Finance education

I’m a big fan of series „Ranczo”(comedy series about a Polish village).

In few of the episodes they went on a subject of education and school which not always teaches us useful things. I have to say that from my perspective this is very true. Will I ever use tangent or cosine? I don’t think so (well so far I didn’t). Do I remember what tangent is? No! All I know is that it was one thing they thought us at math classes. Why there is so little finance education? Young people cannot manage their money. I was like that as well. When you get your first paycheck, you can finally get the nice things. Of course you can! Often that’s how every month looks.

When I was pregnant with my first I had loads of time, so I decided to summarize my wardrobe spending from few months. I assumed that monthly I’ve spend about 200-250zł. I was pretty shocked that after adding it all up it was above 400zł. The strangest thing was „Where are all these clothes?!My wardrobe is almost empty!”. Just after we’ve got married we were living with my parents (reason – just came from Ireland and we didn’t find any work yet). When both of us found a job, we went on a shopping spree. We decided to buy an apartment. We had some money saved but their would be more if we spent our money wisely in the past. Our daily living costs were near nothing: no rent, no private car. Money was just slipping trough our fingers. I made my husband to start saving money. He was not happy about the idea. It wasn’t easy. Finally we were on our own :). Life thought us to control our spending. A loan, rent and other basic payments ain’t gona pay themselves. I am a person that needs to pay her bills in time – I couldn’t sleep otherwise 🙂

One day my significant other came to me and said that we have to redo our calculations and check what we are spending money on. I was shocked! I made us fight about that in the past and now He came to me with that kind of idea… Today we are saving 10% of our income each on a savings account, beside that we try to put some money in so called „investment” money, we save for our 2 girls and there is some extra for us(movies, dinning out or something else). To spend money wisely isn’t easy, especially when shops are bursting with promotions.  Long-term money management is very profitable. Suddenly you can see yourself saving a nice sum of money at the end of a year. Huge success and great pleasure. I invested my money and saved some for my future project. I;m investing in my own development.

How do You manage your finances?