Financial Mistakes I Did As A Young Adult

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2 years ago

I've been working for more than 10 years already. Since I graduated from college, I have experienced firsthand what millennials refer to as adulting. Just in case you're living in a cave since 2015, the year the word first blew up, the word means: 

1. to behave in an adult manner; engage in activities associated with adulthood

2. to make someone behave like an adult; turn someone into an adult

Since then, it has been a favorite word coined by young adults trying to make sense of the inevitable adult life. It's still uncharted territory, of course!

Adulting, as a concept, exploded because there are many things a young adult has to learn to navigate through life, which includes making bank transactions, doing carpentry and plumbing, paying taxes, cooking meals, etc. Adulting feels like a rite of passage for a clueless teen!

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Back to my early years being employed, I have had many mistakes which caused me some regrets and some realizations as well. And among those mistakes includes my finances. Do yourself a favor by not committing these same financial mistakes. 

Excessive use of credit cards

When I had my first credit card, I felt very ecstatic. It's as if I was given a superpower right at my fingertips. Indeed it was considered a power -- purchasing power. At last, I can buy whatever I want anytime I want it. By the way, I had two credit cards then, both handed to me pre-approved. All I need to do is to use it -- which I did, to my delight. Until I can no longer pay the outstanding amount. I was sent legal letters to settle my obligation. It was humiliating. It took me many years before I settled everything in full, and since then I promised not to use a credit card again. 

Impulse Buying 

My credit card purchases ballooned because I was once an impulsive buyer. When I see a new backpack, I buy it. When I heard about a new smartphone, I buy it. No second guesses. Since I have the purchasing power, the only thing that keeps me from my desired purchase is my "swiping" ability. It was fun! I never thought that this will cause me much pain in the following years. And did I say I love to eat as well? I believe it was also one of the culprits why my finances back then were a mess. 

Impressing others

Even as a confessed introvert, I don't want to be labeled as out of anyone's league, so whenever my officemates invite me for lunch out, or even on dates with my ex-girlfriend (a former officemate), I try to make an impression, even if there is no need for me to do it. Not only am I fooling myself, but it endangers my budget as well. Back then, I was trying to impress people who care less about me. It was not worth it, I tell you.  

Not saving even little amount

I had lots of excuses back then why I don't save. First, I argue that I am not earning that much. My income is enough only to cover my daily sustenance and to pay for my bills. Another excuse I had then was my credit card bills. Where will I get provision for my savings? But even when things get better and I have extra cash, I was not disciplined enough to set aside money for savings, much more emergencies. I just live for the day. 

Not investing in myself

While there are lots of financial seminars and financial management books available during those years when I was a neophyte employee, I did not consider those. I did not invest in myself but continued with my usual way of spending. If only I knew back then how important it is to study and improve your mindset especially about financial management, I think things will be a lot different. 

Final Thoughts

If you have read my post about the financial values I live by, those were learned the hard way. It took me years and tears to understand my lessons. If only I could knock some sense to my younger self, I would do so. But what I can do now is to try to improve myself while influencing other young people not to follow in my footsteps. I am still far from "financial freedom" but still I'm way better than my younger self. It's a start, and I know I'm making progress, albeit slow. 

How about you? What are your most unforgettable financial mistakes in the past?

Source:

Steinmetz, K. (2016, June 8). Adulting Definition: Millennials Favorite New Word. Time. https://time.com/4361866/adulting-definition-meaning/.

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Hi, I am Marts! I am a writer, and aside from my stint here in read.cash, I also have my own blog - martsvalenzuela.com. I appreciate it if you pay me a visit! I plan on growing my readership as I learn to improve my craft and journey towards my passion to write and publish books that add value to people.

Let's rock! 

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I am also entering the stage of adulthood and to be honest I don't know how to an adult 🤣. Articles like this will help me to navigate thru life 😁

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2 years ago

Haha good thing there are lots of adulting hacks available on the internet :) you're a favored generation I may say :p

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2 years ago