On Receiving Hate Mail

I've been cleaning out my room lately, picking out things that I can either sell or donate. There is a bulletin board at work where people post things they want to sell, and I posted my old toys and books on there for cheap, hoping that I could at least make some money off of it and keep myself afloat.

While I've gotten quite a number of people inquiring about my things and actually buying stuff off of me, there are also a few people who have gone out of their way to email me to tease and berate me for selling things they deem useless at cheap prices--even though most people have given me positive responses.

One of the things that the 'hate mail' has made me think about is the fact that people very easily look down on other people who they consider are being cheap. The people who have been teasing me make six figure sums annually. On the other hand, I'm making less than a tenth of that, yet I'm being teased for being cheap because I'm selling my old toys and books in order to pay for school and generally make ends meet without my parents' help so they can have one less thing to worry about. It's incredibly rude that people will go out of their way to berate you, behind the guise of an email address, because you're watching dollars.

I feel so incredibly upset that my parents have poor health and make minimum wage but treat people with respect, whereas some chump making a six figure salary will take time out of his day to insult me. It's probably childish for me to rant that life isn't fair, but there is nothing I want more than for my parents to have their health and not have to worry about finances. I carry a heavy heart everyday about it, and I don't appreciate it when people take that for granted and judge me instead.

I've taken up the issue with Human Resources and hope that this will go somewhere because it's not right for people to talk to me in an unprofessional and disrespectful manner. I hope this experience makes me a stronger person as well and teaches me how to stand up for myself against other people.

Selling Stuff

I'm in the midst of cleaning out all the junk in my room. The last time I thoroughly cleaned my room I was still in high school, and even then, I didn't get rid of everything I should have.

I've got textbooks, books, furniture, stuffed animals, cds, electronics, and all sorts of things that I'd like to let go of. I want to sell all of this off, which I'm learning how to do. It's not possible to have a garage sale in the middle of winter, so I'm trying to find ways to sell online. I'm trying to figure out how to price things properly too. How do you determine the price of a stuffed animal that's been sitting in your room for a few years? I don't know.

Still Kind of Around...

I haven't been on this blog in a long time but I've continued to save money. I just didn't document it as much. I saved enough for tuition and accomodation in the UK, and also threw more money at my student loans.

Even though I've been saving money like mad, I've also been spending more money than I'd like to. I'm working on stopping but it's all about finding some sort of balance between saving money and actually spending money on things that I care about. Like, for instance, I save money by bringing lunch to work. But when co-workers ask me to join them for lunch, I hate turning them down because I feel like I'm turning down an opportunity to get to know people outside of the office. But I know I have to turn them down so I'll have more money to spend abroad. (I just reread that last part. I said "turn down" three times in total. Apparently my education isn't teaching me to use a wider vocabulary.)

In other news, my dad gave me an airplane ticket using his points (or miles or whatever they're called) but I insisted on paying the taxes and fees. The total cost to me for the return flight? About $400. Yikes. At least it's better than the $1220 that I would have had to pay otherwise.

Oh yeah--new blog design that I got off the internet. (I would make something myself, but this one was so cute. It's a little juvenile but the style is very reflective of my character and stage in life.)

"I'm not a man who makes $10 and spends $11."

So, put some more money aside--I am now up to 67.2% on the exchange savings. Wish it was 100% but what can you do?

Talked to my parents again about graduate studies vs. working full time. I want to do both and it's hard to decide on one or the other. First I had decided to work full time to be able to support my parents. This is when my dad went "I'm not a man who makes $10 and spends $11." Meaning, they've put some money aside, and if I want to study for another two years, then they'll rely on their savings.

Still, hard to decide what I want to do. I've been asking a lot of people for their opinions--both adults and peers. One lady at work asked if a master's will help me get a job, or a better job than I could get now already. The answer isn't clear for the field that I'm in--I'm quite sure I could get by without one. Many people are in the field with jobs without a master's degree.

I think that I just want a master's degree or something.

My Parents' Retirement

I haven't been on this blog in awhile because I thought my computer was fried--only to find out that I had kicked the power cord out of its socket. I only realized this after I was panicking about how I was going to pay for a new computer. Oops!

Anyways, I've been meaning to get around to the story behind why I am going to support my parents through their retirement. And it goes something like this.

When my dad was young, he left school to support his own mother, who didn't have much money either. Without an education, my dad was forced into trade labour that didn't pay that much. However, he and my mom managed to start their own business. It thrived, and by the time I was born, my dad had to travel the world a lot to conduct business. He made a lot of money that way and I had the best of everything--private school and expensive clothes and nice toys.

The problem with the business was that my dad was gone for months at a time. My mom became a stay at home mom who was raising us on her own for several months out of the year. My dad was uncomfortable leaving my mom to do that all alone, and he missed developing a relationship with us kids. The nature of the business was so that he had to be gone for long periods of time, or the business would fall apart.

He was faced with a dilemma--be rich but miss out on the kids, or be financially insecure but watch his kids grow up.

My dad decided that fostering a relationship with his children was more important than any money--which I think he learned because his own dad chose business over him. But without a good education, my dad couldn't get well paying jobs. People didn't want to hire him cause of his lack of education. Our family's income drastically declined to the point where my parents were in debt.

I've always had this sort of guilt or conciousness growing up that my parents would be rich and well off if they hadn't decided that I was more important than money. Many of their most costly decisions had to do with me--like moving to certain places so I could go to the best schools they could find and afford. (Although, go figure, they couldn't afford my university education. But I was determined to pay for it myself anyway.)

The reason why I want to support my parents through their retirement is pretty obvious. They spent so much money so that I could have the best. My dad gave up his thriving business because he felt it was more important to watch me grow up and be around everyday.

It would be way too selfish of me not to give my parents money every month to support them through their retirement. I would hate for them to be 80 years old and decide they can't eat their favourite food that night because they don't have enough money. If there's anything I can do to make my parents' golden years more enjoyable, then why shouldn't I be doing it?

I Really Need to Learn About Taxes

Last paycheque I made less than $1000. Total tax I paid on that was about $22.

This paycheque I made over $1000. Total tax I paid on that was about $220.

The difference in taxes I'm paying is insane! How does it even work?! I'm paying 10x more in tax but I certainly didn't make 10x more in wages.

I took a $5/hr increase in pay by switching jobs, but 2.5 hours less per week. Somehow, I'm still making almost exactly the same amount at my new job as my old job.

No wonder dad complains about taxes all the time. No wonder so many people are in debt. I don't even have a mortgage to worry about. Taxes are killing me!

What??

I just logged in to my ING Direct account, and guess what?

The US$ savings account dropped from 3.75% to 3.00% interest rate.

What's with the sudden, dramatic drop? I've got to get my money out of there.

Still Plugging Away... Slowly

I threw another $100 at the UK savings. Sometimes I wish I could just make more money, or do it faster, or something, because I hate the fact that those two little sidebars over there aren't completely full! And I know that probably sounds ridiculous since the entire rest of the world pretty much feels the same way that I do!

In other news, PC Financial has raised their rates to 4.25%, HSBC Direct is going up (I think I read that somewhere), and ING Direct is already at 3.75%. Seems as if ING Direct is content and not in the race of interest rates.

I also read an article today about the rich getting richer, which I already learned in school and something my dad will probably say he knows just from the school of life. Even in grade school they were teaching us about the upside down wine glass of income distribution. So sad to know that your best bet of getting ahead is to be ahead in the first place.

Cost of Safety

Most things I'm pretty cheap about. I don't like paying more than I have to for cotton pads to clean my face, which is saying something since I've already mentioned before how much my skin needs help.

However, I'd be willing to pay good money to catch the sick guys who sexually assaulted two girls at York University. Same for the guy at Carleton, because the kind of torment that he put that girl through? That's enough for him to deserve having his balls cut off. Slowly. And then having his balls fed to wild dogs.

I'm mentioning this on my blog because I am so, so angry at those guys. It isn't right, and I'm beyond outraged. To them I ask, was it really worth it?

Even though I move very often to save money on rent, I always pick places I think are safe and have my parents come and take a look around to see if they like it. They've often encouraged me to pay that extra $100 a month for their own peace of mind. I always griped about it, but after all, they were right.

I'm also still deciding about where I'm going to live while on my exchange. The school I am going to is bigger and nearly not as safe. My friend went there last year, and she told me it's not the kind of place where you can walk around at night. I was talking to another girl who came on exchange to my school from France, and she said she was astounded at how quiet things are here, and she used to take the opportunity to walk to the grocery store in the evening, astounded that she could.

A few of the residences I looked at for my term abroad are in a rather unsafe neighbourhood. I decided on another residence that is in a safer location. I might have to get a bus pass just from the stories I've heard about students getting mugged, walking on the way home, at the school I'm going to. But some things are more important than money.

Money Comes, Money Goes

I was all happy cause I got backpay from my previous employer to the tune of about $125, which was more than I expected. Then, I went to work and got an email from HR saying that they had overpaid me in the last pay period and would have to deduct it from the next pay period. Guess how much they overpaid me? $121.

Sigh. Money comes, money goes.

On the other hand, the Canadian dollar reached parity with the American dollar today for the first time in 30 years. I'm sure that everyone in Canada's already heard about it (we all heard it at work too). I have no idea how this is going to affect things. For instance, when the Canadian dollar was hitting all-time lows five years ago at 60-something cents to the US dollar, we weren't getting any savings over here in the form of lower prices on things. So I don't know if we'll see prices for things rise either?

Lastly... I was looking at properties around here to get a feel of what my next financial moves will be in a year's time. The only thing I'd be able to afford are small condos. I'd basically need a downpayment of $40 000. That's insane! But I know it's necessary since it's pretty much the biggest purchase I'll make. My dad says the housing market isn't good for buying right now cause things here are overinflated. A good time to sell, yes, but buy? Not yet. Which is alright since I have to save up $40 000 for a downpayment on anything anyways and that's going to take time and a full-time job after graduation.

Being Micro-Managed

I really enjoy my job and have a great boss. The only downside is this lady whom I work with frequently. She's a full-time employee and obviously can tell me what to do. The problem is that she tells me EXACTLY what to do. Every last little detail of it.

I dread seeing her or talking to her. And when I do work with her, I often get short but have to hold it in so I get down to shortening my answers in order to show less emotion. I usually first get angry, then get frustrated, then get sad. I need some sort of manual on how to deal with this!

The thing I like about money is that I'm completely in control of it. There isn't somebody giving me a call a few times a day to question what I've done, if I've done it right, or to say that I haven't done it properly (because it wasn't done according to someone else's way of doing things).

I'm a little peeved right now.

Redeeming Air Miles

I deposited money in the bank today to put towards my exchange. If you add up the total amount of money I put away for exchange and my student loans, that's more than $10 000. It's exciting to see that I've reached the five figure point!

My dad asked me to loan him $2500 so I had to take that out of my exchange savings. That's kind of a bummer to see my balance go down so drastically. Sigh.

I'm looking at how much it costs for a plane ticket for my exchange. I got a quote yesterday and it's going to cost something like $1220 for a round trip ticket, but that's only if I return within three months. It's going to cost more if I want to return later than that (and I do). I didn't ask though cause the lady at the counter was so rude, I wanted to just throw a business card in her face and walk out. (But I didn't).

My dad told me he's going to redeem his air miles for the trip, so now I have to learn how to redeem air miles points on their website. Most of the offers available on the air miles website are for travel within three months as well (i.e. if I leave in January, I have to return in March). I'm wondering if it's better to get two separate one-way tickets because there's 10% discounts if I do, or if I should just get one round trip ticket instead. I'm leaving during the low season, but I'm returning during the high season... I've never booked a flight before or redeemed air miles, so this is another financial first.

Finally Getting Paid...

I finally got backpay from my former employer, and I think I'm getting paid at my current job this week. That would be nice, because it seems as if I've taken some sort of hiatus from my finances.

I am updating the money sidebar by decreasing my UK exchange savings from $7000 to $6500 to reflect my scholarship. After I deposit my money tomorrow at the bank, I'll update the total thingy on the side to show how much money I've saved.

I would love to write something more substantial, but tonight, I'm exhausted from work. I'm out of the door and at the bus stop at 7 am, and I don't get home until 7 pm. How do people with children and mortgage payments do this?! I'm exhausted from just a few weeks!

Taking a Class

I just paid about $350 for a three day workshop that is being held at a local college. When I suggested it to my boss, he said that he had heard good things about it and thought it would be a good idea.

I'm not getting reimbursed for it from work (I wish!), because I'm working on a student contract--one of the lowest of the lows, down there under part-time, contract, and temporary work. I don't get benefits or anything remotely close to that. But that's ok, because this $350 is an investment in myself.

I talked to him about taking more regular classes at a local college (non-transferable credits to my university, unfortunately) and he suggested that I not do that. He said I should focus on my job here, and that I'll learn a lot. Sometimes it's better to just take it easy and not get exhausted. Ironically, a lot of people have said that same thing to me. Should I take that as a sign?

A lot of people at work think I am 17 years old. I don't know where they got this idea from, because I sure didn't tell them that! I don't know what it is about me--is it the way I look? The way I talk? My acne coming to haunt me again? I am unsure. What worries me is that they'll think I'm more young and inexperienced than I actually am and they'll hold back from seeing me as an actual employee and just see me as some kid. That's scary because I would love to work at my current job full-time after graduating and wouldn't want them to think I'm not capable.

I Sold Some Textbooks!

Like the title says, I sold some textbooks. I bought them for $96 + tax a year ago and sold them for $82. That's $14 depreciation in one year... Not too bad, I think. I don't think I could get better dollar on textbooks.

I'm hoping to sell some more but I have to figure out how to offload them. I just hate the fact that they come out with new editions all the time to make more money and screw us students over with obsolete editions that aren't used and can't be sold.

A Family Meeting, a Twist, Where Next?

The other day I sat down with my parents and talked about where we would like to be a year from now, financially and otherwise. I brought up the idea of graduate studies or the possibility of working full time. Of course, if I continue with school, I'll pay for it myself.

My parents have always told me ever since I was young that they would like to live with me through their retirement. So I kind of made plans for that. I assumed that we would keep the family home. I thought I would move back home after university and give my parents a monthly contribution to support them through their retirement. But I'd also get to live rent free... So you could consider it giving my parents rent, if you want to think of it that way.

Apparently, I was wrong. (?!)

My parents told me that they are thinking about selling the house (!) and moving (!) far away (!).

I had not anticipated this!

My parents told me I am welcome to move with them, but this is my home now. I don't want to move away from this place. So now, I don't know. A year from now I might not be living here. I might have to find a place to live around here. What I do know is that I still have to make monthly contributions to my parents though.

Now I'm really thinking--downpayment on a place of my own? Renting? What's next?

My parents said that if I wanted to pursue graduate studies, that they would rather I do it right away (they are firm believers that you should never take gaps in between studies) and that they would hang on to the house so I could live here until I was done. Still, I don't know.

If I get a place of my own, I have to figure out how much I need, what kind of place I want, what I can afford, how much I can save, and what's my timeline. And it'll be hard since I'll be giving my parents a monthly contribution too.

If I go to school, I won't be able to give my parents any money. They may feel obligated to keep the house so I can live here while going to school.

If I get a job... Oh wait! Is anybody even willing to hire me?

Man, life after graduation is going to be more complicated.

Some Good News and Some Choices

I guess I'll start off by saying that the good news is that I got a $500 scholarship to go towards my exchange, which isn't half bad. ($500 > $0, so I guess I should be thrilled!) That said, I'm still looking at $10 000 CDN for the total trip. That's down to $9500 with this scholarship. But I also still have $21 000 CDN to pay off in student loans by next summer.

As for the choices I have to make? Well, I have to make a decision as to where I want to live while on my exchange. The university basically offers standard bedrooms (where you share a bathroom with four flatmates) and en-suite bedrooms (where you have a private bathroom).

Standard room = ~$3000 CDN
En-suite room = ~$4000 CDN

The difference is about $1000 CDN for the twenty or so weeks I'll be there... Obviously I should go for the standard room.

The problem is the thing about my skin (which I wrote about yesterday). I'm not particularly ashamed of my skin but washing my skin makes it quite red and ugly. Normally I have to wait until everybody is sleeping before I wash my face so I don't come out looking all red and blotchy. Having an en-suite bathroom would allow me to avoid that.

I once had this conversation with my mother, who simply said "Why don't you spend the money on clearing up your skin instead of make up and other band aid solutions?" As if that thought didn't occur to me! I have had prescriptions for my acne (which I stopped because of the medical side effects) and I've used Proactiv (but that made my skin dependent and eventually reacted strangely to it). I easily burn $20 to $30 a month on skincare products, trying to clear it up in the first place.

The reason why I am having a hard time choosing between a standard room and an en-suite room is that I find a lot of people can't look past my skin problems. They zone in on it and then stare. And there is nothing as annoying as knowing that somebody is staring at your breakouts and then they talk to you about it. My parents do it. My friends do it. What's worse yet is that people who don't know me will look past me because of my skin. In fact, I sometimes have trouble making friends with people who feel uncomfortable looking at my blotchy skin. I'm not joking. I don't hide because of my skin, but usually those guys who are all about good looking girls will just look away.

The en-suite bathroom option looks like a God-send because I'll be able to take off my make up in the privacy of my own room... I won't feel like waiting until everyone else is asleep to wash my face. Most importantly, I won't feel constrained. I won't feel like crap every morning and night, wondering which of my roommates are going to see my blemished skin and leave us both feeling uncomfortable.

But financially, I just can't justify it. $1000 CDN would be better spent elsewhere, like socializing or travelling or just something tangible.

To be honest, my deepest fear is that I won't be able to make lots of good friends while I'm on exchange--and if I'm spending nearly $10 000 CDN to go away for a few months, I truly hope that I'll make friends and have a good time. I'm just afraid that people won't want to be my friend because of my skin (which has happened before) or people will treat me differently because of my skin (which happens a lot to people with severe acne) or people will offer acne solutions/treatments (which has also happened, and I know they're trying to be nice, but those solutions never work and serve as painful reminders that that is what people see).

I know it sounds crazy that I'm saying that a $1000 private bathroom will allow me to make friends--but for anybody with severe acne, that kind of logic makes sense. If no one sees my poor skin, they won't be afraid to look me in the eye. There is a certain kind of pain I feel when people look at my skin instead of my eyes. And that's worth $1000 in itself.

I feel like crap.

What do I do?

Money Can't Buy Happiness

I was cursed with really bad skin. It doesn't affect my confidence that much cause I know I am the same person, whether I have clear skin or poor skin.

But there is nothing that makes me feel more down than seeing my girlfriends for the first time in a long time, and having one of them comment on how I should go get a facial.

I know she meant it in the best way possible, and she did so delicately, but her eyes kept wandering between looking at me, and looking at my breakouts.

I can easily burn $20 to $30 a month on skincare products to take care of the problem. I've done the Accutane and Proactiv thing but stopped cause I didn't like the side effects from either one. This is one of those days where I feel like no matter how much I spend, I'm always going to be unhappy with my skin.

Sigh.

Wow, It's Been Awhile

A lot has happened! In the last week I have...

- finished my summer job
- moved out of my summer apartment (car rental + gas = $140)
- started my new job

I'm still waiting for backpay from my former employer (no direct deposits so I have to wait until they mail me the money). I also just started my new job so I have to wait a bit until I start getting paid. That means that right now, I'm in limbo and can't make any other move towards the student loans or exchange savings.

I actually don't need to take any classes this term because I took so many extra ones that I have enough credits. However, I'm thinking about taking some extra classes at night and working full time during the day. Everyone I've talked to about this say it may not be a good idea--I commute for two to three hours everyday to and from work, and going to school at night may wear me down a little bit too much. Also, if I take these classes, I may not be able to graduate debt free. BUT these classes may really help me because they are in my field and I can apply what I learn to my job during the day... I am leaning towards taking one or two classes so that's a maximum of two nights (six hours) a week. I think the return on this kind of debt will be good.

Average Debtload of Students

I just came across some statistics about student debt loads. Apparently, the average debt of a bachelor degree receipient is $19 500. For college graduates, the average debt load at graduation is $12 600.

My debt load right now is actually startlingly close to that figure. But I hope that when I graduate, that debt load will be much, much closer to $0. (You can't get much closer to 0 than 0! Just kidding.)

I also read that the average cost of tuition for a four year undergraduate program in Canada is $17 000. Now, I'm not sure I agree with this figure. None of my friends are paying that little for undergraduate programs--even the cheaper, regulated programs. Just looking at my friends, (yes, I ask them how much they pay in tuition), the figure that all of us are looking at for tuition for four years is between $24 000 to $40 000, depending on the program. This is for tuition alone, so not including textbooks, rent, transportation, and other stuff.

Just thought that was interesting to compare myself and my friends to what statistics say is the average across Canada right now. (I'm rather surprised that, unlike typical Canadian fashion, these debt statistics aren't aggregated according to geography or program. Like, for instance, we typically note that tuition is highest out east, so why calculate the average debt load for the whole country and not province by province?)

HSBC Trying to Keep Up with ING Direct

Ok, so ING Direct's savings account is going up to 3.75% on September 1st. Now HSBC is trying to keep up by going up to 3.75% also.

I suppose none of this really matters since PC Financial is still ahead of the pack. I just hope that PC Financial will move up to 4.25% for no good reason. But as long as I'm dreaming, I may as well hope I win the lottery. :)

How I Shop for Clothes

Being frugal isn't just about saving money. There are always going to be times when we have to spend money. Clothing is one of those times. And since I love to shop for clothes, it's really important that I follow these rules I've set for myself.

1. Quality over quantity
It is so important to get quality over quantity. Who needs cheap looking pieces that don't fit when a few great quality ones will do? This was one of the hardest things for me to do start doing, cause I used to buy cheap stuff. $48 for a shirt? No thanks! I can get five of those at a cheaper store. But quality shirts will last longer and look better. Even better is finding quality shirts on sale. Another thing this works for is shoes. Better to invest in something good for your feet than own too many pairs that hurt your feet, right?

2. Shop with a strategy
One of women's downfalls, I think, is that they go in to a store and will buy just about anything they like. The way to get around that is to know what you want. Kind of like how most pf bloggers will go grocery shopping with a list and stick to it, shopping for clothes should be the same way. I have a checklist of staples (i.e. dark wash jeans, wool coat, trench coat, fitted blazer) that I allow myself to buy when I see the perfect one.

3. Only shop where there's a good return policy
I find that there is a positive correlation between a store's quality of clothing and the length of their return policy. The cheaper the clothes, the more likely they'll say "no refunds. Exchange only on unworn clothing with original tags and receipt." Stay away from these stores! Not only do they go against rule #1, but you can't change your mind! Whenever I buy something, I take it home and don't cut the tags. I try it out with different things I own to see if it fits with my closet. I think it over for a few days. If it works with my other clothes, and I still like it, then I keep it. Otherwise, I return it.

4. Shop for outfits, not pieces
Another reason why women tend to have closets full of crap is because they shop for pieces, not outfits. What I mean is that women will usually fall in love with a top or pants that simply doesn't go with anything else in her wardrobe. When that happens, then it's highly unlikely that it'll ever get worn at all! The best way to shop for clothing is to know what else each piece goes with, and then go home and try it on to see that it looks nice. If not, then there's always the return policy. If I have a great pair of pants, then I'll bring it to the store with me. If the top doesn't go with it, then I don't buy it.

5. Sometimes, full price is better than the clearance racks
Here's a good trap. Sometimes it's hard to pass up a $10 shirt on the clearance rack because it seems like such a good deal. But lots of clearance pieces aren't available in every size, and they might come with a shorter return policy. Those pieces just aren't worth it. It's better to spend the money on something that will work for sure than it is to get something that was cheap.

6. Think about the cost per wear
Sometimes it's hard to justify a dress that costs $68 plus tax. But sometimes it's more worth it than an outfit at half the price. When I get an expensive everyday dress but wear it several times a month, then I've already gotten value out of my purchase. It's much better to spend the money on something that I know I'm going to wear a lot than it is to buy a cheaper outfit I won't wear nearly as much.

7. Implement the 24 hour rule
Whenever I see something I like, I tell myself to go home and think it over. This is a great strategy, especially because I can think about how much I really want it. I like to think that it's "meant to be" if I can leave it in the store, think about it, and come back two weeks later to see it on sale for half off.

Opportunity Costs

Awhile back, I had a couple of job offers. The job with the highest pay rate also had the worst boss and worst job description of all the offers. The job with the lowest pay rate had the best boss and best job description of all the offers. (Because I'm a student, I'm paid at student rates and can't negotiate the standardized pay rates.)

I asked my brother what I should do, and he said it was a no brainer: take the lowest paying job. I complained about the low pay rate, and he simply said to me: "opportunity cost." I had no idea what he was talking about.

He explained to me that many times in life you'll be given option A and option B. The problem is that one option will always come at the cost of another option. So for me, the lowest paying job would be most beneficial for my career in the long run--but it would come at an opportunity cost of lower pay rates in the short term.

I'm kind of faced with opportunity costs again now. If I don't go on exchange next year, I won't have to dip into my savings in order to pay off my student loans. In fact, I would be able to pay off all of my student loans and graduate with most of my savings intact. But the idea of being able to study in another country for five months, the chance to meet amazing new people from around the world, and the option of traveling in Europe, is just too good to pass up. I'll be able to go study in the UK, but it's going to come at the opportunity cost of being able to graduate debt free without using my savings.

But after all that is said and done, I know I'm extremely fortunate. I mean, what a 'dilemma' I have! I have savings AND the opportunity to study in another country. My parents are supportive of my decision to study abroad. That is more than anyone could ask for.

He Pays, She Pays

I usually go out with guys one on one. Not on dates, but just male friends that I have. They often offer to pay for dinner, and I'll say no, I'll pay my share. And then they'll refuse and pay my share anyway.

Uh, hello? We're students/fresh grads here. And we're not dating. So why are these guys paying for me?

I recently talked to a guy friend about it and he said that I should stop trying so hard to pay for my share. When I asked him why, he said I needed to let guys be guys and I was taking away their pride.

Uh, hello x2?

Apparently I'm too strong willed (read: stubborn) and they said I need to just back down and let them win on this. It makes no sense to me. I can see why guys should open doors for girls (it's charming!) or walk us home at night (how nice!) but paying for dinner when we're not dating? How unfair and unnecessary!

I think that pf bloggers would probably agree with me on this, but I think it's funny that other people don't. I've had my drinks paid for, my dinners paid for, desserts paid for, coffee paid for, and for what? Because they feel like they're less of a man if I pay for things? Errr.

I Finished My Undergraduate Thesis!!

Oh, what a day this is!

I finally finished my undergraduate thesis! What a happy day!

Now, the reason why I'm posting this on my pf blog is because I want to reward myself for finishing my thesis. In fact, an hour after finishing it, I had the urge to go out and buy myself a pair of jeans and a top. In order to stop myself from spending that much money, I treated myself to a coffee (much cheaper) and went straight home to read pf blogs and mull it over.

On the one hand, I have been working so hard at my thesis, and I want to reward myself. But why must a reward involve spending money and buying things? I thought it wouldn't matter, but I have been sitting around, thinking about how much I want a pair of jeans and a shirt that I saw at the mall. You'd think I would've given up by now and dropped the subject. But my mind is trying to justify it, going, "you deserve it! You finished your thesis! And it has been eight long months of hard work and stress in order to finish it!" What's more is the fact that it was an optional course that I did not have to take. (Can you not hear the desperation in my voice?)

I've mentioned before that I pay attention to my emotions in order to curb my spending, but wow, I don't know. I didn't think that my spending habits were thisclose to my emotions.

/edit: An update on the whole thesis reward: I got myself a pair of Tommy Hilfiger jeans, regularly priced at $80 but reduced to $22.

ING Direct Rates Going Up

ING Direct's Investment Savings Account (ISA) is going up from 3.50% to 3.75% on September 1st. I think they're trying to keep all of the customers they got from the Summer Savings Sale. But PC Financial is still higher at 4.00%.

Financial Philosophies

I've mentioned my brother on this blog once, and I guess it made him sound pretty bad because I talked about his spending. So I wanted to kind of clarify that.

I think that in the long run, my brother will make a lot more money than me. We're really close in age (we're both in university at the same time and will be graduating in the same year together) but we have really different philosophies towards money.

My brother lives by the idea that you have to spend money to make money. My parents are afraid he's only got the spending part down and nothing else, because that's all they see. But the truth is, my brother is really smart. While in school he invests his money into different types of investments, like stocks. And he manages to make some money at it too. He thinks that he should take risks and learn while he's young. Last year, he got a $1000 bursary. Instead of using it to pay for school, he started investing it. He said that he'd rather make mistakes now and learn from it so that he can make smarter financial decisions after he graduates.

My whole financial philosophy is slow and steady wins the race. I hoard money and put it into savings accounts. The idea of having debt makes me nervous, which is why I'm working so hard at having my debts paid off before graduating.

The thing is, I'm not enough of a risk taker. I'll always be working at making money, but my brother will always be making his money work for him. So even though he spends a lot now and doesn't have as much to show for it, I'm confident that he'll make more money than me in the long run. And that makes me both proud and happy as a big sister.

What a Horoscope

I was planning out how I'm going to pay for everything (school, living overseas, and student loans) and beginning to think I needed to work two jobs to pay for it all when I saw my horoscope for today.

You would do better if you were to worry less about your finances. They are not as dire as you fear and are far more likely to improve.

Lol, is it a sign?

First, Savings for Exchange

On my way home from work today, I was walking behind a girl with long hair. I thought to myself, "Wow, she looks rather manly from behind. How unfortunate." I kept walking behind her until I got to the red light. Then she turned around and I realized that she was actually a man.

I know this story has nothing to do with personal finance, but I was on my way to the bank to deposit my paycheque when this little story happened, so there.

In other news, I would love to put some money towards my student loans, but my first priority is saving up enough money for my exchange. So I'm going to put my student loan payment on hold while I save up money for my exchange. Hopefully that won't take too long to do, if I can manage to keep the costs at a minimum.

August is Expensive And Other Random Crap

August is going to be expensive because my lease is up at the end of the month and my job is going to be over, so I'm going to be picking up and moving again, this time to another city. The car rental place told me it would cost $80 to rent a car for a day, plus the cost of gas.

I'm going to be starting another job in two weeks' time. I've been spoiled the last while because my current job has a very relaxed dress code. I usually wear a tank top, a tshirt over it, and jeans. But my new job is much more corporate so I'm going to have to start investing in actual work appropriate pieces. I guess it's about time; in a year I'll be done school anyway!

Today I picked up a pair of pants for $19.99, marked down from $89.99. I'm happy because I already had the matching blazer and pencil skirt as my one expensive interview suit. I also got a dress slip today that I've been watching like a hawk. For the last few weeks, I would walk in the store once a week on the way home to see if they had gone on sale. They went from $24.99 down to $19.99 and then down again to $11.99 today, so I finally picked one up.

In other news, I'm so not loving HSBC right now because they take way too long to transfer money. The other thing is that their website is pretty vague and not as straight forward as ING's. I might just keep my money in ING after all that hassle.

Lastly... I am almost done writing my undergraduate thesis! I plan on treating myself to something, but I'm not sure what. We'll see.

US$ Account not CDIC Insured

I just found out that my US$ bank account is not CDIC insured. I always thought that if the CDN account was CDIC insured, then so would the USD account. Now that I think about it, I guess it makes a lot of sense. Then again, it's not like the US$ is going to collapse any time soon.

I'm on the hunt for high interest rates again. Some US$ accounts available in Canada:
Altamira at 4.75%
ING Direct at 3.50%
eTrade at 4.75%

I have some more comparing to do to figure out which ones have the least charges/fees and stuff.

A $3.50 Sigh of Relief

A few days ago I checked my ING Direct account to see how much interest I made for the month of July, and was alarmed when I did my math and saw that I was short $3.50 in my account. Now, normally, I'm not the type of person to sweat things like that, (oh, who am I kidding?) but I was kind of nervous that they'd made a bank error. I decided to wait a few days to let it sort itself out, and today I logged on to see that the $3.50 is now safely in my account. I guess someone had a programming glitch when they were calculating balances due to the new summer savings sale.

Sigh.

How I Save Money as a Student

Other websites tend to have these top ten tips for students on how to save money, and I find that they all say practically the exact same thing: have potlucks instead of dining out! Make sure you buy used textbooks instead of new ones! Don’t sign up for those credit card deals at the student union!

While these tips aren’t bad, per se, I find them practically useless. If you are a student and you really want to make a dent in your debt, then you have to take care of the big ticket items. I find that if you focus your efforts on the big things, then the little things will sort themselves out.

Instead of having tips for other people on how to save money, (I have no authority on this issue, I’m just a pf blogger and a student), I’m just going to write down ways that I save money while in school.

#1: Sublet instead of rent
This is the main way I save money. Rather than signing one year leases, I only sign sublets instead. Yes, that’s right, I move every four months of the year, for a total of three addresses per year. But I get great, affordable rates on housing all the time. I have bargaining power since people usually want to get sublets off their hands as fast as possible (I don't exploit it though). Even better yet is the knowledge that I won’t be forced to pay rent for time I won’t be living there. (I have a friend who moved after school was done, but he still had a lease. He couldn’t find a subletter and ended up paying a couple thousand dollars for a place he wasn’t living in.) Yeah, it’s a pain in the butt to keep moving houses, but that’s how I keep my costs down and I’ve gotten used to it. I’m now an Olympic speed packer.

#2: Take extra classes, save on tuition
At my school, I get a discount for courses I take over the maximum courseload. That means I pay a set amount for five classes, and then a discounted sixth. I’ve done this consistently and now I can actually graduate after 3.5 years instead of 4, all done at a discounted price! (I won’t be graduating early though because I’m going to take my time anyway). This one is a little tricky because it is harder to keep grades up. But it’s doable.

#3: Prolong those tuition payments—pay by installments
Some schools are ok with students paying in installments, or waiting until after they get their student loans. I find that colleges aren’t ok with this, but universities are. Note that these extensions on payments don’t have any late fees or interest attached to them; they’re just for students who need some time for their student loans to come in. Why pay the school on time when you can let it accrue interest? It’s not for everybody, though. It takes discipline to keep those thousands of dollars in a bank account and not touch it since it’s earmarked for tuition.

#4: Find the cheapest possible transportation home
Greyhound has lots of great student fare deals available. There’s the companion fare, for those times when there's a buddy to split costs with. Booking two weeks in advance gets another discount. Buying ten of them at the start of the year gets a lower price overall instead of buying them individually on the day of the trip. VIA Rail also has a similar option. I also carpool sometimes, which is the BEST way to go. Nothing like a car ride with some of your best friends for a good time. (I give them some money for gas and/or treat them to a burger).

#5: Stay in the same program/school
I have a few friends who have transferred to other programs or schools. The problem is that credits don’t usually transfer that well, and so my friends have to retake classes or take extra terms. That means extra costs to graduate.

#6: Get a job
There are so many ways to do this—summer jobs, working part time in school, co-op programs, internships, and apprenticeships. There are so many jobs looking for students. It’s a great way to develop a work ethic and enter the work force while saving some money to pay for school. This is good as long as the work hours don’t exceed 20 hrs per week for a full-time student, since it could decrease academic performance. I didn't work in the beginning, but I certainly made up for it from second year onwards. It's the only way I can keep up with my debt.

#7: Wait until the 2nd or 3rd week of class to buy textbooks
I don’t know about other students, but not all of my professors necessarily teach out of the textbooks they list as required reading. Usually it’s hard to tell whether the textbook is necessary or not until a few classes in when I listen for the prof to refer to the textbook. Better than getting a used textbook is not getting a textbook at all! Another variation of this is going to the library and only reading the chapters I need.

These are just some of the things that I focus on to keep my costs down... There are probably more but I don't remember them now. Please leave a comment if you have any other ideas!

Green Light from Overseas

I just got an email saying that everything should be a-ok for my exchange next year! I'll be leaving in January, but I think tuition and housing bills will start coming my way this December. Therefore, I've added yet another money status thing on the side for UK exchange savings. My initial savings goal is $7000 to get some of the essentials out of the way like tuition and housing. The next part will be $3000 for living expenses and fun money (including travelling around the place). I'm not adding any expenses for the plane ticket yet because my dad said he might use his air miles points to get me that. :)

HSBC Direct Ready to Go

I looked at my blog on another computer and it looked horribly ugly, with LIME GREEN and shades of orange and whatnot. It looked funky on my computer, but oh well, I changed the layout to something else that was more universally appealing. On another note, I also need to go and check out these other blogs of amazing people who leave me comments! It's so exciting. It's like Christmas Day every time I log on here.

Anyway, on to topic. I signed up for HSBC Direct when I found out their interest rate is at 5.00%. It's promotional, but I decided to sign up anyway. Let me talk about this confusing process.

First, I went on this site and clicked on start application. I filled out the application online. I don't think they have a paper application. Anyways, after a whole bunch of questions, they ask to print off a signature sheet and mail them in a cheque with the initial deposit. The cheque had to have my name and address on it. I also needed to write down my confirmation number on the cheque. I had to mail it in to Vancouver, which is pretty far from where I am, so I decided to wait a week before getting nervous. It took in total almost two weeks before I saw the cheque cashed in my regular bank account. I don't like having my money floating out there, so I was nervous.

You'll notice that I had no way of knowing that my account was set up unless I saw my cheque cashed in my bank account. I didn't get a phone call, email, or letter sent to my home.

Next, I was wondering how I would be able to log on to the account online... Well, after searching the FAQs on the website, I found out I have to set up personal internet banking to do this! But to do that, I need a Personal Identification Number (PIN). How did I get that? I had to call in 1-877-621-8811 and after pressing a bunch of buttons, found an actual person to speak to. I found out that to set up personal internet banking, I also need the last ten digits of my bank card. But wait! What bank card? So the guy on the phone ended up having to tell me the last ten digits of my bank card as well as a temporary PIN. At this point, I'm getting confused. Anyway, so he finishes telling me what to do and puts me back on their phone system, where I punch in my temporary PIN and put in a new PIN. So now what?

After pushing a couple more buttons and getting nowhere, I hung up and got on HSBC Direct's online banking website. I plugged in my PIN and the last ten digits of the bank card that the guy on the phone told me. Then they ask me for more security questions! So after I fill those out, I'm able to finally log on to my account. There, I see my savings account and the $100 I deposited.

Next, I wanted to transfer over some more money... Well, their navigation looks like this:

First I clicked on Transfers, but that got me nowhere, so I clicked on Bank to Bank Transfers. (You might be thinking "Duh!" at this point, but man, I was tired and confused.) Clicking on Bank to Bank Transfers finally allowed me to transfer more money from my bank account to my HSBC direct account. I did that yesterday, and nothing has shown up yet on either bank account, so I'm hoping I did it right and waiting to see what else happens...

Man this was a confusing process.

The Cost of a Nap is $12.23/hr

A lot of students in school (myself included) like to sleep in and miss their morning classes. Heck, a lot of students like to sleep through their afternoon classes. And let’s not forget evening classes either…

My friend used to do this a lot, and I always yelled at him. What is the point of studying in university if you are going to be napping through your classes? In order to threaten him into going to classes, I asked him to calculate the ‘cost’ of his naps.

I calculated it today, and it’s actually $12.23 per hour. So a three hour class that meets each week would be $12.23 x 3 hrs for $36.69 per week.

Even worse than that cost, I think, is the amount of invaluable information that I would miss if I missed my classes. I try not to miss any classes because I learn best by listening to someone speak for a few hours rather than reading the information. It inevitably shows up on the final exam anyways. Even worse yet is the possibility of spending so much money on school and then flunking out—then what do you have to show for your debt? Not to say that napping through one or two classes will flunk you out, but the missing class adds up financially and takes a hit on you academically.

Pay Day is a Happy Day!

Today I got paid, and promptly put the money into my bank account. That bumps me up to about 42.8% of my goal. The crummy thing is that I couldn't put my entire paycheck towards paying off my student loans because I have to set aside money for next month's rent, as well as my visa bill this month. Yuck. But glad to see that I'm at 42.8% nonetheless!

Short Term vs. Long Term GIC

I've been looking at GICs and thinking about my options, considering I have to pay for my term studying abroad as well as paying off my student loans by summer of next year. A financial advisor at CIBC told me it was better to put my money into short term GICs--mostly because I'm a student, but also because short term GICs will pay out interest at the end of 30, 60, or 90 day periods. This is better than GICs that wait until one year to pay you interest. So I went about calculating the difference to see what that would look like.

Assume that you have $1000. Let's calculate the difference between parking it in a 30 day GIC repeatedly for one year (i.e., taking the principle plus interest and putting it into another 30 day GIC over and over for a year) versus just putting that principle into a one year GIC. Both GICs pay 4.25%.

$1000 in a one year GIC at 4.25% will yield $42.50 at the end of the year.

On the other hand, how about $1000 in twelve 30-day GICs?

Month	Interest	Running Total
1	$3.49	$1003.49
2	$3.51	$1007.00
3	$3.52	$1010.52
4	$3.53	$1014.05
5	$3.54	$1017.59
6	$3.55	$1021.14
7	$3.57	$1024.71
8	$3.58	$1028.29
9	$3.59	$1031.88
10	$3.60	$1035.49
11	$3.62	$1039.10
12	$3.63	$1042.73

So the total difference between a one year GIC and using twelve 30-day GICs ($1042.73 - $1042.50) is a grand total of $0.23 in one year. Ahh, the value of compound interest. (Granted, twelve 30-day GICs means only 360 days, so there's a five day difference between comparing the totals... School is teaching me to point out the limitations of my research.)

My Money Status

I'm going to keep a post just to log changes to my money status. Hopefully this will serve as a timeline for me.

October 12, 2007
Student Loans - $9000/$21033

42.8%

Exchange - $4366.55/$6500

67.2%

September 24, 2007
Student Loans - $9000/$21033

42.8%

Exchange - $2821.30/$6500

43.4%

September 13, 2007
Student Loans - $9000/$21033

42.8%

Exchange - $2696/$6500

41.5%

September 12, 2007
Student Loans - $9000/$21033

42.8%

Exchange - $1975/$6500

30.4%

August 8, 2007
Student Loans - $9000/$21033

42.8%

Exchange - $1000/$7000

14%

July 25, 2007
Student Loans - $9000/$21033

42.8%

July 11, 2007
Student Loans - $8076/$21033

38.4%

July 10, 2007 - my blog's birthday!
Student Loans - $7109/$21033

33.8%

Chasing Interest Rates

I recently found out about HSBC's new online savings account, which is just like ING Direct's online banking system. ING right now is at 4.25% whereas HSBC is at 5.00%--although both are at promotional rates and go back down to 3.50% afterwards.

The funny thing about these differences in interest rates (0.75%) is that it's really not that much. Unless you have a boatload of cash sitting around, chasing interest rates isn't necessarily that worth it, in my opinion. I feel like it's those people who line up at the gas station just cause gas is under a dollar. Let's say gas is usually about $1.03 per litre, and today you see it's at $0.99 per litre. People go, "wow! It's under a dollar!" and go and fill up. Well, suppose that's four cents savings for a 30 litre tank. That's saving $1.20 by filling up there. I'm sure somebody will say, oh, $1.20 adds up and whatnot, but filling up at those times probably requires waiting three times as long to fill up because of the long lines. In the same way, unless you have $10 000 to park in a savings account, the interest rate difference from 4.25% to 5.00% isn't really much.

However, I'm a student, and I have student loan debt looming over my head everyday. I also have all of my assets pretty liquid because I am saving for my exchange term next year. So, 0.75% interest is a big deal to me.

I've had an account with ING Direct for awhile now. (Leave me a message and I'll refer you so we can each get $13!) I love banking with them because they make everything so simple. Whenever I call them, I don't have to wait long to get a person to speak to instead of a machine. And I always get high interest rates with them.

I just signed up for the HSBC savings account last week and I'm just waiting while the account starts up. I'm not sure what's supposed to happen and I'm confused already. Basically I don't know when my account is set up until I notice they've cashed my initial deposit. Then I'm supposed to call them, I think... I'm going to write more about it once I figure out what's going on.

Marketing Ploys

My main method of curbing my spending is understanding why and when I spend money. I know that marketing is all about playing on your emotions too so I pay a lot of attention to it.

Today, I was just looking around for a black cardigan. I found one online, but do you know what the description says??

What ridiculous crap!! How can a sweater do miraculous things for your social life? Does this sweater help me make new friends? Does this sweater teach me how to say things to people? Unless this is some sort of magic sweater, I don't see how they can claim that it will do "miraculous things for my social life." Puh-lease.

Three Weeks in to July

It's been three weeks in to July and I'm just looking at how much I have spent for the month so far.

Some highlights:

• $55 on eating out at restaurants ($20 of it on lunches at work)
• $94 on groceries
• $9 for entertainment
• $80 on clothing ($30 of it on tailoring old clothes)

This tells me what I already knew--that I spend too much on clothes and eating out, and I hardly spend any money on socializing. The only money I spent on socializing was $35 for eating out at restaurants and $9 for entertainment on Canada Day. In comparison, I spent $80 on looking good. I'm spending way too much on stuff that depreciates and not enough on emotional things, like relationships, which is more important.

Holy Grail Shoes

Being a 22 year old girl (woman?) and a student, I often have to balance my desire for clothes and shoes with my budget and empty wallet. So instead of just buying anything, I really take time to make sure I pick out things that I like and can work in almost any situation.

Over the weekend I got a pair of shoes that are great for work. They're pointy toe black flats that look like the picture to the right. I absolutely love them because they're comfortable and go with absolutely everything for both work AND school. And I can walk in them all day long. The best part? $9.99 plus tax!

The reason why I buy a lot of shoes is because they never feel comfortable enough and they don't work with all of my outfits. Luckily, with these shoes, I'm hoping that I can just wear these new black flats for the rest of my life.

Me, My Parents, and My Visa Bill

Ever since I started university, my parents have watched every single bill I get. Yes, my parents open my bank statements and my visa bills. They do this with my younger brother as well. They claim they do it because they're afraid we'll miss a payment or make a late payment otherwise, but I know the truth is that they want to know exactly where we spend our money.

My brother spends freely like money is water, and so he gets a lot of heat from my parents for his insane visa bills. He'll even make late payments!

I try to cut down on my spending by eating more cheaply. This concerns my parents a lot. They think that I am starving myself to pay for school, so they always tell me "remember to eat" even though it's ridiculous--how can I forget to eat?

The other thing my parents have done in the past when they've worried I've been cheap on food in order to pay for school is that they'll occassionally pay my visa bill for me. Now, that makes me concerned, because:

1. They don't even have enough money to retire, how can they start paying my visa bills?
2. What kind of financial responsibility will that teach me if I can just rely on my parents to pay off my visa?

So what I end up doing is not watching the payment due date like most people. Instead, what I do is go online to watch the statement issue date like a hawk. About two days or so before the statement is issued for the month, I go in and pay the balance. That way, when the visa statement arrives at my parents' house, they'll open it and see a ridiculously low balance. Hence, they think I'm frugal, and I get them to stop paying my bills.

I'm writing this cause my statement will be issued in another two days. Time to go pay off that balance.

Financial One Upmanship

When I was in my last year of high school, people were getting kind of antsy and less helpful with one another. Everybody was stressed about what school they would get into for next year. Nobody wanted to help anybody out because they saw everyone else as competition, and helping others would mean helping the enemy!

I hoped that would change after everyone got into university or college; that this competitiveness would end. But after everyone got into university, there was a change in attitudes. People in more “elite” programs, like engineering, felt like they had the right to degrade other people. They thought that since their program was harder to get into, they were automatically smarter and had more say than people in inferior programs, like arts. We moved from one social hierarchy to another; we were no longer high school seniors. Everybody found a new way to feel better about themselves by talking down to people in “easier” programs. It never occurred to anybody that maybe people went into different programs because that’s where their interests were.

I feel like that same kind of superiority complex exists in the personal finance world. People become so concerned about money and learning how to be smart with their money. Don’t pay just the minimums on your cards, make sure you pay yourself first, retirement is not as far away as you think, etc., etc… Sometimes I see people blogging that so-and-so only pays the minimum on her cards and how stupid that is. I’m guilty of it myself with one of my best friends, just cause he spent more money than I would have myself. That’s the downside of personal finance—the one upmanship that I know more about money than you do, and that makes me smarter.

The other thing I see about personal finance that’s interesting is that people in debt tend to come together. They understand what other people are doing and push each other to do better. That’s a lot more interesting. Like Leigh Ann at Save Leigh Ann, who was supported by so many other bloggers when she realized that she had a lot more debt than she previously thought. That’s what makes the personal finance blogging world so incredible. People don’t even know each other, but encourage each other to pay off that debt! I wish things were always like that.

Financial Awakenings

I've been reading other personal finance blogs and I like to read the "about me" section to get a feel of how much debt they have, or what other financial problems they're dealing with. What I see a lot is that people have "financial awakenings," where they one day wake up and realize I can't do this anymore. Like Louise at Eliminate My Debt or Krystal over at Give Me Back My Five Bucks. Even my beloved DebtKid had a financial awakening.

So, I wonder, when was my financial awakening? I don't think I have one. Or maybe, my financial awakening happened in a different way.

When I was about eight years old, my dad gave me a dollar. Instead of saving it, I ended up buying a pencil and eraser with it. Later that day, my dad asked me where my dollar was, and I showed him the pencil and eraser instead. He had such disappointment on his face that I couldn't keep that dollar for even one day--and the guilt I had over disappointing my father has never left me. In fact, I feel the exact same guilt whenever I spend money. Spending money or losing it doesn't matter much to me, but disappointing my dad means a lot to me, so I've always been rather concious about it.

The other reason why I've been so obssessed with paying for school is because of my dad's hardships. Before we immigrated to Canada, he ran a successful business and had tons of assets. He decided to sell all of those so that he could raise me in Canada and make sure I got a proper education and upbringing. Because my dad never even graduated from high school, he had a hard time getting a decent job over here. It doesn't matter that he successfully managed his own business overseas because that's just not recognized over here when you have to leave the "education" part of any job application blank. My dad is actually a senior citizen now, but he continues to work everyday, waiting for me to graduate so I can support him. I feel that being financially responsible so I can support my parents after graduating is the least I can do for all they have done for me--selling all of their assets and moving to a new country to start over in their forties must have been daunting. I had secretly hoped that paying for school by myself would allow my dad to retire sooner, but he told me he can't until I bring home money.

I guess I didn't have financial awakenings because I always remembered, in the back of my head, what my dad's done for me and I'll always be thankful for that.

Archilles Heel

I came across an article on barriers to success that features Chris Garnder from the Pursuit of Happyness. I can totally relate to this article because I absolutely hate answering messages and phone calls. This started sometime in my final year of high school, right around the time I became depressed and my mom got cancer. I just couldn't deal with school properly, so I skipped classes, and would get phone calls home. That was four years ago, and I still cringe when I see that I have messages to answer. It's something I have to make sure I work on for my personal development. I loved reading this article because it reminds me that I just have to deal with my flaws head on.

Inspirational Finance Stories

I came across this website last night. It has 100 inspirational personal finance stories online, which I plan to read.

Apart from that, I'm going home this weekend! Yippee!

Current Financial Goals (now to 2008)

When I started university, I wanted to pay for school by myself. I always assumed that if I could pay for school, then that would free up money for my dad to retire as soon as possible--something I want him to do for his own health and happiness. So that's goal #1: pay for school by myself. So far, so good. (If you can call paying for school by using a substantial chunk of borrowed money actually "paying for school by myself," lol).

When I thought about paying for school by myself, I asked the admissions officer how much tuition would cost. I worked out tuition and rent to be at a base of $40 000, in addition to living expenses, transportation costs home, and textbooks. I figured I'd be able to pay for school by myself, but the idea of graduating with $40 000 in debt?! No thanks! So that led to goal #2: graduate with no student loan debt.

Luckily, I might just be able to accomplish that goal. I have $21 033 in student loan debt that I don't plan on increasing--so $21 033 has become the magic total student loan debt number I need to pay off. I was lucky enough to get $20 000 USD in scholarship money, of which I've used $9000 USD to pay for school. I'll also be able to make more than $21 000 CDN from working while in school. Things are going to be pretty tight, but my desire to go on exchange means goal #3: save as much as possible from now until April 2008 to pay down my loans AND go on exchange! Unfortunately, I'm not saving as much as I could, but I'm not going to kick myself over every $5.

These goals have taught me to become more and more financially responsible for myself. I've gotten credit cards that I pay in full every month, used budgets, shopped around for the best bank accounts, and keep my money in high interest accounts. I'm so glad I'm learning so much that I can apply to my future financial goals--like saving up for graduate studies or a downpayment on property. I think it'll be amazing to look back on these posts in a year or two and think about how far I've come along.

Pay Day!

I got paid today, which brings my savings up from 33.8% to 38.4%. Yay!

The cruddy thing about work, though, is the fact that I basically walk through the mall to get home. It's the shortest route; otherwise I have to circle around it, and I hate that because of all the bad city air/car exhaust on the street. Oh well, I guess this is a test of self-restraint during the summer sales.

I'm planning on going home for the weekend. My friend's going to drive, and I plan on giving him some money which should cover the gas bill. The annoying thing is that my other friend found out and basically invited herself along. I'm sure she's not going to offer any money to the guy who's driving. I think that's just poor manners to expect a free ride when it's going to be at least a five hour drive.

It usually irritates me when people are being cheap. I mean, I don't have money either, so I know what it feels like. But I hate it when people don't have money and just complain about it. Like another friend of mine, who wanted a weekend away, and all she did was try to get free rides off other people and complain the whole time about how she couldn't afford it. If you want to get away for the weekend, fine. Set some money aside for it! Don't complain that you don't have money for it and then do it anyway.

Sigh. At least I can be happy that I got paid today!

First Post

Hi, and welcome to my blog. I'm a 22 year old full-time student with one year left of studies. I've been paying for school by myself and want to graduate with a positive net worth.

About me:

• I am Canadian and American
• I will graduate in 2008
• I am planning on going on exchange for my last term of undergrad (January 2008 in England)
• I work while in school and save that money to pay for school
• My current student loan amount is around $21 000 CDN right now

This is my journey to graduate with as little debt as possible.