Ma Field's Rules for Living Poor

This series is for my son who is living on his own for the first time.

You don't have much right now, but if you follow these guidelines you will always have enough - and before you know it you'll have more than enough.

1. NEVER SPEND ALL YOUR MONEY!!! This is the heart of living well (and within your limits). Every paycheck, take a chunk right off the top to put in savings. 15% is good, more is better, 10% is the minimum. This will be the start of your emergency fund.
Start saving with your very first check. Then it will be an easy habit to keep.

2. See rule #1 - yes, it's that important.

4. PAY YOURSELF FIRST. Prioritize your bills to reflect your needs both present and future.
That means put the money into savings right away. THEN pay your rent. THEN pay your electric bill.

3. NO CREDIT CARDS! If you can't afford to pay for it now, you can't afford it, period. NO PAYDAY LOANS OR CASH ADVANCES EVER!!!! This is legalized loan sharking and it should be outlawed in my opinion.
Remember that the emergency fund is only for necessities. Save up to buy more expensive items. (This is extra money you save for a specific purpose, NOT your emergency fund. Put it in a separate account if you can't keep it separate in your mind)

6. STAY OUT OF THE STORE! Don't shop as a sport or hobby. Only go when you need something. Know what you need. Get it and get out. We'll talk more about shopping in a later blog.

7. PRACTICE THE RULE OF THREE: Wait at least 3 days before making a purchase, have at least 3 reasons for needing it and at least 3 reasons that nothing else will do.

8. WHEN IN DOUBT, DO WITHOUT. If you aren't sure you should, you probably shouldn't. (This is good advice throughout life, by the way)

9. DON'T BUY NEW. At this stage in life, there are very few things that need to be purchased new. Come to think of it, at ANY stage of life there are few things that need to be purchased new.

10. LIVE FINANCIALLY AT 50%. LIVE THE REST ON THE EDGE. Youth is a time to take risks and think outside the box - just not where your money is concerned.