Ok so money and management in the same sentence is not as appealing as maybe Manolo and Blahnik but its definitely just as important. For the longest time (college) I just went along blissfully ignorant as to what I was getting myself into as far as student loans, credit cards, and everything monetary. Yes, I used my banks online banking system to check my balances to make sure I never overdrafted ( one thing I can proudly say I've never done) but other then that I never really had a good picture of my finances. That is until Mint.com stepped into my life.
About a year ago when I started my quest for financial education I stumbled across an article about Mint on Kiplingers website. I had dabbled with Quicken and Microsoft Money in the past but unlike them, Mint is an amazing (and free!) money management site that's actually aesthetically pleasing. It gives you a real time look at your account balances (including credit cards, loans, and investment accounts), net worth, and even can compare your spending in different categories to mint users in different parts of the country and you don't have to manually enter a single transaction! The most important thing about Mint though was that it gave me a visual of what my spending really looked like (and it was ugly, like neon denim ugly).
Today while hitting all of my usual fashion and personal finance sites I stumbled upon Thrive. A site that is very similar to Mint but geared toward those just starting out. I love that it has the same user friendly interface, and it does all the work for me, but what I love even more is that unlike Mint, Thrive creates personal advice based off of your monthly transactions. You can even create goals to save for ( like a shopping trip, or a house) and it will tell you how much you need to save per month to hit that goal.
While I'm not certified to be doling out advise on either personal finance or fashion do two things for me tonight:
1. Sign up for one of these sites, I promise you will see the light after seeing all your money ( or debt) in one place.
2. Please do not buy neon denim, that is a trend that should be left to die in the 80's.
Sunday, January 25
Saturday, January 24
Saving by Spending
You hear this phrase a lot when reading personal finance articles, usually in conjunction to making some kind of initial investment in the hopes of being paid dividends off of it in the future. On Ramet Sethi's blog "I Will Teach You To Be Rich" he uses it in one post to describe investing in a personal finance book, to help you save money down the road. As a poor girl I personally didn't care for the phrase since I really had no applicable use for it, that is until yesterday.
Yesterday while I was on my hour lunch I was idly wandering around Target when I ended up in the accessory section. More specifically in front of a wall of wallets. I had been contemplating buying a new wallet for a couple weeks now but could not really justify it beyond "I just want one". However, it only took one look for me to fall in love with a purple clutch wallet. I personally have a weakness for wallets, or possibly I'm just fickle, but I tend to buy a wallet and run it into the ground for 5 or 6 months and then buy a new one. So as I sat there contemplating the purchase I started to think about the concept "Saving by Spending". Considering my nature it made perfect sense for me to buy the $10 wallet from target and get my money out of it for the next 6 months and then trade up when I was sick of it. While I would love to have the $100 or $200 genuine leather wallet from Coach or Burberry or L.A.M.B what was the point of spending all that money for something I wouldn't use after 6 months. With that kind of money I could buy 10 wallets! That would last me 3-5 years (depending on the severity of my fickleness).
Eureka! Saving by Spending!
On the flip side, as I took a gander at the sunglasses I knew I was on the opposite side of the spectrum for this accessory. I stick by my sunglasses until death do us part so I confidently continued past them knowing that my Chanel's would serve me well for the next couple years.
I left yesterday enlightened, and with the $15 old Loo Loo would have spent on the sunglasses too still in my pocket.
Yesterday while I was on my hour lunch I was idly wandering around Target when I ended up in the accessory section. More specifically in front of a wall of wallets. I had been contemplating buying a new wallet for a couple weeks now but could not really justify it beyond "I just want one". However, it only took one look for me to fall in love with a purple clutch wallet. I personally have a weakness for wallets, or possibly I'm just fickle, but I tend to buy a wallet and run it into the ground for 5 or 6 months and then buy a new one. So as I sat there contemplating the purchase I started to think about the concept "Saving by Spending". Considering my nature it made perfect sense for me to buy the $10 wallet from target and get my money out of it for the next 6 months and then trade up when I was sick of it. While I would love to have the $100 or $200 genuine leather wallet from Coach or Burberry or L.A.M.B what was the point of spending all that money for something I wouldn't use after 6 months. With that kind of money I could buy 10 wallets! That would last me 3-5 years (depending on the severity of my fickleness).
Eureka! Saving by Spending!
On the flip side, as I took a gander at the sunglasses I knew I was on the opposite side of the spectrum for this accessory. I stick by my sunglasses until death do us part so I confidently continued past them knowing that my Chanel's would serve me well for the next couple years.
I left yesterday enlightened, and with the $15 old Loo Loo would have spent on the sunglasses too still in my pocket.
Wednesday, January 14
Spend vs. Save
Spend: Calvin Klein Seductive Comfort T-shirt Bra
Seen On: BareNesessities.com
List Price: $44.00 (I scored it for about 28.00 on a special promotion)
Why this Bra?
Its amazing. (period)
Ok, so you need a better reason? How about, its comfortable, needs little adjusting, and wears flawlessly under everything, even a t-shirt. (yeah, I said it.)
Save your money on: Victoria Secret Biofit Uplift Bra
Seen on: VictoriaSecret. com
List Price: $45, $48 for D+
Why not?
Don't get me wrong, I love Victoria's Secret. But to be completely honest, their bras just aren't that great. Its been a long hard road to admitting that, but this bra just does not cut it for me. Granted, I'm in the $48 range so that might be part of the problem, but the days I wear this bra I feel uncomfortable and self conscious. Who has time for that?
Seen On: BareNesessities.com
List Price: $44.00 (I scored it for about 28.00 on a special promotion)
Why this Bra?
Its amazing. (period)
Ok, so you need a better reason? How about, its comfortable, needs little adjusting, and wears flawlessly under everything, even a t-shirt. (yeah, I said it.)
Save your money on: Victoria Secret Biofit Uplift Bra
Seen on: VictoriaSecret. com
List Price: $45, $48 for D+
Why not?
Don't get me wrong, I love Victoria's Secret. But to be completely honest, their bras just aren't that great. Its been a long hard road to admitting that, but this bra just does not cut it for me. Granted, I'm in the $48 range so that might be part of the problem, but the days I wear this bra I feel uncomfortable and self conscious. Who has time for that?
why store credit isn't worth the perks
I know, I can't believe what I'm saying either. Personally I have a wallet full of store credit cards that have been gathering dust for the last year, well except for the Gap one, but that is now in the protective custody of my SSBF (for newcomers, my super saving boyfriend). For years I was a staunch supporter of store credit, mostly for the perks. I was deluded by visions of free shipping and $10 off (after spending $500). I realized the error of my ways after a short, yet profound conversation with my SSBF. It went something like this:
Loo: "Let's stop at that shopping center, it has a Dick's (I had a giftcard) and an Old Navy. "
SSBF: "You don't have any money to buy anything."
Loo: " I have a giftcard! And if I spend just $31 on my gapcard I can keep my silver status, and we can get free shipping!"
I don't really remember his response, most likely laughter, but he continued to drive right past the shops. Honestly it was the best thing he could have ever done for me.
Now let me first give store credit the benefit of the doubt, since it did used to be one of my best friends. Its great in the event of a big purchase if they are offer no interest for some odd months. However you have to make sure you can pay it off before the grace period is over, because if not they will hit you with all the deferred finance charges, rendering the great deal useless. Otherwise, it leads us to the point of my post: why store credit isn't worth the perks.
Reason #1: The Interest is Sky High.
The average interest rate on my store cards is hovering right around the 20% mark. So let's think about this. I'm prone to carrying a balance, so if I buy a sweater that marked 20% off but let it sit as a balance on my card (with all the other clothes I bought that day) I'm technically paying full price, maybe more, for it on the back end. Burn. I always thought I was a smart girl, but that doesn't sound so smart at all.
Reason #2: It Cramps Your Style.
Something I noticed while I was cleaning out my closet was the amount of clothes I had from the stores who's cards I held in my wallet. I don't think its a bad thing to have stores you prefer. I do think its a bad thing when they become your end all be all. You don't even realize what you are missing out on when you limit your sights to the stores you have credit for. You also tend to binge more in those stores (on things you probably don't need) .
So whichever store card is your vice, I recommend you ditch it. Those perks they are giving you, you probably already paid for, twice.
Loo: "Let's stop at that shopping center, it has a Dick's (I had a giftcard) and an Old Navy. "
SSBF: "You don't have any money to buy anything."
Loo: " I have a giftcard! And if I spend just $31 on my gapcard I can keep my silver status, and we can get free shipping!"
I don't really remember his response, most likely laughter, but he continued to drive right past the shops. Honestly it was the best thing he could have ever done for me.
Now let me first give store credit the benefit of the doubt, since it did used to be one of my best friends. Its great in the event of a big purchase if they are offer no interest for some odd months. However you have to make sure you can pay it off before the grace period is over, because if not they will hit you with all the deferred finance charges, rendering the great deal useless. Otherwise, it leads us to the point of my post: why store credit isn't worth the perks.
Reason #1: The Interest is Sky High.
The average interest rate on my store cards is hovering right around the 20% mark. So let's think about this. I'm prone to carrying a balance, so if I buy a sweater that marked 20% off but let it sit as a balance on my card (with all the other clothes I bought that day) I'm technically paying full price, maybe more, for it on the back end. Burn. I always thought I was a smart girl, but that doesn't sound so smart at all.
Reason #2: It Cramps Your Style.
Something I noticed while I was cleaning out my closet was the amount of clothes I had from the stores who's cards I held in my wallet. I don't think its a bad thing to have stores you prefer. I do think its a bad thing when they become your end all be all. You don't even realize what you are missing out on when you limit your sights to the stores you have credit for. You also tend to binge more in those stores (on things you probably don't need) .
So whichever store card is your vice, I recommend you ditch it. Those perks they are giving you, you probably already paid for, twice.
Saturday, January 10
back to basics
So let's talk about our first strategy to dressing rich: getting back to basics. Its not so much about the stylist prescribed things you should have in your closet, but more so the pieces that make up your day-to-day wardrobe.
For example, I'm a fairly simple girl. I like to keep my clothes basic and add interest with textures, shoes, and accessories. Same goes with my make-up routine and nails. I usually use a light foundation, some eyeliner, mascara, and a tinted gloss. I use a little eye shadow on occasion if I'm going out at night, or just to make my eyes pop. My nails are always just filed and buffed with a clear coat.
Sounds pretty simple to figure out right?
Then why when I sat down to clean out my closets I had about 15 bottles of nail polish and eye shadow pallets in every color known to man. Not to mention probably a dozen or so shirts in colors and prints I would never wear, and probably never had. All those things I had spent money on (and mostly likely paid interest) for them to sit in my closet and vanity to go unused and untouched. I wouldn't even want to put a dollar amount on the things I have thrown away/donated because I know it would just make me cringe. I didn't realize what my own style was because I was focused on what other people were wearing and doing, and thought I could make that work for me. I needed some serious change.
I read a personal finance book called "You're So Money: Live Rich Even When You're Not" by Farnoosh Tarobi. In it she talks about strategies for identifying what your "good life" is and achieving it on a limited budget. I loved the book and found that a lot of the concepts she wrote about could easily translate to my life and closet. The one that started my personal finance for your closet crusade is knowing what makes up your "good life" or in this case, your "good closet". For me, it is a good pair (or 2) of dark wash boot cut jeans, some tanks for layering, long sleeve cotton and collared shirts, some nice trousers for work, some sweaters or sweatshirts to finish an outfit and of course lots of shoes. Most else I can take or leave. Those are my basics. While I have a few skirts and dresses for special occasions I'm not going to waste my money (anymore) on buying up every skirt out there because chances are I'll rarely wear them.
So take ownership of your style, and figure out what your "good closet" is.
For example, I'm a fairly simple girl. I like to keep my clothes basic and add interest with textures, shoes, and accessories. Same goes with my make-up routine and nails. I usually use a light foundation, some eyeliner, mascara, and a tinted gloss. I use a little eye shadow on occasion if I'm going out at night, or just to make my eyes pop. My nails are always just filed and buffed with a clear coat.
Sounds pretty simple to figure out right?
Then why when I sat down to clean out my closets I had about 15 bottles of nail polish and eye shadow pallets in every color known to man. Not to mention probably a dozen or so shirts in colors and prints I would never wear, and probably never had. All those things I had spent money on (and mostly likely paid interest) for them to sit in my closet and vanity to go unused and untouched. I wouldn't even want to put a dollar amount on the things I have thrown away/donated because I know it would just make me cringe. I didn't realize what my own style was because I was focused on what other people were wearing and doing, and thought I could make that work for me. I needed some serious change.
I read a personal finance book called "You're So Money: Live Rich Even When You're Not" by Farnoosh Tarobi. In it she talks about strategies for identifying what your "good life" is and achieving it on a limited budget. I loved the book and found that a lot of the concepts she wrote about could easily translate to my life and closet. The one that started my personal finance for your closet crusade is knowing what makes up your "good life" or in this case, your "good closet". For me, it is a good pair (or 2) of dark wash boot cut jeans, some tanks for layering, long sleeve cotton and collared shirts, some nice trousers for work, some sweaters or sweatshirts to finish an outfit and of course lots of shoes. Most else I can take or leave. Those are my basics. While I have a few skirts and dresses for special occasions I'm not going to waste my money (anymore) on buying up every skirt out there because chances are I'll rarely wear them.
So take ownership of your style, and figure out what your "good closet" is.
Welcome! I'm Grace
I live near Baltimore Maryland with my Super-Saving Fiance (I call him SSF for short) and our 3 fashion cats: Dolce, Gabanna, and Chloe.
I love clothes, DIY projects, and most days my job.
I hate debt.
You see, thanks to reckless spending in my college years, I just recently paid off a heap or credit card debt and that was only half the battle. Now I'm fighting the good fight against student loans.
As a result, Money Smart Fashion isn't just a blog... it's a way of life.
I've committed myself to a life of frugal living and conscious spending, no matter how much I want these boots. You will find that I write about a lot of different things. To make it easy on everyone I've started categorizing my posts under 5 labels.
(Money) Smart Fashion: Outfit posts, DIY's related to clothing and accessories, and inspired by posts.
(Money) Smart Living: Saving money, budgeting, personal development, and any sage financial advice I can offer.
(Money) Smart Eating: Recipes, couponing tips, and other things food related.
(Money) Smart Doing: Travel, events, get togethers, you know, the fun stuff.
(Money) Smart Home: Home decor, DIY's related to the home, and maybe some stuff about cats.
So I hope now that you are here, you stay awhile.
I live near Baltimore Maryland with my Super-Saving Fiance (I call him SSF for short) and our 3 fashion cats: Dolce, Gabanna, and Chloe.
I love clothes, DIY projects, and most days my job.
I hate debt.
You see, thanks to reckless spending in my college years, I just recently paid off a heap or credit card debt and that was only half the battle. Now I'm fighting the good fight against student loans.
As a result, Money Smart Fashion isn't just a blog... it's a way of life.
I've committed myself to a life of frugal living and conscious spending, no matter how much I want these boots. You will find that I write about a lot of different things. To make it easy on everyone I've started categorizing my posts under 5 labels.
(Money) Smart Fashion: Outfit posts, DIY's related to clothing and accessories, and inspired by posts.
(Money) Smart Living: Saving money, budgeting, personal development, and any sage financial advice I can offer.
(Money) Smart Eating: Recipes, couponing tips, and other things food related.
(Money) Smart Doing: Travel, events, get togethers, you know, the fun stuff.
(Money) Smart Home: Home decor, DIY's related to the home, and maybe some stuff about cats.
So I hope now that you are here, you stay awhile.
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