Personal Finance

Coronavirus + Money | How COVID-19 Has Affected Our Personal Finances

Hello friends,

I hope you are doing okay during these crazy times! Personally, I have been doing my best to stay sane and practise self-care while at home by doing more of the things I love: reading, writing, and taking online classes that excite me. (If you’re not from New Zealand, our country is currently in a 4 week lockdown, so everyone is staying at home, in our ‘bubbles’ – except for grocery shopping, essential services and enjoying local scenery).

Today, I want to share with you my thoughts & experiences on how COVID-19 has affected money and personal finances. I imagine that life looks very different for most of us at the moment, including how we handle our money and what our incomes & expenses look like. I hope this helps you if you’re looking for ideas – and the knowledge that you’re not alone.

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Budgeting, Money Mindset, Personal Finance

You Don’t Need to Be Rich to Be Financially Stable

Hello friends,

Today I’d love to share with you one of my biggest money beliefs: that you don’t need to be rich to be financially stable.

Shortly after deciding to write this, I realised that being ‘financially stable’ is a very personal thing, and means different things to different people. So I asked friends, both in person and on Instagram: what does being financially stable mean to you?

The answers I got were fascinating:

Whereas to the people I asked in person, it was more or less “Not living paycheck to paycheck.”

What’s my answer? For me, I would say that I feel financially stable now, but that I sure didn’t before. But whyWhat has changed? Personally, I still look forward to payday and save up for big wants & needs (eg. diligently saving 40% of my income for our wedding last year; saving up for a new car & laptop this year because they’re both old).

And it comes down to this: I don’t lose sleep over money. When it comes to finances, I’m grateful to have peace of mind and not to worry much. Of course, it’s not that I can afford anything my heart desires, but that if something comes up – a goal, a dream, a passion I want to pursue – I feel confident knowing that it is achievable. 

So what makes me feel financially stable now? If my definition is not losing sleep over money, what has changed to allow me not to worry and stress about it anymore? After all, I’ve had my financial ups and downs. Working 3 jobs at 21? Up. Moving to a new city on my own? Down. Landing my first corporate job? Up. Quitting a toxic job and spending the next year restoring my mental health and doing volunteer work? Down.

Here’s why I believe that you can achieve financial stability, whether or not you consider yourself ‘rich’:

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Budgeting, Money Mindset, Personal Finance

My 2020 Personal Finance Goals | Savings, Debt, Travel

Hello friends, and Happy New Year!

I hope you had a wonderful and relaxing Christmas & New Year’s break. I spent a lot of mine getting reflective for 2020 – a fresh new year and new decade. What an amazing 10 years it’s been, personally, spiritually, and financially! Here are some of the experiences the last decade has brought me:

Graduating from university, moving to a new city and back, travelling + travelling solo, buying my first car (and only car to date), buying a house, working many jobs including those in insurance, tax & banking, creating extra income from side hustles, saving for a wedding, and of course, transforming my money mindset!

What are your favourite milestones from the last 10 years? I highly recommend writing a reverse bucket list – it’s perfect for celebrating all the amazing things you’ve achieved and experienced, while setting your intentions for the future.

Today, I’d like to share with you my 2020 money goals, and the checklist I created to make sure I was starting the new year right. From credit card debt to savings & investments, managing my income to funding my aspirations, I hope you’ll find some inspiration for your 2020 personal finances too!

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Budgeting, Lifestyle, Money Mindset, Personal Finance

When Shit Happens

A few weeks ago, my colleague & friend Lucius asked me, “Hey Sophia, you know your personal finance blog.. What about when shit happens?”

My response: “When shit happens? Do you mean like having money for an emergency fund?” He said yes.

So I told him I’d thought about writing about this, and the times I’d had to use mine (a brief period of unemployment, taking my car to get fixed at the expensive Mini Garage, etc). However, I was currently in a strange position as I had a large emergency fund that I was planning to use as my soon-to-be wedding fund and therefore, may soon need to start fresh. I offered, “You’re welcome to write a guest blog if you like!”

So here is the result, my friends. Please note that we have different opinions on our job, where I get to round out my financial experience in insurance, banking and tax; where we work in a tall building in my favourite suburb overlooking the Sky Tower & city skyline on one side and the majestic Mt Rangitoto & ocean on the other; where the pay is average but having a few other income streams makes it manageable; and where the job itself can be challenging (also, but less often, rewarding) but our team is amazing to work with. That being said, his thoughts are also completely true, valid, and hilarious. Enough of my rambling – enjoy!

Hello to all of Sophia’s readers. As you all might have guessed I have the fortunate “privilege” of working in a dead-end, shitty job wishing that some random shitstain would just throw you off the top floor of the excrement filled building… Motherfucker! A call centre job is not only career suicide, it presents you with constant and elevated stress due to dealing with the very dregs of society, being monitored like criminals by management, and more importantly, shit-all pay. With the cost of living only going up and the value of the dollar diminishing every year; our standard of living has been worse than it’s ever been.

Being more tight-fisted, finances has become a certain necessity for some and a daily struggle for many. Indulging in luxuries once in a blue moon could shove you into paupacy for a few weeks, while a catastrophic event like a car crash or medical condition could tumble you headfirst into financial ruin… And this is exactly why Sophia has invited me to be a guest blogger: to tell you how to prepare when the metaphorical shit/excrement/faeces/turd hits the fan.

Accidents happen, life is shit and shit happens; moral of the story is shit! Personally, when shit happens to me, it happens all at once. Not only did I crash my vehicle (my fault), the garage door malfunctioned, vehicle tyres needed urgent replacing and I had already pre-ordered re-enactment equipment that needed to be paid off that week. Fortunately, I was able to and am still able to pay these off and multiple times over should I need to. You can budget wisely and save to prematurely prepare for said unforeseeable event(s) that would put many ordinary civilians into crippling debt. I call it: managing micro-transactions.

Sun Tzu (shitstain) once said that the leadership of many is the same as leadership of a few; it is only a matter of organisation. Believe it or not, the management of micro-transactions can make the difference between having a safety net to fall back on or hanging yourself with your neighbour’s extension cord that you had to “borrow” due to financial depression. Saving a small sum on hundreds of small transactions can be much more effective than saving on big ones; the key point is to live within your means. I’m not here to tell you about how to manage your fixed costs, but to educate you wretched shits by how you can save over the long term by breakdown down your variable costs. Let me give you a few examples:

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Budgeting, Lifestyle, Personal Finance, Wedding

Creating Our Dream Wedding | Chapter 1

 

Hi friends,

WELCOME TO CHAPTER ONE OF MY BLOG’S WEDDING SERIES!

It sounds fancy and official, but really, it’s a practical and sentimental record of our wedding planning journey – a diary to share my inspirations, reflect on in the future with sweet nostalgia, and of course, keep ourselves mindful with money. I’m excited to share with you every part of this journey – of creating our dream wedding that will be both magical and money-conscious.

This month, we:

  • went to a gorgeous wedding open day
  • started making a financial plan for funding our big day
  • started requesting quotes on florals, lighting, photography & more
  • booked our wedding venue!

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Budgeting, Money Mindset, Personal Finance

How I Save Money on an Inconsistent Income

Hi friends,

Today I’d like to share with you how I save money on an inconsistent income. Just a few years ago, I’d rely on $1400 to hit my bank account every fortnight – and it did, each and every fortnight without fail. Even then, my income regularly fluctuated because I volunteered for so much overtime and, twice a year, received a performance bonus – but it was positively inconsistent in that I could always rely on at least that amount or more. It was blissfully easy to budget.

Fast forward to 2019, and I’m sure those of you who are freelancers, self-employed, contractors, or run a side business can relate to earning a wildly inconsistent income. It started in 2018, when I had six sources of income, one of them being a part-time job that would give me 21 hours one week, 4 hours the next; another being photography, where one month I’d shoot two events and others where I’d shoot none.

Here’s a snapshot of my income now:

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Budgeting, Personal Finance

How I Saved $232 a Month While Looking for a Job | One Year Update

Hi friends,

A year ago, I wrote a blog called ‘How I Saved $232 a Month While Looking for a Job. It was well received, and I was especially delighted to hear from others who could relate to my situation of saving money through big life changes (whether or not they were job related)!

The six expenses I cut or reduced were:

  • Spotify Premium
  • LinkedIn Premium
  • Mobile phone data
  • My gym membership
  • Office 365
  • My mortgage payments

Of these I have four updates to share, so today I’d like to share with you how I’m doing one year on.

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Budgeting, Money Mindset, Personal Finance

How I Saved $232 a Month While Looking for a Job

Hi friends,

Today I wanted to share with you how I reduced my monthly expenses, and talk about whether I’ve noticed much difference in my life. I’d like to thank a brief period of unemployment that motivated me to make these positive changes, some of which were only temporary – if it weren’t for my need to reduce expenses, I might’ve never truly evaluated where my money was going, and what was important to me.

Here’s exactly what I cut back on..

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