New Topic

This is a new topic for me to post about here. I do not remember ever approaching 'finance' in a general way. Sure I post about budgeting for groceries and how to feed your face and still keep a rug under your feet, but I haven't really talked about how to establish a budget or how to deal with finances.

I get it that things are in turmoil right now with inflation, prices way up and trying to keep up with the rising rents.

So how does a person just starting out, get started?

That's a tough one in any era, but it seems a bit tougher right now. I am sure no expert but I can offer up an approach that may work for you, so there's my disclaimer and your fair warning.

If you have a place to live then you are way ahead of the ball game. Take that as a big win and count yourself among the fortunate.

The big thing that a person has to do in this era is establish credit. You will not be able to rent a place without credit. You will not be able to get a loan, or rent a car, or in some cases, even buy groceries. (Some outlets are actually not accepting cash any more).

Examples of places that do not accept cash:

Sports stadiums and arenas

Airlines and in-flight services (No you cannot book a flight with cash)

Starbucks, Sweetgreen, Shake Shack and other fast service outlets

Ride Shares

Food Delivery Services

Music Festivals and Concerts and Large Public Events

College campuses and Student Services

Toll Roads and Parking Garages

Some Public Transit systems

Any online purchasing (ANY)

And more, with many making this shift these days

Cash is quickly becoming obsolete. So this is a priority, obviously.

Save up some money and put that money down on a credit card where you bank. Don't have a bank yet? Then that's the first thing you need to do. Open a savings account and start putting whatever you can in it weekly. Once you have a couple hundred in that account then open a checking account. Put whatever you can in that account until you have a couple hundred in it and then request a 'debit card' that you can use at ATM's.

Yes, this is going to take you some time if you are just starting out but it is the best process. Once you have a Debit Card that automatically puts you in a position of establishing credit.

Do NOT use the Debit Card. Not yet. You are still working towards that Credit Card and you don't want to blow this whole thing out of the water by emptying out your checking account.

What's that you say? You don't have a source of income in order to start dumping money in accounts at any bank?

Then you need to get a job.

What can I say? That is your number one, first thing you must do. And that's not going to be that easy without credit. I know, it's a roundabout. But employers often will do credit checks as well as background checks and even social media checks.

You may have to accept a lower paying job, what they call a 'starter' job to get started. That's okay. We all have to start somewhere.

So that's my two cents (pun intended) on how to begin at the beginning. It's not an overnight system. Nope. Yet, it allows you to establish yourself financially without asking for money from anyone else, without having to borrow money, making you independent right from the start.

What’s the difference between a poorly dressed man on a unicycle and a well-dressed man on a bicycle?

Attire.