hobby is blogging on personal finance there is an opportunity to monetize that hobby by providing content and services to others. The same could be true about many things. I think Dan Miller’s book, No More Mondays by Dan Miller, helped me see the importance of this. Therefore, I would buy this book for me 10 years ago and stress the need to read it and make sure you do the work you love.
Final Thoughts
There are many money lessons I would teach myself 10 years ago about money, but these three seem to be first to mind. The first and most valuable lesson on ownership and responsibility truly drives all decisions financially. If you do your best to manage money according to God’s truths, I believe you’ll thrive and prosper.
So, what about you? What lessons would you have taught yourself about money 10 years ago? Have you ever considered teaching others these lessons?
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Tags: Earning, Financial Stewardship, Making Money, Money Lessons, Saving
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10 years would tke me back to 18 year old Evan. I would just tell myself to make smarter decisions. Don’t spend $80 at the bar when you could spend $40. Don’t eat out so much (this would help with the waistline too 10 years later lol)
Evan´s last blog ..Are you Affected by Paralysis by Analysis How I try to Overcome My Issues
Evan, thanks for commenting. I think I would fall in line with those thoughts too. I’m sure my entertainment spending was outrageous.
Ten years ago, I would’ve learned about compound interest, index funds with low expense ratios, and Roth IRA’s.
I’d save to make a larger down payment on a car, or buy with 100% cash, or even consider a quality used car.
I’d read The Millionaire Next Door too!
Darren´s last blog ..Four Tips To Help You Nail The Job Interview
Darren, all great things to know about. The car trap can be tough. We’ve almost paid off our second car and will be car debt free soon. Just need to keep it that way!
10 years ago I was 19 in the summer before my sophomore year of college.
I would have educated myself on living a debt free life instead of using credit cards. I would have educated myself on the steps to build a solid financial foundation.
I currently teach others by volunteering as a Financial Peace University (FPU) coordinator in my community.
Broke by Choice´s last blog ..Prosperity Game Day6 of 30- 3200
That’s awesome how you’re giving back to others today. I’ve been involved with Crown Financial Ministries and am looking forward to taking FPU this fall.