She Strengthens

Financial Lessons from Our 20s: What We Wish We Knew Sooner

As we navigate the ups and downs of our financial journeys, it’s clear that mistakes are an inevitable part of the learning process. But what if we could learn from each other’s mistakes and avoid some of the pitfalls that come with managing our finances?

The Value of Savings

At 20, many of us are still in school, working part-time jobs to make ends meet. But as Neya Abdi, 21, learned the hard way, treating those jobs as a means to finance our lifestyle rather than our education can lead to financial regret. By prioritizing savings and making regular contributions to her emergency fund, Neya has taken control of her finances and is building a safety net for the future.

The Dangers of Ignoring Your Bank Account

As we enter our early 20s, it’s easy to get caught up in the excitement of independence and ignore our bank account balances. But as Alexis Willey, 22, discovered, this can lead to reckless spending and potential credit score damage. By signing up for regular balance notifications, Alexis has taken steps to understand and control her spending habits.

The False Sense of Security

Raising our credit card limits might seem like a harmless move, but as Abby Stauffenger, 23, learned, it can give us a false sense of security about our spending habits. By focusing on paying off her balance in full each month and avoiding unnecessary purchases, Abby has developed healthier credit card habits.

The Importance of Budgeting

In our early 20s, it’s easy to get caught up in the thrill of earning money and forget to budget accordingly. Meghan Koushik, 24, learned this lesson the hard way when she found herself almost out of money during an unpaid internship. By auto-deducting 25% of her paycheck into a savings account, Meghan has taken control of her finances and built a safety net for the future.

The Trap of Overspending

As we enter our mid-20s, it’s easy to get caught up in the temptation to overspend, especially when we start earning more money. Crissy Milazzo, 25, learned that saving any surplus income is crucial to avoiding financial stress and achieving long-term goals.

The Pitfalls of Fast Fashion

Lauren Ver Hage, 26, used to fall into the trap of overspending on clothes for every occasion, but has since learned the value of borrowing items from friends and making do with what she already owns. By focusing on evergreen pieces and avoiding unnecessary purchases, Lauren has reduced her spending and cultivated a more mindful approach to fashion.

The Lesson of Investment

Chelsea Fagan, 26, used to be a fast fashion enthusiast, but has since switched to investing in higher-quality, timeless pieces. By learning basic maintenance skills and cherishing her belongings, Chelsea has reduced waste and developed a more sustainable approach to fashion.

The Dangers of Spending Based on Future Income

Samantha Matt, 27, learned the hard way that spending money based on future income is a recipe for disaster. By prioritizing savings and avoiding unnecessary expenses, Samantha has developed a more cautious approach to her finances.

The Importance of Living Light

As we enter our late 20s, it’s easy to accumulate possessions and clutter, but Michelle Barrow, 29, learned that living light is key to avoiding financial stress. By letting go of unnecessary items and avoiding unnecessary purchases, Michelle has reduced waste and developed a more mindful approach to consumption.

The Value of Reflection

Finally, Emma Bellamy, 30, has learned the importance of reflection and self-awareness when it comes to our financial habits. By recognizing our mistakes and learning from them, we can develop healthier habits and achieve long-term financial success.