Money Lessons for Generation X

May 29, 2008 By Tisha (Kulak) Tolar

money As a 30-something….okay 34 year old, I am learning tips and tricks for finances every day of my life. However, I have recently come across some pretty specific bits of advice for people my age that I wish I would have learned much earlier.

Here is what I learned…maybe a little too late.

Don’t Neglect Health Coverage Analysis

If you and your spouse have been fairly settled at work for a long period of time, it may not come to mind that you should take some time to review your plans. This is especially true if you recently married. See which plan is most beneficial and cost-effective to your family needs, especially if you have or are planning to have a growing family.

When Baby Comes Keep It Simple

Despite the pandemonium that ensues when a new baby is due to arrive, it is wiser to keep things simple from the beginning. I support this idea fully and was very practical, often annoyingly so. In the end, it was well worth it financially speaking. Not everything must come from a just-for-baby store and the same items can be found elsewhere for considerably less. Keep in mind that babies do not stay little for long and will outgrow clothing and toys faster than you can sometimes pay for them.

Don’t Do a Trade

When you are ready to buy a new car, you should prepare in advance. From knowing the type of vehicle will be most efficient for you to the amount of money you can afford to spend, you should walk into a showroom utterly prepared and stick to your guns. Additionally, you should not trade in your old car during the deal. Instead, sell it on your own for cash.

Homeownership Is Not a Requirement

While back in the day and in the years to follow, there has been a perception if you do not own a home, you are not doing things right. The reality is, especially in today’s economy, that a mortgage can be a huge burden if you are not absolutely ready. In addition to the mortgage, closing costs, and other fees associated with buying a house, there are also considerations of insurance, taxes, furniture, utilities, repairs, maintenance, and a ton of other things to consider. Taking on too much too soon can be a financial disaster. Interestingly, I also read an article about a family’s decision to rent as opposed to owning in order to enjoy life, travel, and provide a more financially capable way of life.