I’ve learned so much about money and financial discipline since I graduated from college. Along with advice from my parents, a lot of lessons came from trial and error and helped give me the financial toolkit I use today. I’m sharing these because, hopefully, any athlete reading this can learn from my choices and do better than I did. Below are eight money moves I wish I did differently.
8 Money Moves I Wish I Made Early
Choosing a high yield savings account. Graduating during the recession had a lot of people shaken up about the economy. I didn’t have a lot of money, but I do wish with the money I earned, I put it into a high yield savings account. A high yield savings account is the same as a savings account, but it pays you a much higher yield on your money. Even with fluctuating interest rates, I could’ve made more bang for my buck over a longer period of time.
Spending less on clothes and shoes. Luckily, this phase didn’t last long, but I learned quickly how fast my money would run out going on shopping sprees. I spent so much money buying new clothes for each season (summer, fall, winter and spring) vs. purchasing wardrobe staples that have lasted me years.
Contributing to retirement. I contribute to my retirement fund now, but during my first job I didn’t contribute at all. I don’t regret this as much because at the time I was making less than $30,000 a year, and living in the tri-state area on that salary was a challenge. After speaking with a financial advisor, I decided that my next job would be the best opportunity for me to contribute. A few months later I found a new job with a higher salary and started contributing to my retirement account.
Eating at home more. I didn’t realize how much more free time I’d have after graduating from college. Not having to lift, travel, practice, or compete gave me hours back into my day. I wish I used those golden hours to learn how to cook legit meals for myself. Annie’s Mac and Cheese and chicken nuggets don’t count! Lol l’ve caught up for lost time since I graduated in 2009, but looking back I would’ve saved so much money and been so much healthier if I chose to make more meals at home.
Starting my business sooner. I also wish I started sharing my personal experiences sooner. There were so many things I was navigating through, from finding a job, to understanding corporate culture, to learning how to create a new post-college workout regimen, etc. At the time, I figured that since I wasn’t an expert, I shouldn’t be writing about these things. News flash – I’m still not an expert! But I now have the confidence and experiences to share with others.
Investing in stocks earlier. When I was in elementary school my mom was a member of a stock group. A family friend would host a meeting at her home and every month they would meet to discuss the market and invest in different stocks. I wish I decided to invest in stocks when I was younger. As a kid, I could’ve signed up for a custodial account that my parents could oversee and then transfer to my when I turned 18. For example, if I invested in Apple as a freshman in high school, the cost per share was .33 …. 33 cents! As I write this, the price per share is $188. My portfolio would look much different than it did today if I invested and let my money grow over time.
Not paying for a gym. Gear, facilities, and workouts are provided to many athletes through our programs. When I graduated, there was no playbook that helped me figure out what my workouts would look like or more importantly, where would I accomplish them. With indoor basketball courts being a hot commodity to people in my area, I figured a gym was the best way for me to stay in shape.
But I was so wrong, a gym is not the end all be all. As my salary grew over the years, I realized that I could save my money and get creative by working out at home, going for a run, or by playing pick-up basketball at the park. I also learned that a lot of people use the gym as a social space, and I am not about that life. #nonewfriends
Investing my camp paycheck. In high school I didn’t hold a part-time job during the year, but I made good money working at basketball camps over the summer. I wish I could’ve put a portion of the money I made over the summer into some type of investment: stocks, bonds, commodities, etc.
Looking back, I have no huge regrets about the decisions I’ve made. I feel like a lot of the financial missteps were opportunities that helped me build a strong financial foundation today.