An Interview with Amanda of the Young and Broke Blog

This is the 2nd of a series of interviews HelpYourMoney.com is doing of other personal finance bloggers.

An Interview with Amanda of the Young and Broke Blog:

1. First, can you please introduce yourself and tell us why your started your personal finance blog?

My name is Amanda Gleason and I write Young and Broke (http://youngandbroke.typepad.com). I am 24 years old, married, living in downtown Chicago and working for a financial services firm.

I started Young and Broke because I noticed not only a lack of knowledge regarding personal finance amongst my peers, but a lack of interest in the subject as well. I feel that our society doesn’t really teach our youth about good money practices, and so many people find themselves graduating from college with mounds of credit card debt and student loans, with no idea how to tackle these issues or start planning for the future.

The aim for my blog was to try to help educate young adults/recent grads on the fundamentals of personal finance (from 401(k)s to interest rates to budgeting to home buying, etc.) in a way that was interesting and accessible.

2. Do you feel you are on the right track to reaching your financial goals and what are they?

Yes - although, I have to keep reminding myself that I am still very young and that saving is a slow and steady process.

I started my 401 (k) as soon as I was employed post-college. I graduated with no student loans and no credit card debt, so that helped me off to a good start. I worked throughout my last two years in college and opened up a savings account at that time, so I even had a nice little cushion to help me place a deposit down on my first apartment and get some furniture.

My biggest short-term financial goal at this point is saving up for a downpayment. I want to be able to put 20% on a place that my husband and I will want to keep for many years, and in downtown Chicago, that’s going to require a hefty sum. We’re both really driven to making it a reality, though, so I’m pretty confident we’re on track.

3. Do you work in the financial industry? If so, do you want to share where?

Yes - but I’d rather not publicize my place of employment.

4. If you had to recommend just one financial related book, what would it be?

I think the book that resonated the best with me is The Millionaire Next Door. I think it really puts everything into perspective about what real wealth is and how it is acquired.

5. If you had to recommend just one financial related magazine, what would it be?

It’s not strictly personal finance, but I would say Business Week. I get the most relevant information on current affairs in the world of business, which helps me as I research potential investments. Part of personal finance is staying up to speed with the world - it will help you organize your goals and learn about new products or services that might be useful for you.

6. If you had to recommend just one or two financial related websites (besides your own and that is not a blog), what would it be?

Investopedia.com - This is my favorite investing resource. They send out a great weekly newsletter with various articles and often at least one personal finance related section. They also have a stock simulator, which can be really useful for new investors to get a feel for the market and buying/selling stocks.

MSN Money Central - I think MSN has a great overall financial resource site. They have a wide range of articles and interesting tips.

7. What is one of the WORST financial related decisions you ever made?

Nothing too traumatic (yet!). However, I would say that I spent too much money when I first graduated and moved into my new apartment on things like furniture and new work clothes. I definately could have been economical, and there are some things that I look at now and wonder “why did I buy that”? It’s all a learning process though, I suppose.

8. What is one of the BEST financial related decisions you ever made?

Starting my contributions (of 8-10%) to my 401 (k) immediately after beginning my first job. It helped me realize how much I was capable of saving on my entry-level income and encouraged me to save more of my post-tax money. Sometimes, seeing money accumulate is the best incentive to saving more - it’s like a competition with yourself.

9. Do You Trade Individual Stocks and If so recommend your favorite 3 to 5 picks?

Yes - but very few, and I certainly don’t feel qualified to make any recommendations! I prefer index and mutual funds…

10. If you could give our readers just one financial related tip, what would it be?

Be frugal - don’t worry about all the things your neighbor or best friend may or may not have. They are most likely in debt up to their eyeballs. There are somethings worth your money (appreciating assets like real estate) and things that aren’t ($1,500 handbag). In the long run, you’ll thank yourself. Quality can be found for a discount.

11. Is there anything else you would like to share with our readers?

Save early & often and don’t forget to enjoy your life!

>> Visit Amanda’s Young and Broke Blog.