Welcome to the New Year! Wishing you a happy, healthy, and fruitful 2020. Have you thought about your New Year's resolutions? I simplified mine into one word: INVEST. And with that #2020vision in mind, I am starting a new blog series on how to INVEST this year, from investing in YOURSELF to your ENVIRONMENT and lastly your EXPERIENCES.
The first part will focus on INVESTING IN YOURSELF. Under this segment, I will be discussing first finances, followed by health/wellness, and ending with ways to expand your mind. Come join me on this journey as I help you discover the New Year with the Same You, just a Better Approach.
Often when people hear the word invest they think of finances, which is just one aspect of this 2020 blog series. This post specifically is dedicated to helping you find ways to save money for yourself now and in the future. As a resident physician, we typically make less than minimum wage in comparison to the number of hours we work, which makes pinching pennies a must (especially when this physician is also paying tuition for her MBA courses).
Listed below are some simple steps I implement in order to save more $$ while still maxing out that Roth IRA/401K/403B.
Just in case, here is a quick refresher from a great money-saving blog called The Penny Hoarder on the difference between these accounts:
Pro-tip: Invest more in your 401K/403B and put as much as you can in other areas like a Roth IRA or high interest earning accounts. What you cannot access or see, you won't use.
BUDGET
It is never too late to start saving or budgeting. You can start today by reviewing last month's charges, designate what was a want (flexible income) vs. a need (fixed income). Follow the 50/30/20 rule (50% needs, 30% wants, 20% savings) and ensure you're not going over. My favorite way to budget is with theMINTapp. This lets me check all of my accounts in one place while comparing all my charges with my budgets in real time.
Pro-tip: Find the right credit card that works for you as well - I use mine as a "travel" savings card so that every time I spend money, I accrue points I can put toward my next trip.
UNSUBSCRIBE
Don't just delete those thirsty "SALE" e-mails your favorite stores are constantly sending. Take the two seconds to click "Unsubscribe." What you don't see can't tempt you!
CANCEL
Stop getting charged for services you're not able to fully utilize. Cancel all those memberships you're not using, skip a month of delivery, or change them to a cheaper subscription. Another option is to share an account with a family member or a friend.
USE
Apps like Ebates or Ibotta are great for helping you earn money back during those times you dohave to make online purchases. A friend just told me about an app called Flipp that has deals for home needs like toothpaste, shampoo, body wash, etc. so you never have to pay full price.
MAKE
Get cooking and make your meals at home. Eliminate food waste, save that $dough$ by making your own, and limit your happy hours. Turn it into an at-home cooking class with a friend and tackle a new recipe in the kitchen. If you can, focus on vegetarian and plant-based meals because meat is expensive. If you do end up eating out, consider eating half your meal and getting the rest to-go so you get an extra dinner out of it!
DON'T
- Call an Uber/Lyft when you can just as easily walk.
- Buy expensive coffee from Starbucks (but if you do, make sure to download their app and join the Rewards program so you at least get points to redeem for a freebie).
- Get click happy with Amazon. Wait a few days and ask yourself if it's something you really need.
- Indulge in regular manicures or pedicures when you can just as easily do them at home.
DO
- Decrease your alcohol consumption or go to a BYOB and bring your own (cheaper) bottle.
- Lower your utility bill by eliminating vampire power through unplugging or using smart outlets that shut off power sources when not in use.
- Wear thicker clothes in the winter instead of turning on the heat.
- Find trial workouts nearby. A lot of gyms/studios offer a free class or even a free week of classes. Get your sweat and savings on!
- Get a library card :)They're free and give you access to FREE audiobooks/e-books that you can then download and listen to on commutes or read during downtime. I am currently bingingGirl, Wash Your Face by Rachel Hollis (for FREE) on the CloudLibrary app and love it. If you don't have a library card (which you should get), Amazon is offering a free audiobook with an Audible trial - just remember to cancel before it charges you if you don't want to continue!
Shout out to my friend Priyanca for helping me brainstorm some of these ideas! I hope these help and if you're looking for more information, I highly recommend checking out the podcastMillenial Moneyas well as the book Broke Millenial.
FAQs
Investing in yourself means using your resources to better yourself and improve your quality of life. That might mean going back to school, starting a business or investing in your physical or mental health.
Why is investing in yourself so powerful? ›
Investing in ourselves means dedicating time, effort, and resources towards our personal growth, development, and well-being. It is about recognising the value we bring to our own lives and understanding that by investing in ourselves, we can make a positive impact on our overall happiness and success.
How much money should you invest in yourself? ›
“Here is a rule that will guarantee your success – and possibly make you rich: Invest 3 percent of your income back into yourself.” That's great advice from Brian Tracy.
What is the quote about investing in ourselves? ›
“Investing in yourself is the best investment you will ever make. It will not only improve your life, it will improve the lives of all those around you.” “In this world you're either growing or you're dying, so get in motion and grow.”
How can a woman invest in herself? ›
5 Simple Ways to Invest in Yourself
- Prioritize Self-Care.
- Continuous Learning and Professional Development.
- Build a Supportive Network.
- Embrace Mindfulness Mindset.
- Set Goals and Take Action.
An investment involves putting capital to use today in order to increase its value over time. An investment requires putting capital to work, in the form of time, money, effort, etc., in hopes of a greater payoff in the future than what was originally put in.
Why you should invest in yourself first? ›
Investing In Yourself
No matter what you want to do or accomplish in your life, you increase the odds of success by investing in your self-improvement. People who believe someone else should invest in them will be disappointed because that type of support only comes to those already working to make themselves better.
What's a greatest investment in life? ›
“The greatest investment you can make is in yourself.” -Warren Buffett.
Is it better to invest your own money? ›
A savings account is the ideal spot for an emergency fund or cash you need within the next three to five years. Good for long-term goals. Investing can help you grow money over the long term, making it a strong option for funding expensive future goals, like retirement.
How do you know if you are financially independent? ›
Being financially independent means having sufficient income, savings, or investments to live comfortably for life and meet all of one's obligations without relying on a paycheck.
If you're planning your finances for the longer term – five years or more – investing offers the chance to get your money working harder because you should get better returns than you could from cash. There will be periods when the stock markets fall, but there will also be periods when they'll rise.
What is the 50/30/20 rule? ›
The 50-30-20 rule is a common way to allocate the spending categories in your personal or household budget. The rule targets 50% of your after-tax income toward necessities, 30% toward things you don't need—but make life a little nicer—and the final 20% toward paying down debt and/or adding to your savings.
What is the power of investing in yourself? ›
When you invest in yourself, you gain knowledge and skills that can lower the amount of time you focus on things that are less important to you and more time on things that make you happy. Even though you may not see the impact of your investment right away, investing in yourself can greatly impact your life over time.
What is the meaning of invest in yourself? ›
Investing in yourself is the practice of making yourself into a more experienced, well-rounded person through different tasks, goals and activities. This may include reading more, creating a schedule for yourself or taking a class. If you invest in yourself, you may see improvements in your productivity and happiness.
What is a powerful quote about self worth? ›
10 Empowering 'You Are Enough' Quotes to Boost Your Self-Worth
- “You alone are enough. ...
- “Believe in yourself and all that you are. ...
- “You don't need anyone's permission to be yourself.” ...
- “Owning our story and loving ourselves through that process is the bravest thing that we'll ever do.” ...
- “You alone are enough.
You may have heard it said that you should invest in yourself. Typically, it is understood to mean spending time and money on yourself to upgrade your professional skills and to make yourself more adaptable for the working world.
What does it mean to invest in yourself in everfi? ›
Investing in yourself means putting time and money toward your own personal growth.
What is the definition of self invested? ›
Meaning of self-invested in English
used to describe a type of pension for which a person makes their own investment decisions: A few years ago he moved all his various pension plans into a self-invested pension plan - known as a SIPP.
