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TikTok’s latest trend aims to reframe the narrative around luxury indulgences.
“Girl math” breaks down the price of an item by the cost per wear.
However, with any big-ticket purchase, consumers should first consider the trade-offs, experts say, especially if it comes at the expense of your financial well-being.

By nearly every measure, Americans are financially strained. Yet, we’re coming up with new ways to justify expensive purchases.
The latest way, coined “girl math,” breaks down the price of an item by the cost per wear. If you use an expensive handbag every day for a year, for example, then it might only set you back a few bucks each time you wear it.

Alternatively, buying something on sale not only means you’ll spend less, but the difference can be considered “found money,” which can be put toward something else.
While the term originated from an unflattering view of women and their finances, TikTok’s latest trend aims to reframe the narrative around luxury indulgences.
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In addition to how these purchases are rationalized, there’s also a psychology to which payment method is used.
Buying big-ticket purchases in cash, for instance, makes them easier to forget because there’s no paper trail, according to a recent paper by Christopher Bechler and Szu-chi Huang at Stanford’s Graduate School of Business.

This works well for “an indulgent purchase that doesn’t feel super justifiable,” Bechler said.
Otherwise, consumers increasingly turn to buy now, pay later to spread out the cost of their “retail therapy” with small installments.

All this coincides with TikTok’s other recent trend, “treat” culture, which promotes spending money as a form of self-care, providing a temporary boost during stressful economic times.
By whatever means, “we are all vulnerable to destroying ourselves financially,” said Brad Klontz, a Boulder, Colorado-based psychologist and certified financial planner.
However, there are some benefits to this approach.

When ‘girl math’ works

Hollie Adams | Bloomberg | Getty Images

Most experts recommend thinking about major purchases more carefully, and that’s where “girl math” can come in handy.
“Sometimes, ‘girl math’ is perfect math,” Klontz said. Factoring in how often you will use or wear an item helps “calm down the emotional part of the brain and turn on the rational part of your brain.”

When the math doesn’t add up

“The math often won’t end up in favor of splurging on luxury goods. Jewelry and watches may hold their value but most of the rest are depreciating assets,” said Christine Benz, Morningstar’s director of personal finance and retirement planning.
That underscores the importance of weighing those types of purchases carefully, she added, and considering the trade-offs, especially if it comes at the expense of your economic standing.

‘Girl math’ is just the latest iteration of us trying to rationalize financial behaviors that we know we shouldn’t be doing.

Brad Klontz
psychologist and managing principal of YMW Advisors

“‘Girl math’ is just the latest iteration of us trying to rationalize financial behaviors that we know we shouldn’t be doing,” said Klontz, who is also managing principal of YMW Advisors and a member of CNBC’s Financial Advisor Council.
“Why the need to justify it?” he added. “The answer to that is because you can’t afford it.”

In the wake of the Covid-19 pandemic, a spike in interest in luxury goods has also driven prices sky-high.
The “quiet luxury” trend is partly to blame, which glorifies the most high-end lifestyles even though most Americans are more likely to live paycheck to paycheck.
Just take the HBO series “Succession,” where the central characters travel by helicopter in $600 Loro Piana cashmere baseball hats and scoff at a Burberry tote bag that retails for $2,890.
Benz advises others to think broadly about luxury. Rather than an expensive bag, being financially healthy is a more valuable possession, she said.
“For me, financial well-being and security have evolved to be more important than luxury goods.”
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After piling into Series I bonds amid record-high yields, many investors are now eyeing other competitive options for cash.
However, there’s a three-month interest penalty for redeeming I bonds within five years, which may cut into higher yields.

Enes Evren

Investors piled into Series I bonds amid record yields, and some are now eyeing an exit for higher-interest alternatives. But redeeming I bonds can be tricky, experts say.
After reaching 9.62% annual interest in May 2022, I bond yields have declined with falling inflation, reaching 4.3% interest for new purchases between May and October. 

The latest consumer price index data supports the downward trend, with annual inflation rising 3.2% in July. However, the U.S. Department of the Treasury still needs two months of CPI readings before the next I bond rate change.

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I bond yields have two parts: a fixed rate that stays the same after purchase, and a variable rate, which changes every six months based on inflation. The Treasury Department announces new rates every May and November.
“It’s falling back in line with I bond inflation rates we had before the pandemic,” said Ken Tumin, founder and editor of DepositAccounts.com.

The ‘best time’ to get out of I bonds

However, the best time to sell may vary, depending on when you purchased the I bonds, along with your investing goals, said Keil, who has addressed the question on his company blog.
While longer-term investors may like the current 0.9% fixed rate portion of I bond yields, short-term investors may prefer higher-paying alternatives.

The interest penalty can cut into higher yields

One of the big downsides of purchasing I bonds is you can’t access the money for at least one year. But there’s another sneaky pitfall: a three-month interest penalty for selling the asset within five years.
“If you’re thinking about redeeming this year, you want to make sure you’re getting the full six months of 6.48% interest,” Tumin said.

When selling I bonds within five years, it’s easy to get confused by how much interest you’re giving up. That’s because the yield resets every six months starting on your purchase date, not when the Treasury Department announces rate adjustments.   
For example, if you bought I bonds last July, when the annual rate was 9.62%, your interest didn’t drop to 6.48% until this January, and your rate didn’t decline to 3.38% until last month. You can find the rate by purchase date here and rate change by purchase month here.
“If you bought in April 2022, don’t be upset about the new rate because it won’t affect you until October,” Keil said.

There’s no ‘partial month’ of interest for I bonds

You also need to consider the timing of when you sell, because you don’t earn interest until you’ve held I bonds for the full month, according to Keil.
“There’s no partial month [of interest] in the world of I bonds,” he said, meaning it’s better to cash out at the beginning of the month rather than the last few days, if possible.  More

Astra Taylor has been fighting to get student debt forgiven for a decade.
She’s not giving up now: “The genie of debt cancellation is not going back in the bottle.”

Astra Taylor
Source: Isabella De Maddalena

In 2014, Astra Taylor co-founded the Debt Collective, the first union for debtors. Since then, one of her main goals has been to get student debt canceled.
The last year or so has been bittersweet: First, in what felt like a major victory, President Joe Biden announced that he’d cancel up to $20,000 in federal education debt for tens of millions of Americans. Then that plan was quickly halted by a barrage of legal challenges from the right.

The Supreme Court finally struck down Biden’s relief program in June, ruling that the president didn’t have the authority to forgive so much consumer debt without prior authorization from Congress.
But Taylor isn’t discouraged. “The genie of debt cancellation is not going back in the bottle,” she said.
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I interviewed Taylor, who is also a documentary filmmaker and author, this week about her reaction to the Supreme Court’s decision, and what is next for the battle to get student debt forgiven. Her latest book, “The Age of Insecurity: Coming Together as Things Fall Apart,” will be published in September.
This interview has been edited and condensed for clarity.

Annie Nova: Did the Supreme Court’s decision surprise you?
Astra Taylor: No. It is obvious that the court’s majority is ultraconservative and highly partisan. The Biden administration should have canceled the debt automatically and immediately before lawsuits were filed.
AN: What do you expect the consequences of the ruling to be?
AT: I hope the ruling contributes further to the delegitimization of the court. Justice Elena Kagan charged that the decision violated the Constitution. In the long term, the cause of student debt abolition will prevail. Borrowers won’t let six reactionary judges have the last word.

AN: What’s next for advocates and borrowers who’ve been pushing for student loan forgiveness for years?
AT: We’ve organized through far tougher scenarios than this. No one doubts that student debt cancellation is possible and lawful, and the majority of Americans are on our side when it comes to student loan relief. We’ve made tremendous progress and will keep fighting. The student debt strike is growing, and I invite people to join it. Direct actions are being planned, and we have various legal strategies that will be unveiled soon.
AN: What would you want to see the president do next? Some experts expect his second plan for student loan forgiveness will be much more modest.
AT: Anything less than what Biden promised will be felt as a letdown, even a betrayal. Biden needs to do his best to deliver, and the safest path is to go big. Cancel it all, immediately, and dare the court to reimpose life-destroying debts on 45 million people.

AN: What do you make of the Biden administration’s plan to resume student loan payments in less than two months?
AT: It is unthinkable that Biden would restart payments and have the Department of Education collect on loans he and his administration promised to cancel, especially given the fact he has other legal tools to follow through on his commitments. If he does make the mistake of restarting payments, he will head into 2024 as America’s debt collector in chief. And the political consequences will be severe. Student debt cancellation tipped the balance in Democrats’ favor in the midterms. Failing to deliver will demoralize and demobilize young people, whose votes they cannot afford to lose. More

Life Changes

With other household debt on the rise, the restart of student loan payments in less than two months may cause financial hardship for many Americans.
Fortunately, they have options.

Jacob Wackerhausen | Istock | Getty Images

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1. Deferments

Struggling borrowers should first see if they qualify for a deferment, experts say. That’s because their loans may not accrue interest under that option, whereas they almost always do in a forbearance.
If you’re unemployed when student loan payments resume, you can request an unemployment deferment with your servicer. If you’re dealing with another financial challenge, meanwhile, you may be eligible for an economic hardship deferment.
Those who qualify for a hardship deferment include people receiving certain types of federal or state aid and anyone volunteering in the Peace Corps, said higher education expert Mark Kantrowitz.
With both a hardship and an unemployment deferment, interest generally doesn’t accrue on undergraduate subsidized loans. Other loans will rack up interest, however.
The maximum amount of time you can use an unemployment or hardship deferment is usually three years, per type.
Other, lesser-known deferments include the graduate fellowship deferment, the military service and post-active duty deferment and the cancer treatment deferment.

2. Forbearances

Student loan borrowers who don’t qualify for a deferment may request a forbearance.
Under that option, borrowers can keep their loans on hold for as long as three years. However, because interest accrues during the forbearance period, borrowers can be hit with a larger bill when it ends.
Kantrowitz provided an example: A $30,000 student loan with a 5% interest rate would increase by $1,500 a year under a forbearance.

If a borrower uses a forbearance, he recommends they at least try to keep up with their interest payments during the pause to prevent their debt from increasing.
“A deferment or forbearance should be a last resort, but they are better than defaulting on the loans,” Kantrowitz said.
Betsy Mayotte, president of The Institute of Student Loan Advisors, a nonprofit, recommends borrowers only use a forbearance or deferment for a short-term hardship, including a sudden big medical expense or period of joblessness.
Borrowers are best off finding a payment plan they can afford, Mayotte said. 

3. Income-driven repayment plans

Income-driven repayment plans can be a great option for borrowers who are worried they won’t be able to afford their bills, experts say.
Those plans cap your monthly payments at a percentage of your discretionary income and forgive any of your remaining debt after 20 or 25 years.
Currently, the Biden administration is working to roll out a new repayment option under which borrowers would pay just 5% of their discretionary income toward their undergraduate student loans, with some people having a $0 monthly bill. More

The consumer price index rose 3.2% in July from 12 months earlier, the U.S. Bureau of Labor Statistics reported.
While the annual rate for headline inflation was below expectations, it marked an increase from 3% in June.
Nearly all of the monthly inflation increase came from shelter costs, which increased by 0.4% and were up 7.7% compared with one year ago.
And experts say “jumping oil prices” are a threat to reaching the Federal Reserve’s 2% inflation target.

Grocery items are offered for sale at a supermarket on August 09, 2023 in Chicago, Illinois. 
Scott Olson | Getty Images

Annual inflation rose slower than expected in July, a welcome sign for consumers who have been grappling with high costs. But many Americans are still feeling the sting of essential expenses such as shelter and energy.   
The consumer price index rose 0.2% for the month and 3.2% from one year ago, according to the U.S. Bureau of Labor Statistics. While the annual rate for inflation was below expectations, it marked an increase from 3% in June. 

July’s CPI report was “better than we were expecting,” said Eugenio Aleman, chief economist at Raymond James. But the biggest issue is “shelter costs continue to remain strong.”
The CPI is a key gauge of inflation, measuring the average price changes over time for goods and services. While July’s annual inflation was higher than June’s, it’s still a sizable drop from the 8.5% reading one year ago.

Nearly all of the monthly inflation increase came from shelter costs, which increased by 0.4% and were up 7.7% compared with one year ago. “We have been expecting shelter costs to start weakening considerably,” Aleman said. “But it hasn’t happened.” 
Despite rising oil costs, energy prices increased just 0.1% in July and food increased 0.2%, according to the bureau. However, there was relief for used vehicle prices, which dropped by 1.3%, and medical care services, which were down 0.4%. “That was very good news for consumers,” Aleman said.

‘Jumping oil prices’ is a threat to inflation target

“Inflation is moderating and headed in the right direction,” said Mark Zandi, chief economist at Moody’s Analytics. “It’s still too high for the Federal Reserve’s comfort, but quickly moving toward its target.”

The Fed approved another interest rate hike in July, still aiming for its 2% inflation target. But the central bank may be reaching the end of its rate-hiking cycle, some officials say.   
“If everything roughly sticks to script, inflation will be back to the Fed’s target by this time next year,” Zandi said. 
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He said the most serious and immediate threat is higher oil prices, which have increased over the past month or two. But with numerous “unpredictable geopolitical factors,” future oil prices can be difficult to predict, he said. 
“Nothing is more vexing, more pernicious than jumping oil prices,” Zandi said.
With elevated oil prices, the next CPI report before the September Fed meeting “probably won’t look good unless shelter costs start plunging,” Aleman added.

Millions of households are ‘stretched financially’

Despite falling inflation, many Americans are still feeling the pinch of higher prices. 
“It’s hit hardest and most consistently in categories that are necessities,” said Greg McBride, chief financial analyst at Bankrate, noting that millions of U.S. households are still feeling “stretched financially.”  
Some of the essential monthly expenses such as shelter, electricity and motor vehicle costs continue to strain budgets, he said.

It’s hit hardest and most consistently in categories that are necessities.

Greg McBride
Chief financial analyst at Bankrate

“There really hasn’t been anywhere to hide,” McBride added.     
As a result, savings balances have declined and credit card balances are up, he said. Those credit card balances also become harder to pay off amid rising interest rates. Indeed, aggregate credit card balances surpassed $1 trillion for the first time in history, the New York Federal Reserve reported Tuesday.
However, the strong labor market could offer a chance for a side job that could help people improve their household budget and start paying off debt, McBride said. More

As Americans increasingly lean on credit to make ends meet, new reports show some signs of potential problems ahead.
Total credit card debt reached a record $1 trillion in the latest quarter, the Federal Reserve Bank of New York reported Tuesday.
The average balance rose to $5,947, the highest in 10 years, a separate report by TransUnion found.
Still, there are opportunities out there for cardholders that will provide a “tailwind on a path to debt repayment,” one expert says.

For some, high-rate debt is ‘their only option’

Rising balances may present challenges for some borrowers, particularly when student loan payments resume this fall, the New York Fed researchers said.
“We also can’t discount the importance of higher interest rates on the costs of borrowing for households,” said John Sedunov, associate professor of finance at Villanova University’s School of Business. “Not only are goods and services more expensive, but so is money.”

On the heels of another rate hike last month by the Federal Reserve, the average credit card rate is now more than 20% on average, an all-time high.

People aren’t financing purchases at 20% because they have other options.

Greg McBride
chief financial analyst at Bankrate

At nearly 20%, if you made minimum payments toward this average credit card balance, it would take you more than 17 years to pay off the debt and cost you more than $8,366 in interest, Bankrate calculated.
“People aren’t financing purchases at 20% because they have other options,” said Greg McBride, chief financial analyst at Bankrate. “They’re doing that because it’s their only option.”
Factor in a personal savings rate that was hovering around 4.3% in June — well below a decades-long average of roughly 8.9% — “I think it is painting a picture of an economy in which inflation has taken its toll on households,” Sedunov said.
Overall, an additional 19 million new credit accounts were opened in the latest quarter, boosted in part by originations among Gen Z, or adults ages 18 to 25, gaining access to credit cards. The tally of total credit cards hit a record 530.6 million, TransUnion also found.
“Like the overall population, many Gen Z borrowers are facing the same financial challenges brought on by high interest rates and inflation,” said Michele Raneri, vice president of U.S. research and consulting at TransUnion. “As a result, they are tapping into these available credit products to help them cope with rising expenses.”
As the number of credit card accounts in the U.S. rose, delinquencies notched higher, the report said. TransUnion defines a delinquency as a payment that’s 90 days or more overdue.
“The increase in delinquencies over the past several quarters is something to monitor,” Raneri added. Already, lenders have started to restrict access to less-experienced credit users, she said.

How to tackle high-interest credit card debt

krisanapong detraphiphat | Moment | Getty Images

“It’s still a tremendous opportunity to grab a 0% balance transfer card,” McBride said. Cards offering 12, 15 or even 21 months with no interest on transferred balances are out there, he added, and “if you have credit card debt, that is your first step — to transfer that balance and give yourself a tailwind on a path to debt repayment.”
Borrowers may also be able to refinance into a lower-interest personal loan. Those rates have climbed recently, as well, but at 10%, on average, are still well below what you currently have on your credit card.
Otherwise, ask your card issuer for a lower annual percentage rate. In fact, 76% of people who asked for a lower interest rate on their credit card in the past year got one, according to a LendingTree report.
“The fact that card issuers are still willing to give breaks like that, even in the wake of a year of frequent rate hikes, is very, very good news for cardholders,” said Matt Schulz, chief credit analyst at LendingTree.
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Workers who go on strike generally don’t qualify for unemployment benefits. But two states — New York and New Jersey — are the exception to that rule.
Other states could soon join them.

Rep. Greg Casar, D-Texas, speaks during a Vigil and Thirst Strike for Workers’ Rights on the House steps of the U.S. Capitol on July 25, 2023.
Tom Williams | Cq-roll Call, Inc. | Getty Images

Workers who go on strike generally don’t qualify for unemployment benefits. But two states — New York and New Jersey — are the exception to that rule, and other states could soon join them.
The push to provide unemployment insurance to those who walk off the job in protest is picking up amid what has become known as the “summer of strikes.”

More than 200 strikes involving around 320,000 workers have occurred across the U.S. so far in 2023, compared with 116 strikes and 27,000 workers over the same period in 2021, according to data from the Cornell ILR School Labor Action Tracker. Worker activism rose during the coronavirus pandemic, and a tight labor market has given employees more power to negotiate.
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“These are public benefits that should be there for workers when their workplace is so unsatisfactory that they take the extraordinary step to go on strike,” said Michele Evermore, a senior fellow at The Century Foundation. “They need support just like any other worker.”
Critics of the aid say it puts employers at a disadvantage during negotiations and encourages workers to go on strike.
Here’s what to know about access to unemployment benefits for striking workers.

New York

New York has offered some form of jobless benefits to striking workers since before the unemployment insurance was even written into federal law, Evermore said.
What’s more, in 2020, state lawmakers dramatically reduced the amount of time an employee has to be on strike before they can begin collecting unemployment, from seven weeks to 14 days.
Workers on strike in the Empire State can typically collect the benefits for as long as 26 weeks.

The state could require the aid to be repaid if a worker’s employer provides them with back pay when the strike is over, according to the New York State Department of Labor.
The department “remains committed to helping to ensure that impacted workers have access to the resources they are entitled to during trying times, including labor strikes,” it said.

New Jersey

Workers on strike in New Jersey may also qualify for unemployment benefits, and lawmakers recently shortened the waiting time for eligibility there, too, to 14 days, down from 30.
“These benefits are crucial to allow individuals going through this process the support they need to continue to take care of themselves and their families during difficult times,” New Jersey Gov. Phil Murphy said in a statement in April.
Workers in the state can usually collect unemployment benefits for up to 26 weeks.

Push picks up in Massachusetts, Connecticut

A bill is working its way through the Massachusetts Legislature that would offer unemployment benefits to those who have been on strike over a labor dispute for 30 days or more.
Lawmakers in Connecticut also recently pushed to provide jobless benefits to workers on strike, but they have so far been unsuccessful.

“To me, it’s an absurd notion on its face,” Rob Sampson, a Republican state senator in Connecticut, said at a committee hearing earlier this year. “People are voluntarily walking off the job.”
But many workers who go on strike don’t feel they had much other choice, Evermore said.
“Once your shop elects to strike, if you individually decide to break that strike line, you are undermining your self-interest and the interests of your whole union,” she said.
“This is not putting a thumb on the scale in negotiations,” Evermore added. “It is totally in keeping with the goals of unemployment insurance: to keep people who are out of work from desperation.” More

Overworking has resulted in 745,000 deaths from stroke and ischemic heart disease in 2016, according to a 2021 report by the World Health Organization and the International Labour Organization.
Author Manisha Thakor explores the causes and risks of constantly seeking for more in her new book, “MoneyZen: The Secret to Finding Your ‘Enough.'”

vchal | Getty Images

Between 2000 and 2016, long working hours led to a 42% increase in deaths from heart disease, and a 19% increase in deaths from stroke, according to a 2021 report from the World Health Organization and the International Labour Organization.
The bulk of 745,000 deaths in 2016 from such causes were among people between 60 and 79 years of age who had worked for 55 hours or more per week between the ages of 45 and 74.

In her new book, “MoneyZen: The Secret to Finding Your ‘Enough,'” author Manisha Thakor explores the reason why people fall into overworking themselves and the risks people face in the long run. Thakor, a certified financial planner and a chartered financial analyst who has an MBA from Harvard, wants to help people shed work addiction and “self-sabotaging beliefs and habits around money, careers [and] accomplishments.”
(This interview has been edited and condensed for clarity).
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Chasing money, prestige doesn’t ‘quench the need’

Ana Teresa Solá: What is the “never enough” mindset? Manisha Thakor: I define the “never enough” mindset as a feeling that no matter how many accomplishments you achieve or how much praise you receive, it just feels like it’s never enough. And you feel almost compelled in a subliminal, toxic way to keep chasing after these things. No matter how many of them you receive, it just doesn’t seem to quench the need.
ATS: Can you explain the Buddhist concept of the hungry ghosts and how it’s connected to the feeling of “never enough?”MT: It’s the notion that hungry ghosts walk amongst us and they are beings who are seeking love, a sense of belonging, to be seen for who they really are and appreciated for who they are, not what they do. In the traditional Buddhist’s description, these ghosts have big bellies because they’re starving with these things, but they have throats that are as small as a needle. No matter how much of these beautiful things are coming to them, in their daily lives, they’re not able to digest enough to fill their bellies.

I met an unprecedented number of people who are struggling with this kind of mindset. My argument is that it’s because people are experiencing the symptoms of a society that’s been built on this false belief that the answer to our collective angst is pursuing more money, work and more prestige. Those things turn us into hungry ghosts because they have no finish line — you can never get enough of them.

‘Increased income is not leading to life satisfaction’

ATS: How do working conditions in the U.S. perpetuate “never enough?”MT: Tremendously, and from a variety of different angles. We have a shocking number of people who are not earning a living wage. They range from individuals who are working two to three jobs at minimum wage and are utterly exhausted trying to provide for their families, struggling with the lack of social safety nets. And then we have another category of people who add enormous value to society — from teachers to medical frontline workers — who aren’t paid remotely compared to the value they bring to society.
The final rotten cherry on the top is the fact that as a society, we have come to so value each other based on what someone does. 

The overarching risk is that we end up, at the end of the day, looking back at our adult years and realizing we spent years as human ‘doings’ instead of thriving as human ‘beings.’

Manisha Thakor
Author of “MoneyZen: The Secret to Finding Your ‘Enough'”

ATS: You would say that work conditions have meshed into our lives so much that we become what we do?MT: Oh, absolutely, and it starts early. We ask young kids, “What do you want to be when you grow up?” We don’t mean “be” by your character. Be nice, be kind, be compassionate and be loving. We mean, “What do you want to do for a living?” That’s the lens and it starts from such a young age.
ATS: What are some of the risks we face if we overwork ourselves? MT: The overarching risk is that we end up, at the end of the day, looking back at our adult years and realizing we spent years as human “doings” instead of thriving as human “beings.” Another one is that your core relationships shut you down. My friends are my coworkers and they become my surrogate family.
But I think the biggest one is this pervasive sense of emptiness that just life isn’t fulfilling. You are working hard, you may be earning more, but that increased income is not leading to life satisfaction. 

‘Identify what’s on the other side of your self-worth’

ATS: You bring up significant data and anecdotes that highlight how overworking can lead to health issues. How can someone pivot their behavior before it’s too late?MT: Most of us are optimizing our lives for some kind of toxic equation. In my case, I literally believed that my self-worth equaled my net worth. A key start is to identify what’s on the other side of your self-worth. I want to introduce people to what I think is a much healthier framework to make decisions about the asset allocation of your scarce resources of time and money, to bring you to this place that I happen to call MoneyZen. 

ATS: What is MoneyZen? MT: It’s a term I coined over a decade ago and which I refer to as having calm confidence and clarity about both your relationship with money and the role you want money to play in your life. There’s not a specific number associated with it, it’s a state of mind. The steps to get there is a mental model of “financial health” plus “emotional wealth.”
ATS: What advice would you give to younger adults who are embarking on their early relationships with money and their careers? MT: Live within your means, generally speaking. Your life isn’t going to look like your friends around you because most people don’t live within their means.
That’s the core foundation of establishing good lifelong financial habits because once you learn that skill, you then can start being responsible with debt management, and perhaps being very aggressive with the payoff of that debt management. You also have money to set aside for an emergency fund, because we all know the one thing you can expect is the unexpected. And you also have some money to set aside for the future because we know about the power of compounding.
Those three things are the three-legged stool of financial health.  More