(Why) It Doesn't Matter What You Make
It doesn’t matter what you make…
Just how you spend it.
Let me start out by saying, making boat loads of money is no indication of your financial situation. As TMZ loves to report, there are hundreds if not thousands of broke "rich people."
You've seen the headlines over the years .....
Famous celebrity mismanaged their money ...
Kanye, Trump, Janice Dickinson, Amanda Bynes, Lindsey Lohan, Johnny Depp now BANKRUPT ...
"Lucky lady who won 200 Ba-zillion dollar lottery last year is now broke" ...
"Wall street tycon owes 800 million in trips to Cancun and strip club" ...
And those are just the splashing headlines that make the news. There are hundreds of 'bad money' stories all around you. If they were making headlines they'd read...
"That 'rich' guy in the club, is financing his Mercedes and has less than $100 in his bank account."
"Your neighbor with the perfect Instagram owes 900k on her house and 70k on her Range Rover."
"Your boss, she secretly owes 55k in credit card debt and 18k in back taxes."
"That girl you think has it all? She has 18 credit cards in her wallet, owes 5k on each and 25k on the plastic surgery she's currently financing."
These are all VERY true and VERY real stories that aren't making headlines, but should. Here's why.... There's a big, horrible, untrue rumor going around. It's nasty and so ridiculous but somewhere, someplace, someone said it was true and everyone decided to belive it without question. The rumor? … "You can't be happy or financially independant unless you make a butt load of money."
Let me repeat.... "The banks, credit card companies and companies who make a butt loads of money off YOU want you to believe that you can't be happy or considered financially successful unless you pay them a butt load of money in interest each month." Oops... Did I say that wrong? :)
Here's the truth....
It doesn't matter what you make and here's why. If you're reading this article, that means you own a computer or likely a $600 phone. Let me repeat that, your phone, is $600. You ARE NOT poor. Sorry.
If you can afford luxuries like laptops, expensive phones, a car, a closet full of clothes, etc., you already have more money than 90% of the world.
The average salary in the US is 45k. The average salary in the world is 18k. But I digress....
The reason WHY it doesn't matter what you make is because is really about your RELATIONSHIP with money.
Do you respect your money?
Or spend like there’s no tomorrow?
Do you swipe that card without knowing your balances? Or, do you know exactly where each dollar goes? Do you religiously save a certain percentage of your income? Do you feel guilty talking about money because you wish you were saving more. Or, does learning about money and talking about money make you feel good and empowered? Do you like to pretend it doesn't matter as long your checks don’t bounce ‘cause who cares about tomorrow!!! Let's go shopping, eating. drinking… must MEDICATE myself!?
There are a thousand different ways to interact with your money but for simplicity it boils down to 2 main schools of thought:
1 - Money is a powerful TOOL which deserves attention, respect and should be conserved.
2 - Who cares?
If you understand and respect the power of money and understand the importance of saving it, money will serve you. Your bank account will (and currently does) reflect your values and habits. It reflects your ability to delay gratification for the important things in life, it reflects how strategic you are, it blattenly shows exactly how much (or how little) you truly value money.
This is true if you make 10k, 50k, 100k or 100-million-bazillion, okay?
Is there anything wrong with wanting more and working for it? Absoutley not!!!!! I am a huge fan of the side hustle (hence this blog) and I'm a huge fan of not letting my past dictate my future (world's hottest past mess here).
It also doens't matter if your current bank account is $5, $500 or -$50 right now.
The only thing that DOES matter is that stop blaming the world that you don't make more (& get on it!). And remember, if you're bad at managing 5k, you're going to be just as bad managing 5 million.
So, dive in, find your debt free and money minded community. Look for women on FIRE and empower yourself by taking a long hard emotional look at your bank account and ask yourself some hard questions about what your bank account balance really means.