My parents tried very hard to teach us about money and finances. They encouraged savings and budgeting and would fill in an accounting ledger of household expenses with us, and were transparent about resource constraints. If we wanted something we had to present a “business case” for the purchase explaining our reasoning, the budget for it, and where we expected the money to come from. At any time we could do work around the house or property for an hourly wage to “earn” enough to “pay” for our item and they would show us how it was budgeted. My dad would also talk around the dinner table and with his friends about investments/stocks/the economy which we sometimes paid attention to and often didn’t.
What was your first job and why did you get it?
Aside from working around the house, I would babysit, do odd jobs, and sell things around the neighborhood. Around Christmastime my sisters and I would gather mistletoe from the trees and tie it up with ribbon and sell them outside the grocery store for extra spending money. My sisters were in FFA and raised and sold livestock, but I never really involved myself with that. I would deliver eggs across the neighborhood for money. We were very entrepreneurial. I got a job at a local ice cream and smoothie shop in town as soon as I turned 16 to start earning “real money” at minimum wage.
Did you worry about money growing up?
I thought about money constantly growing up. I hated being stuck out in the country and really wanted to live in a city, and I thought money was the only way to gain independence and accomplish that. I started saving money as early as I could and was always looking for opportunities to grow my little nest egg so I could move out on my own. I dreamed every night about a house with no siblings in it!
Do you worry about money now?
I try not to, but honestly, I do. I make a good salary that feels like it should be “enough”, but I worry about having enough money for retirement. I have some savings but not much and I know my parents will leave me an inheritance, but I still worry about the future and our long-term finances. Day to day and month to month, I’m not too concerned, although there are some luxuries I go without because I feel guilty buying them and some luxuries I’m totally capricious about (usually food). Our biggest expenses are entertainment (concerts, shows), travel (when we can), gifts (big families), and food (high grocery expense and dining out), so it is easy to pull back if we start to feel overextended.
At what age did you become financially responsible for yourself and do you have a financial safety net?
I moved out of my parents’ house when I graduated high school at 18 and was completely financially independent from that time on. During college they would give cash gifts for my birthday and Christmas to help me out, but no regular support. I understand the enormous privilege of knowing that if I were ever hard-pressed or insolvent my parents would be able to, and likely willing to, bail me out.
Do you or have you ever received passive or inherited income? If yes, please explain.
Yes — my parents paid off about $12,000 worth of student loans when I graduated college with my degree. When my grandmother passed she left each of us $10,000 and my dad’s brother left all the nieces and nephews $20,000 when he passed away (he had no children). My sister gave me her car when she moved away and my husband’s family gave us a car when a grandparent passed away. I currently receive about $900 a year in dividends from my investment accounts and those are all reinvested back into the portfolio. My parents intend to leave money and property to us kids, evenly divided, when they eventually pass.
