6 Comments

  1. You know, I’ve never heard of this 50/30/20 rule even though I’ve been looking up budget/debt payment plans. I did hear of the 30% toward housing thing, but that was AFTER we purchased our house (thankfully we still came in right at that range). Good to know.

    • There’s a variant of the rule that’s far more well known than the 50/30/20 rule, which is the 80/20 rule. Most people hear of that in customer service/counselling/interviewing situations anymore, though it’s originally a rule of economics. Like you, I’d heard the housing one before any of the other rules, though I don’t think I met anyone who actually followed said rule until I was in high school or college.

  2. I know I’m speaking from a position of privilege, but if you [general ‘you’, not you specifically] are a grad student who’s studying in the same city where you grew up, move back in with your parents. Yes. Move back in. You’re not getting any financial returns by throwing away a good chunk of your residual earnings into rent. Although I have the means to find an apartment due to the generous military pay, I still opted to live with my mom and double our household income while we’re at it.

    This is the only personal insight I can provide regarding budgeting. I am trying to become more financially educated, but that doesn’t really address our everyday budgeting needs.

    • Moving in with my grandparents was a huge help during grad school. While my initial reason for moving in with them was not grad school related, the fact that I got my master’s degree online allowed me to save money by living with them. I had applied to Ball State and U. of Maine for grad school, however considering the mental state I was in at the time grad school started, the fact that I didn’t get in to either school was a bit of a blessing in disguise.

  3. I love this post!

    I’ve never actually sat down and budgeted… I’ve done pretty well for not budgeting, but I think it might be about time that I do so. Your 50/30/20 rule seems like a good place to start.

    I definitely agree with the working multiple jobs things. I work a full time job and a part time job. The part time job is just 2 nights a week and it’s a total of 10 scheduled hours (though it’s a restaurant and I work the closing shift, so it’s usually about 11-12 hours at the end of it). It’s been great for my savings and it’s such a small chunk of my week that I haven’t burned out from it.

    I’m sure burning out/overdoing it is definitely a possibility… your particular story sounds very frightening.

    • I’m very happy that I’m not in a position financially to where I need to work a part-time job with my full-time job to make ends meet. That said, I’ve strongly considered it on multiple occasions for sake of paying down my student loans. I can’t imagine the fiancee being happy with me if I do that though.

      And yes, it’s a pretty scary story. I may share it in full at a later point in time, however I’ve yet to find the right topic with which to discuss it. Maybe advice to new college students (as said wreck was caused in part by me overloading myself in order to graduate early)? I’m not sure.

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