Young, Fabulous And Broke!

Personal Finance

Young, Fabulous And Broke!

24th December 2007

'Tis the season to be jolly! But then again after the festive season hype is over and the dust settles most people will find themselves in quite a sticky situation in terms of their finances. I have observed over the years from friends and colleagues, every Christmas they shop till they drop and come January it's a very hard month on the pocket. They are broke and this is a trend or rather cycle, year in and year out.

Personal Finance Why does this happen? Firstly in my opinion it is a lack of planning. We are so busy working to pay bills and make ends meet all through the year that year end sort of creeps up and before we know it, it's Christmas time and ofcourse you need to buy gifts and so it'll be back to financial battles again right from the beginning of the year in the next year.

Financial problems sort of roll-over from the previous year and this is where most of us are losing the battle in getting a grip on our personal finances. You need to start structuring your personal finance life carefully. If you have not put away some money for Christmas shopping during the year, then don't buy gifts!

So many young Americans are caught up in this vicious circle and all it does is strain your personal finance life and your health eventually. Start taking control of your financial situation by simply prioritizing and start budgeting.

I know it's easier said than done but there is a reason that we budget. This is to help us know how much we have to pay for our expenses, how much will be left over and how much we can use for savings etc. Stick to your budget and begin to focus your energies on reducing your expenses and getting rid of the habit of being broke all the time. I would recommend you read a book titled "Young, Fabulous and Broke" by financial guru Suze Orman. So spare at most $11.00 and start changing the future of your personal finance in 2008. Merry Christmas!!

"Don't be too busy earning a living to make any money. " - Joe Karbo

Comments (11):

Jane Says: That's me Kev. Christmas just crept up on me this year and it wasn't a very good year for my personal finances either | 12.24.2007 |

Bruce Says: My finances were not that great this year either but the kids have got to have something for Christmas and that I can't say no to | 12.24.2007 |

Phil Says: I hear what you are saying Bruce but I'd rather let the children understand that this year there are no Christmas gift. It's hard to explain especially to a four year old but it's the only way | 12.24.2007 |

Graham Says: Love the book, read it and would recommend it | 12.24.2007 |

Chris Says: The issue of having financial blues in January following the holidays is not only for the young but also people of age, my colleague is clocking 60 and he says most of his peers have the same problem too and they are not young either | 12.24.2007 |

Emily Says: The fact that this happens is testimony that millions of Americans are financially illiterate and something drastic needs to be done | 12.24.2007 |

Sophia Says: Even I am guilty of the overspending at Christmas trap. I've promised myself that in 2008 however I will rectify the problem | 12.24.2007 |

Dave Says: Interesting topic Kev. I used to be guilty but then it got to a point where I told family there would be no gifts and I sorted out my mess | 12.24.2007 |

Keagan Says: It is a question of knowing priorities and planning in advance, there's no reason why the festive season should be any different from a birthday for example when it comes to spending | 12.24.2007 |

Brian Says: A food for thought topic. Nice one Kev | 12.24.2007 |

Vic Says: It's about financial maturity, one can't know there is a problem until they realize and accept that there is one, that's the only way to solve the overspending that goes on during the festive season | 12.24.2007 |

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Young, Fabulous And Broke!

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