Оглавление
Ashley Feinstein Gerstley. Financial Adulting
Table of Contents
Guide
Pages
FINANCIAL. Adulting. EVERYTHING YOU NEED TO. BE A FINANCIALLY CONFIDENT AND CONSCIOUS ADULT
Preface
Let's Talk About My Privilege
Why Do I Share All This?
JEWS AND MONEY
I'm Hopeful
I'm Learning
Notes
CHAPTER 1 What Is a Financial Adult?
Why Aren't We Financial Adulting?
Missed Out on Early Basics
Unsure of Where to Get Help
Money Is Tied to Emotion
It's Easy Not to Think About Money
Then There's Oppression
But There Is Good News …
So, What Exactly Is a Financial Adult?
A Financial Adult Takes Small, Consistent Steps That Add Up to Big Results
A Financial Adult Understands What's Happening with Their Money
A Financial Adult Feels Confident in Their Financial Plans, Knowing They Will Get to Have and Experience What They Want in Life (Which Is the Whole Point of Having Money Anyway!)
A Financial Adult Understands the Critical Context of Equity and Personal Finance, Recognizes That Privilege Can and Should Be Used to Help Close Racial and Gender Wealth Gaps, or Realizes That They May Be Starting at a Disadvantage Due to Historic and Systemic Obstacles
Time to Get Started
Note
CHAPTER 2 Equity and Personal Finance
The Idea That You Can Pull Yourself Up by Your Bootstraps Is a Scam
The Racial Wealth Gap
A Very Quick History Lesson (That We Missed in School)
The 1862 Homestead Act
Freedman's Savings Bank
Tulsa Race Massacre of 1921
The Federal Housing Administration (FHA)
Redlining
The Gender Wealth Gap
Another Gap That Has a History
The Equal Credit Opportunity Act (ECOA) of 1974
The Equal Pay Act of 1963 and the Pregnancy Discrimination Act of 1978
The Double X Economy
We Need Women to Be Wealthy
What Needs to Happen to Close These Gaps
Raise the Minimum Wage
Cancel Student Loan Debt
Tax the Super-Wealthy
Pay Reparations
Mandate Paid Leave
Build a System of Universal, Affordable, High-Quality Childcare
Reform Our Healthcare System
Build a Bigger Coalition
Equality versus Equity
Your Education Matters
Your Financial Adulting Action Items
Notes
CHAPTER 3 Your Money Goals
Why Have Financial Goals?
Start by Listing Out Your Goals
Important Goals to Consider
Time to Prioritize
Priority #1: Some Rainy-Day Funds
Priority #2: 401(k) Match
Priority #3: High-Interest Credit Card Debt
Priority #4: Retirement (a.k.a. work becoming optional)
Everything Else
Make Sure Your Goals Are SMART Goals
How Much Is Enough?
How Much Do I Need in My Rainy-Day Fund?
HOW DO I USE MY RAINY-DAY FUND?
How Much Do I Need in My Walkaway Fund? Wait … What's a Walkaway Fund?
How Much Do I Need to Buy a Home?
How Much Money Do I Need to Retire?
How Much Do I Need to Move Out on My Own?
How Much Do I Need to Start a Family?
How Much Do I Need to Take Care of Family or Elder Dependents?
How Much Do I Need to Start a Business?
How Much Do I Need to Take Time Off to Travel?
For the Love of Money: Money Goals with a Partner
Decide How Many Goals to Work Toward
Make a Preliminary Plan
Use Your Goals to Focus
Your Financial Adulting Action Items
Notes
CHAPTER 4 All About Income
What Is a Financial Plan?
What Does a Financial Plan Actually Look Like?
First, the Inflows
For the Love of Money: What About Partners?
Side Hustles
The Gender Wage Gaps
Some Takeaways
Closing the Wage Gap
Pass Policy for Equal Pay
Perform Company Pay Audits
Revamp Internal Hiring and Promotion Processes
Address the Unpaid Labor of Women
Negotiate What You Deserve
Reframe the Negotiation
Understand the Double Bind
Know Your Market Rate
Know Your Walkaway Rate
Prep Your Case
Toot Your Own Horn
Negotiate; Don't Stop with No
It's a Year-Round Process
Other Important $$$ Things You Can Negotiate
Your Financial Adulting Action Items
Notes
CHAPTER 5 Your Money Outflows
Map Out Your Expenses
Add Numbers to Your List
Multigenerational Living
Become Aware of Your Spending
The Pink Tax
Set Up a Sinking Fund
Make a List
Price the Expenses Out
Give Them a Home
Make Them Automatic
Adding Sinking Funds to Your Financial Plan
Plan for Pitfalls
Making Your Plan Too Complicated
Unrealistic or Too-Optimistic Planning
Excluding “Small” Things
Planning for Four-Week Months
Time to Incorporate Your Goals
Putting It All Together
Your Annual Financial Plan
Your Monthly Financial Plan
For the Love of Money: Financial Planning with Partners
Pay Yourself First
If You Need It – the Health and Safety Budget
Set Up Your Net Worth Tracker
Start with What You Own
Add Up What You Owe
Calculate Your Net Worth
Why Does It Matter?
For the Love of Money: Protect Your Assets
Your Financial Adulting Action Items
Notes
CHAPTER 6 Consumer Activism
What Is Consumer Activism?
Some Consumer Activism Inspo
Your Consumer Activism Criteria
Sometimes Not Buying Anything at All Is the Best Option
Use Your Voice
Do a Consumer Activism Spending Audit
Make Note of Anything You'd Like to Shift
Take It Step by Step
Cancel Anything You Don't Need
Make a Commitment to Switch over One Recurring Item per Month
Some of Our Spending Is Meta
It Doesn't Have to Be All or Nothing
Don't Forget About Banks
Black-Owned Banks
How Do I Choose My Bank?
Cultivate a Practice of Giving
For the Love of Money: Consumer Activism with a Partner
Update Changes in Your Spending Plan
Your Financial Adulting Action Items
Notes
CHAPTER 7 Work Optional (a.k.a. Retirement)
The Power of Compound Interest
What Does Retirement Actually Mean?
Where Do We Keep This Magical Nest Egg?
401(k) Matching
If Your Employer Doesn't Offer a 401(k)
More 401(k) Deets
More IRA Deets
What the Heck Does Roth versus Traditional Mean?
The Backdoor Is Open
Show Me the Money – How Much?
Using the Retirement Calculators
Are All Calculators Created Equal?
The Results
What About Social Security?
Retirement Accounts Might Be Only Part of the Plan
Retire Early, You Say? Tell Me More
The Gender and Racial Retirement Gaps
Investing Jargon
Risk
Asset Allocation
Stock
Bond
Diversification
Fund
Portfolio
Figure Out Your Asset Allocation
Target Date Funds
Choosing Our Retirement Investments
First, the Name
What's in the Fund?
What About the Fees?
Where Does Asset Allocation Come In?
Look Out for Other Fees
Set Your Investing Up to Be Automatic
Some Frequently Asked Retirement Questions. What Is 401(k) Vesting?
Should I Roll Over My 401(k)?
Should I Choose an “Aggressive” Investing Plan?
Saving for College with 529 Plans
Other Investing Benefits You Might Get Through Work
Your Financial Adulting Action Items
Notes
CHAPTER 8 Become an Investor for Good
The Opportunity to Invest Is a Privilege
The Culture of Investing
My Investing Story
Before You Get Started
What Is Investing?
Realized versus Unrealized Gains
Long-Term Investing Wins the Tax Game
What If You Lose Money?
The Three Ways to Invest (from Least to Most Expensive)
On Your Own
With a Robo-Advisor
Hiring a Financial Advisor
But Wait, What's a Financial Planner?
What You Need to Get Started
What Is a Brokerage Account?
How Much Money Should I Invest?
Can I Invest Before I Pay Off My Student Loans (or other debt)?
Time Is Very Important
Are You Ready to Level Up Your Risk Knowledge?
The Types of Investments
What's in These Funds?
What Does Broadly Diversified Mean?
Where Does Investing for Good Come In?
What About Socially Responsible or Values-Based Investing?
How to Choose a Brokerage Account
Start with Recommendations
Look for a Low or No Minimum
Make Sure There Are No Trading Fees
Say No to Other Fees
Do They Pass Your Consumer Activist Criteria?
SIPC Insurance
What If I Don't Want to Do It Myself?
What About the Apps?
Choosing Your Investments
Start with Asset Allocation
Now On to the Funds
Purchasing or Selling an Investment
The Ways You Can Purchase and Sell
Choosing the Number of Shares
It Won't Happen Immediately
Should I Choose to Reinvest Dividends?
How Do I Know What's a Good Price?
Am I Buying at the Right Time?
Do I Invest All My Money at the Same Time?
When Do I Sell My Investments?
Learn from Some Investing Experts
How Your Investing Can Change as You Build Wealth
Protect Yourself from Yourself
Some Other Things That Might Be on Your Mind. What the Heck Is Bitcoin?
Is Individual Stock Picking Like Gambling?
Your Financial Adulting Action Items
Notes
CHAPTER 9 Buying a Home
Buying a Home – How It Works
Rent versus Buy?
THE HOMEOWNERSHIP GAP
Timing
Your Budget
Your Goals
How Much Will This Cost?
The Down Payment
Mortgage Closing Costs
Other Closing Costs
Life Insurance
Home Emergency Fund
Property Taxes
Updates, Renovations, and Decor
Maintenance Expenses
Costs of the Move Itself
Incorporate These Costs into Your Plan. Add Up the One-Time Costs
Incorporate the Ongoing Costs
“Try On” Your Estimated Homeowner Expenses
Wait, I'm Discouraged; This Is Much More Expensive Than I Thought
Organize Your Finances Before Starting the Process
Check Your Credit Score and Get Credit Ready
Simplify Your Accounts
Go on a Buyer's Budget
Understand the Types of Mortgages Available
Should You Go Digital or Analog?
An Important Ratio to Lenders
What About Discrimination in Lending?
Understand Key Mortgage Jargon
For the Love of Money: Buying a Home with Your Partner
Should I Pay Down My Mortgage?
When Should I Refinance?
Another Way to Invest in Real Estate – REITs
Your Financial Adulting Action Items
Notes
CHAPTER 10 Insurance
Health Insurance: What You Need to Know
Some Key Health Insurance Terms to Know
For the Love of Money: Family Health Insurance
Where Do I Get Health Insurance?
When Can I Get Health Insurance?
What About Double Insurance?
How to Choose Your Health Insurance Plan
Don't Be Afraid to Fight
Big Exclusions: Fertility Treatments, Adoption, and Trans-Related Healthcare
How Do I Ever Budget for This?
Healthcare Costs and Medical Debt
What a Health Insurance Policy Means for These Gaps (and our wallets)
Protecting Your Assets: Homeowners and Car Insurance
Homeowners Insurance – What You Need to Know
What If I Rent?
Car Insurance – What You Need to Know
How Much Will Car Insurance Cost?
How Much Car Insurance Is Enough?
What's an Umbrella Policy?
Life Insurance – What You Need to Know
What Is Life Insurance and When Do You Need It?
The Types of Life Insurance
Whom Should I Work with and How Do They Get Paid?
How Much Life Insurance Do I Need?
What If I Get Life Insurance Through Work?
Disability Insurance
Short-Term versus Long-Term Disability Insurance
How Much Does Long-Term Disability Insurance Cost?
Do I Need Disability Insurance?
Do People Use Short-Term Disability for Parental Leave?
Long-Term Care Insurance
Revisit Your Insurance When Things Change
Your Financial Adulting Action Items
Notes
CHAPTER 11 Tax Basics and Estate Planning
What Are Taxes?
W-4 – Tell Me More
If I'm Married, Should I File Jointly or Separately?
W-2 – More of an Income and Tax Snapshot
1099 – for Freelance and Other Income
Other Income Info to Have Handy
April 15th Is a Big Day
Why Is This So Hard?
How to Actually File Your Taxes. 1. On Your Own
2. Using a Tax Prep Service
3. Hiring an Accountant
Minimize the Taxes You Owe (very legally)
What Are Tax Credits?
Stay Up to Date on Tax Law Changes
What Are Deductions?
Here Are Some Common Deductions
Should I Take the Standard Deduction or Itemize?
Here Are Some Common Itemized Deductions
Some Bonus Definitions
Avoiding Some Common Mistakes. Double-Check Your Account Number
Look Out for Scams
If Someone Is Claiming You as a Dependent …
Set Up a System to Make Taxes Less Stressful
How Our Tax System Perpetuates Wealth Inequality
Estate Planning – What It Is and How to Do It
Next Up Is the Will
So How Do We Get These Documents Set Up?
Your Financial Adulting Action Items
Notes
CHAPTER 12 Your Credit Score
Why Should We Care About Our Credit Score?
The Quickest Way to Increase Your Score
Find Out Your Current Score
The Biggest Credit Score Myth
The Most Damaging Myth
The Makeup of Your Credit Score
35% Payment History
30% Amounts Owed
15% Length of Credit History
10% New Credit
10% Types of Credit Used
How to Increase Your Credit Score
Set Up Automatic Payment on Bills and Loans
Keep Your Credit Utilization Low
Keep Older Accounts Open
Use a Service to Get Credit for Recurring Payments
Open a Credit Card (or Secured Card) If You Don't Have One
Some Other Common Credit Score Questions
What About Credit Repair?
What If I Have No Credit (or Low Credit)?
How Does It Work If I'm an Immigrant or International Student?
How Many Credit Cards Should I Have?
Your Financial Adulting Action Items
Note
CHAPTER 13 All About Debt
What Are Credit Cards?
How Credit Cards Work
It's Time to Let Go of the Shame
We've Got Some Power
Take Inventory of Your Credit Cards
Make Your Credit Cards Work for You
On to Student Loans
Types of Student Loans
Student Loan Repayment Options
Federal Loan Repayment Options
What About Teacher and Public Service Loan Forgiveness (PSLF)?
What Is Consolidation?
Private Loan Repayment Options
Some of the Problems with Student Loans
Federal Student Loans
Do You Remember the College Scorecard? The Drama Continues …
Private Student Loans
Student Loans Disproportionately Affect the Black Community and Women
Before You Take Out Student Loans …
Take Inventory of Your Student Loans
Add Any Other Debt to Your Tracker
Make a Plan to Pay Down Your Debt
Prioritize Your Debt; What Comes First?
How Much Do You Want to Put Toward Your Debt?
Your New Best Friend – the Cash Tracker
Your Debt Paydown Recipe
What If I Can't Make My Payments?
Should I Refinance My Debt?
Do Your Research without a Hard Inquiry into Your Credit
Run the Numbers
Make Sure the Payment Is Workable
Understand What Flexibility and Potential Forgiveness You Are Losing
What About 0% Interest Transfers?
A Warning When Refinancing Credit Cards
Let's Talk About Buying a Car
Financial Adulting Checklist
CHAPTER 14 Become Your Own Money Coach
But What Will You Actually Be Doing as a Financial Coach?
Money Parties – The Gist
Get Excited; How Will You Make It Fun?
Up the Ante with Rewards
Choose a Time and Day
Get Some Accountability – Create Your Dream Team
For the Love of Money: Money Parties
Set Your Money Party Agenda
Monthly: Run Your Numbers
What Do I Do About the Cash I Took Out at an ATM?
Should I Include My Credit Card Payments in My Expenses?
What Do I Do About Items I Plan to Return?
How Should I Handle Expenses My Work Is Going to Reimburse?
Weekly or Monthly – Up the Saving Ante with the Money Game
For the Love of Money: The Money Game with Others
Monthly: Your Financial To-Do List of Things That Come Up
Monthly: Revisit Your Contributions to Your Goals
Monthly: Use and Adjust Your Sinking Funds
Monthly: Track and Celebrate Your Progress
If You're Visual, Make a Physical Representation of Your Goals
Quarterly and Annual Money Party Checklist
Quarterly: Update Your Net Worth Tracker
Quarterly: Revisit Your Debt Paydown Plan
Annually: Check in on Long-Term Goals Like Investing and Retirement
Annually: Revisit Your Consumer Activism Criteria and Giving Plan, and Conduct a Spending Audit
Annually: Reflect and Think Big – Make Your Annual Plan for the Next Year
How to Keep Your Motivation Up
Financial Adulting Checklist
Congrats!
Note
Acknowledgments
About the Author
Index
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