How to waste your twenties

One of my friends recently shared a great TED Talk on Facebook titled “20 is not the new 30″. I was immediately interested. First, because I have that natural desire to see how I measure up on the list of what I’m supposed to be doing, and second, because no matter how many years pass, I’m still not really sure what’s on that list in the first place. While this clip doesn’t have all the answers, I do think it’s a great piece to encourage you to capitalize on your youth by investing in your twenty-something years.

Thankfully, after watching the video, I didn’t feel off track or like I was postponing life to begin in my thirties. While I don’t think I’ll ever say I escaped my 20s completely unscathed, I do feel I put the necessary effort into everything early in the game, and now the last 3 years of this decade are about keeping things on course. Finishing my education, taking care of my finances, and investing in my personal relationships has put me in a great place (in my opinion) and while I am deeply entrenched in the race against myself for professional and personal success, I also feel deeply grateful for and reassured by everything I’ve received and accomplished so far.

In other words, I feel successful because I don’t look back at my twenties and ask “what was I thinking?” or “what was I doing?” — but I know a number of my peers that do. This is what they did wrong:

1. Unnecessarily drag out your education. Students that repeatedly change their major, flunk out of programs, reduce their course load, or go back for extraneous degrees are wasting their time and money. Every year you delay entering the workforce, is a year you lose a full-time salary. Think it’s rough paying tuition? Add the cost of lost income. The title of “professional student” is amusing, but its damage is serious. Figure out what you want and go for it, don’t hang around trying things out and hoping everything will eventually take care of itself — it won’t, and all you’ll have to show for it is a shoddy transcript, a massive student debt, and a few crucial irretrievable years.

2. Procrastinate developing good habits. I had rude lifestyle awakening a few weeks ago when I was making yet another joke about my unwillingness to exercise, emphasizing that if I’m still slipping into a size small, what motivation do I have workout? My friend pointed out that while I might be able to ride on good genetics and a youthful metabolism for a few more years, failure to establish the habit now would make it that much more difficult when I actually need to cash in on the benefits later. That really struck me, and if you follow me on twitter you know I’m now running 10-15km per week like a champ. Developing good habits in your twenties so they stick with you later is true for every area of your life. Now is your chance to get into good habits of how you manage your money, how you maintain your home, how you interact with people, and how you treat your body. It’s never too late to start taking care of your life, but sooner is better than later.

3. Be lazy. The number one way to lose a decade is to not be bothered to seize obvious and some not-so obvious opportunities that the Universe will lay at your feet. In my opinion, NOTHING will hurt you more than long stretches of nothing (no school, no employment, no volunteering) or doing the absolutely minimum to get by. Figuring out the least amount of effort you need to put in to not get fired from a job is NOT a worthwhile endeavour, but as you go through your career, you’ll find it’s a common workplace strategy. I would also encourage you not to be lazy in your personal relationships. Make a concerted regular effort to support your partner, nourish your friendships, and show love to your family. Your main goal should always be to cultivate a reputation of being an industrious, competent employee and a reliable, loving friend or family member.

What are YOUR tips not to waste the “defining decade” of your life?

Cheating Your Finances: the morality of marriage & money

I am a regular reader of the MoneySense website and it is a vast resource of financial information. I was browsing through the website recently and found an answer to a reader-submitted question that irked me. The question is part of a series entitled ‘Awkward Questions’, and awkward doesn’t begin to describe it. Here is the question taken from the MoneySense article:

“There’s a woman I’m very close to and I’d like to make sure she’s taken care of financially after my death. How can I discreetly set aside money without my wife knowing?”

HOekr

Call me old-fashioned but I found the selection of this question in poor taste. We are all aware that extra-marital affairs unfortunately happen all of the time. But instead of suggesting not to give the mistress money or to come clean about the affair, the author Larry MacDonald advises the reader on how to set up a secret trust or to ask a friend to secretly give the funds to the mistress.

A child deserves financial support from his or her parents. If a secret child resulted from an affair, coming clean to one’s spouse is the only viable option. Yes, you may lose your spouse. That is the risk that you sign up for when you make the conscious decision to cheat.

Some may not want to come clean about an affair of the past because it will only hurt their partner. The man in question is looking to take away money that should go to his wife. When you are secretly attempting to affect your spouse’s livelihood after your death, that is  a big problem.  It would be slightly less slimy if both partners earned incomes and kept finances separate, but more often than not finances are shared between partners. This means that while you could have been spending the winters of the rest of your life solo in a condo on the beach in Florida, your husband has been discreetly siphoning part of your nest egg into a secret account for his other woman, limiting your financial freedom. If my future husband pulls this sort of thing and I find out, it will be wise for him to hop on the first flight to China and sleep the rest of his days with one eye open and a bat beside the bed.

Here’s the thing. If you are going to cheat on your partner, you should not give the other man or woman money. If you have a secret love child, it’s time to own up to your actions and take care of the life you brought into this world openly. And if someone asks you for advice, take a minute to think of a few suggestions that go beyond assisting a cheater to sneak finances around behind his partner’s back.

My Employer Is Making Cuts

The Premier of Alberta recently pissed everyone off by proposing cuts to education. This includes funding cuts to public universities, which means my employer which is now facing a $150 million dollar shortfall. 

Bummer.

How this will affect things, including my job, remains to be seen. At this point, students and staff are protesting on the Alberta Legislature grounds on a regular basis, so it’s possible with enough outcry the budget will be adjusted, but personally I’m not super optimistic.

I will save my rant about the value of education and the purpose of universities to educate the populace for another time.

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Rest assured I hold both common and controversial views on the purpose and effectiveness of the Canadian and provincial university system (and culture) that I am always eager to discuss at length, but I recognize that maybe not all my readers care to hear me wane philosophical about education.

Naturally, what I’m most concerned with is how these budget cuts will affect ME.

It’s possible, though unlikely, that I could be laid off. Whether or not I’m taking this possibility seriously enough remains to be seen, but I have considered foregoing additional debt repayments in order to bolster my emergency fund. With so little left to go, slowing down now totally sucks — but is being unemployed with debt worse? I’ve gone ahead and updated my resume, but I’m not looking for jobs. I don’t think losing my job is a likely scenario, so I’m being careful to err on the side of “prepared” rather than “panicked”.

What has already been cut is travel. Every six months, I travel to Vancouver for a few days of work. I usually take this opportunity to tack on a few vacation days to enjoy one of my favorite cities in Canada. A weekend in May in Vancouver is always on the schedule, but when I hadn’t heard anything about it by the end of April I knew the worst was true: it’s not happening this year. I’m on the verge of tears just thinking about how I’m not at Acme Cafe as we speak. I’ve been on one work trip to Calgary this year, but how many more times I’ll head south is unknown, and whether or not I get Toronto and/or Vancouver in the Fall is also uncertain.

Travel was one of my most favorite parts of my job! I was racking up WestJet dollars, hotel points, and premium car rental memberships like nobody’s business. I’ve logged so many hours at the airport, it just feels like a big bus terminal to me. TRAVEL IS WHY I LIVE.

So while I’m really sad one of the best part of my jobs is being axed, I understand I was really privileged to have it in the first place. I had a really awesome time on all my work trips — it often didn’t feel like work! Ok, that’s a lie, there were some snowy days in Calgary that I wished to be anywhere else… but for the most part, traveling for work was nothing but fun. That said, I also understand that traveling for work encouraged me to spend more money than I would otherwise. By adding vacation days to my work trips, I had to pay for those expenses: hotels, dinners out, differences in cost for changing my flights, etc. Hundreds, possibly thousands of dollars more just because I had the opportunity to spend.

Maybe I should adopt the perspective that, as my employer tries to save money, I will be forced to save money?

In any case, you can see that I’m dealing with some uncertainty and challenging circumstances right now — which yes, has been the secret source of stress over the past 8 weeks that I’ve tweeted ambiguously about (5927529742 apologies to everyone I ignored emails from, deadlines I missed, and whatever else. I sucked at a lot of things lately, and this is why). I’m not super keen on job hunting and bolstering my emergency fund, while trying to save up money to buy furniture AND still hoping extra dollars fall out of the sky to pay off the remainder of my student loans.

Life! It gets so tricky sometimes.

SOLD: 2 tickets to Taylor Swift June 14th, 2013 at Rogers Centre

As some of you may know, I booked too many things and had to choose between attending two concerts in Toronto next month. I made my choice, booked my flights, and consequently now have…

FOR SALE

TWO tickets to Taylor Swift at Rogers Centre June 14th

SOLD. The blog saves my butt again.

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Special thanks to a lucky reader that put $250 back into my pocket and scored 100-level seats to Taylor Swift’s sold-out show at Rogers Centre June 14th.

Yes, I’m super bummed I’m missing TSwift in concert the second time running, but we all know my music life peaked when I was front-row for Maroon 5, so I’m handling it with grace.

 

Wanna save money? Get married young!

Truth time: 80% of the reason I decided to write this article is because I knew Bridget would go into stat overload when she saw it. I know, I know. There is a 50% divorce rate, that percentage increases for younger couples, yadda yadda yadda.

(Bridget: ….. lol, Erin.)

In my introduction post, one reader pointed out that I am the youngest writer on the site but the only one that is married. While more of my peers are getting engaged and married now, it was not normal when I got married at the tender age of 20. From a purely statistical standpoint, getting married at such a young age is a terrible idea. (Right, Bridget?) However, it does come with some serious financial benefits.*

- Financial aid. If your parents make a decent income but aren’t helping you with tuition, you get screwed over in financial aid. I didn’t have an issue getting loans (evidenced by the $40,000 of student loan debt I managed to accumulate), but grants were much harder to come by. As soon as I got married, financial aid was based solely upon mine and my husband’s income. Two college kids aren’t really flush with cash so I started getting the maximum amount of grants. If only I didn’t take out additional student loans to pay for…whatever the hell I blew them on.

- Double the (meager) income. College students do not make anything much. But when you go from one meager income paying for your crap apartment to two meager incomes paying for your crap apartment, it really does make a difference. Same goes for utilities, cable, Internet, what have you. Aren’t roommates the same thing? No, because unless you are super close you will need extra space, i.e. a second bedroom. Which costs extra money. Also, they get mad when you eat their food. I prefer the “what’s yours is mine” relationship that can typically only be found in committed relationships.

- Taxation. When you are making the salary of one adult combined but claiming the exemptions of two, your tax liability is slim to none. It’s beautiful. While popping out children young can also be beneficial for tax purposes, I don’t recommend this as a way to save money (to the dismay of my mother and MIL). I’m not sure if you know this, but the cost of a child actually outweighs the $3,800 exemption. I’m pretty sure that only pays for like three weeks of diapers…

So that’s my financial advice for the day to you young college students. Just get married!**

Did you get married young? Do you have any additional financial benefits to share? Everyone else: share your favorite “raining on someone else’s parade” statistic!

*I am well aware that marrying young can come with a host of downsides as well, many of which are financial. But in a world of hyper-responsible PFers, I wanted to offer the rebel perspective. Because let’s be honest, we aren’t always going to make our decisions based on statistics and plenty of us “irresponsible youngins” turn out just fine.

**Please do not get married young just because you want to reap the financial benefits or because I’m your idol and you want to be just like me. Marriage is kinda a big deal and should not be taken lightly. Unless you are a celebrity, in which case it’s not really a big deal. Go nuts.

Bridget: remember this:

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