Financially Naked

On this episode of Financially Naked: Stories from The Financial Gym, our host is Joy Liu, Head of Trainer Academy. Joining her today are two new team members of The Financial Gym, Erika Moromisato and Juan Valeriano. Erika and Juan are both Level 2 Certified Financial Trainers and Joy is interviewing them today so we can hear their stories and get to know them better.

• Joy starts by asking Juan and Erika how they found The Financial Gym and what led them to apply for this job?
• Erika's parents immigrated from Peru and her mom taught her to save her money, but there wasn't much guidance beyond that. When she got to college, she realized she had to support herself completely. She had a part-time job and her boss gave her some advice and tips, which was the start of her interest in personal finance. She applied for the position over a year ago and learned about the CFT school. She was part of the first cohort, but was then hired to be an employee of The Gym.
• Juan was also raised in an immigrant household. Growing up, he witnessed his family make fear-based decisions with money. As he got older, Juan liked seeing money go into his account, but struggled to spend it. He never developed debt, but didn't feel confident about what to do with the money he'd saved. He graduated in 2020 with a BFA in acting, but the industry was dormant at the time because of the Covid. He used this time to learn something that scared him, personal finance. Within five months, he'd read seven different personal finance books and wanted to share this knowledge with other artists who are scared of money. When he searched to see if someone was doing this work, he found The Financial Gym.

• Joy asks Juan and Erika to tell us about what hobbies, skills, and interests make them unique as people and Financial Trainers.
• Erika got married in the middle of a pandemic, and she owns a condo with her wife that they are renting to friends while living in Queens with her in-laws. Personal finance is interesting to her because she loves all types of self-improvement. One of her dream goals one day is to build a tiny home.
• Juan lives with his long-term girlfriend, and Thickems, their cat. They've been living in LA since March, but before that, he lived in New York, Florida, and went to school in Dallas. Juan loves gaming, sports, and art in all of its forms.
• Joy asks Juan and Erika to share their best financial decisions and a learning opportunity they've experienced.
• Erika shares that her biggest learning opportunity is when a ten-year relationship ended overnight. She did not have an emergency fund and had been depending on this partner for certain financial needs. Since then, she's been great at risk management and planning for emergencies. Last year, there was a family emergency and she needed to take a same-day flight home. Having the emergency fund allowed her to book the ticket without feeling financially stressed.
• Juan talks about how investing in himself through books transformed his mentality toward money. The two most impactful books he read were, The Psychology of Money by Morgan Housel and I Will Teach You to Be Rich by Ramit Sethi. Juan's biggest hindrance is that he considers himself a perfectionist which can lead to inaction. He now focuses on progress over perfection.
• The Financial Gym meets clients where they are, and serves anyone who comes through the door. Joy asks the new Trainers who they're most excited to serve in this role.
• Erika wants to be a financial hype woman for anyone who needs it. She loves to encourage people to follow their potential and loves working with people who are early on in their careers.
• Juan is excited to serve artists who are just starting out, fresh out of college, or those coming from a fear-based mentality. He also wants to work with first-generation Americans and folks from immigrant families.
• If you want to work with Juan or Erika, schedule a free warm-up call today. Let the associate know you heard the podcast episode and would like to request one of these folks!

Meet Joy Liu, Level 2 Certified Financial Trainer & Head of Trainer Academy

Meet Erika Moromisato, Level 2 Certified Financial Trainer Meet Juan Valeriano, Level 2 Certified Financial Trainer

On this episode of Financially Naked: Stories from The Financial Gym, Joy, Head of Trainer Academy, is joined by one of her long time friends, Belma McCaffrey, Founder of Work Bigger. Belma's story resonates with Joy and a lot of the clients that come through The Financial Gym. Today, they're talking about finding your 'superpower' and how you can use that to connect to your life's purpose. For anyone who is looking to make a change or is asking the question, 'what do I want to do with my life?' this conversation is not one you'll want to miss.

• Work Bigger is for dissatisfied big achievers, asking the question, 'What do I want to do with my life?' It is the resource Belma needed in her 20's. At the time, she struggled to know what she wanted to do with her career but knew she wanted to make an impact. When she went back to business school, Belma quickly realized she was not the only person with this problem. Work Bigger was born to be the solution and is helpful for people who feel a little lost.
• Joy works with a number of clients who go through this struggle. A huge aspect of building a financial plan is setting goals that are meaningful to you. Once it's clear what those goals are, it's easier to set action steps and make them happen. Changing your mindset without knowing the bigger purpose can be challenging.

Joy asks Belma to define 'superpower' and why it's important to know what yours is.

• It's 'what do I care about, and why?' Your thumbprint, or what really makes you unique. It's about identifying what is the special value that you can add to this world. Once we know and understand our superpowers, they can be activated.

How do you start the process of finding your superpower?

• Belma has a class that goes into more detail: linked here, but shares the highlights.
• There are four clues: emotions, actions, feedback, & understanding your WHY.
• Emotions: What are you doing when you're feeling in the flow? We have positive and negative responses, identify what you're doing when you are feeling positive.
• Actions: What do you find yourself doing when you're in a place of flow? Understand that behavior.
• Feedback: What are other people reflecting back to you your superpower is?
• Your WHY: Understanding who you are and what drives you. Once you're clear on that, you can get more clear on the work you do every day.
• It's a journey of self-discovery and is totally normal to not have all the answers without going through the process.

Joy asks, 'How did you get to the clues and what are your superpowers that lead you to Work Bigger?'

• It took Belma a lot of work to figure out the four clues and did so by tapping into her own journey. She thought her dissatisfaction with the workplace was the workplace's fault. But she pivoted and started having conversations with people in similar situations, connecting with them mentally and emotionally.
• She started by reading a lot of books including What Color is my Parachute? and Big Book of Jobs. She thought if she could see the job, something would click for her.
• She spent time researching and speaking with therapists and coaches. She put together a beta and it was a culmination of worksheets and questions that she was working on with other people.
• Understanding your emotional landscape is foundational. Before the resume, the cover letter, or any of that, the foundation must be built. Navigating the external world is easier once the internal compass is set.

Joy asks, 'What are some emotional or behavioral cues that led you to this work and guiding others?'

• Belma has always gravitated towards the big picture, strategic thinking, which comes into play when she is coaching clients. She feels energized and connected when she is teaching, speaking, and supporting clients.

Joy talks about how guiding people through a transformation or action that they wanted to do, but couldn't quite make happen themselves.

• She gets to meet people where they are, ask questions, and present solutions. It's about finding pathways to accomplish the things they want with more ease. She previously worked in advertising and uses the skills from that job in this role, which is more fulfilling for Joy.
• Belma talks about how they encounter this a lot at Work Bigger. Working a job that is unfulfilling or one that isn't helping with your financial goals can be a real barrier in the process. Using what you're naturally good at can help propel you to your goals.

Joy asks Belma what are some common struggles people are facing when they join Work Bigger? What inspires them to join?

• Money and career are so connected. Belma talks about how they see a mindset and fear around money at Work Bigger. There's a fear of pivoting because making a change has financial impacts. It's important to have a healthy mindset around money and leverage a career that will serve your life and your well-being. With clarity comes the ability to make more intentional decisions. You don't have to stay at a job that isn't paying you enough or is unfulfilling.

Joy asks Belma to share some of the pivots and transitions she's witnessed.

• They see people launching their own businesses and projects. Sometimes what they thought was going to take years, they're able to accomplish in a few months. Others make smaller pivots because they realize they don't need a huge change. They see it all at Work Bigger.
• What really matters is that each individual is clear on what they want. The best thing that can happen through this process is discovering what's best for you.
• There are stories out there where people make it happen really quickly, but that's not most people's reality. At Work Bigger, the focus is on following the path in a healthy and sustainable way. Belma didn't jump into Work Bigger full-time, she was able to do it by cutting back from her full-time job.
• Through the process of discovery, you may find what lights you up isn't necessarily related to your work. The corporate job can be more bearable when you know it's a tool to help you do what really lights you up. It doesn't have to check every box.
• The superpower can take different forms. Knowing your superpower is wonderful and it can come up in other areas of your life, like a side hustle or hobby.
• Work Bigger has a free class about how to find your superpower. It goes through the internal process but also how to manifest that into the world. What does that look like, is it your next job, a new business, or something out. It helps you let go of the pressure and to help you find a way to feel connected every day as much as possible.
• If you're looking to dig in and find your superpower, check out workbigger.co and register for the FREE class.

Website: Work Bigger Instagram: @workbiggerLinkedIn: Belma McCaffrey

Joy Liu, Certified Level 2 Financial Trainer & Head of Trainer Academy

This episode of Financially Naked: Stories from The Financial Gym, is all about saving money! It is an important aspect of personal finance and one people struggle with the most. Saving money is like a muscle. If you haven't saved before, that money muscle is going to need some work. There are so many things to save for, emergencies, retirement, pets, travel, the list goes on; how do you even get started? Chandra and Hector, two of our Certified Financial Trainers talk through their personal savings journeys and how to start building and flexing that money saving muscle.

Hector and Chandra talk about their relationships with saving money and how they relate to their clients.

• Chandra has an on-again-off-again relationship with savings. When she was young, her grandma told her to save half of her money. This was easy for her to do as a kid when she was getting 'free' money, but as she became a teen and young adult, saving didn't come naturally. She would always save, but then use the money before allowing it to grow into anything significant.

• Hector always heard the generic advice, 'save your money,' but there wasn't specific guidance beyond that. Now that he has more control of his finances, saving money is not reactionary, but rather proactive and part of the plan.

• There are different money personalities. Some people are better savers naturally, where others lean towards spending. It's important to find the balance: save what you need to accomplish your goals, but also budget for what you enjoy.

• It can feel discouraging when you need to use the money saved, but that's what it is for. Having the emergency fund when it is needed is a win. If you saved the money before, you'll be able to save it again. It's all part of the journey.

• Chandra reminds everyone that emergency funds are for emergencies only. Going to Tulum or Coachella is not an emergency.

• Clients are hardest on themselves and Trainers are there to extend grace and remind them of all of the progress they've made.

• Some goals can be intimidating for folks to think about saving that much money. If the end goal number feels intimidating, take it one step at a time.

• Hector and Chandra share how reaching a savings goal makes them feel. Chandra feels a sense of accomplishment and Hector gains comfort having money saved.

Tips & Tricks

• If you don't have a lot of wiggle room in your budget, start small.

• Open a High Yield Savings Account - it should be an institution separate from your regular checking account.

• Set up automatic transfers from your paycheck. You can set these up through your payroll with some employers, or through your bank on payday. The important part is 'set it and forget it'.

• Make it fun! Think of it like a game or 'savings challenge'. These games are a great way to stay motivated and enjoy the process of saving.

If you want to work with a Financial Trainer to help you reach your savings goals, learn more here.

Meet Chandra Savage, Level 2 Certified Financial Trainer

Meet Hector Lopez, Level 2 Certified Financial Trainer

This episode of Financially Naked: Stories from The Financial Gym is about how to get the most from summer without blowing your budget. After two years of covid life, there is a lot of travel, weddings, and other events to plan for. We all want to go out (safely) when we can, but with inflation, it's expensive outside! Sara W and Yenny, two of our Certified Financial Trainers are here to talk about how we can plan to live our best lives this summer while staying financially healthy.

Start with the basics:

• The first step of knowing how much money you're able to spend this summer is knowing where you are financially right now. From there you can make a plan to budget for the things you want to do! It's not easy to make a plan if you're not sure how much money you're working with.

• Sara tells us that we can have anything we want, but not everything. Depending on what you want to do this summer, trade offs might have to be made.

• What things are you excited to do and spend money on? Once you know that, you can really focus and start planning for those things.

• When making your budget, ensure there is a reasonable allowance for variable expenses and the fun things you want to do!

• Think about where you can adjust spending, or how to increase your income.

How to prepare for big-ticket items this summer:

• With things opening up, travel is top of mind for people this summer and many of the weddings planned for the last few years are happening now.

• The best way to start saving for these expenses is by setting up a sinking fund. This is a savings account, separate from your emergency fund, where you set aside money for your goals or fun plans.

• Check on any travel credits from 2020 and make sure to redeem those before they expire.

• If you want more specific tips about traveling on a budget, check out these two episodes of Financially Naked: Travel Hacking & Traveling on a Budget

• When thinking about weddings, in addition to travel and accommodations, make sure to plan for the other expenses such as the gift or going out with friends when you're all together.

• If you're attending a few weddings this summer, use the same outfit styled different ways instead of purchasing a whole new outfit for each one.

• People are more understanding now than ever, if you can't afford a big gift, that's okay! Your friends and family are happy to see you and your presence is a great present.

Tips for managing everyday expenses while enjoying the summer:

• This is where the trade-offs start to come in. Go through the list of fixed expenses and scrutinize every charge. Are there things you can pause like gym memberships or streaming subscriptions that will get less use while you spend time outside?

• Can you call and negotiate any insurance or interest rates? It's good to shop around and see what options are out there.

• Eliminate unnecessary fees where possible, such as late fees or overdraft charges.

• Are there convenience fees that can be cut? Think about picking up your dinner instead of ordering delivery. This is a great option when the weather is nice, will save you on delivery charges, and directly supports the restaurant.

• Use coupon codes and rewards as much as you can. Some common examples are browser extensions like Honey or a rewards system like Rakuten.

When it feels like the spending is "out of control"

• Focus on a few categories. The first step is being aware of which ones impact your budget the most. Drill down on that category and see where the opportunities are.

• Pay yourself first by making savings automatic. This ensures your savings goals are being met, and you can feel great about the money left over to spend on the variables.

• Be intentional with your money. We work hard to make money, so it's important to think about that when we're spending it.

Get creative with your plans:

• Make a summer bucket list of events and places you want to go.

• Think about all of the great ways there are to have fun for cheap or free. There are so many options out there in the summer.

• Check out your city's calendar of events and see what is being offered. There are always events like parades, fairs, or fireworks shows.

• Going to the library is always free, and there are usually special events throughout the summer.

• Spend time outdoors while the weather is nice. Take walks around the neighborhood and find parks in your neighborhood.

• Picnics are a great, affordable, cheap outdoor option.

FOMO is real! How do you plan for everything you want to do and see everyone you want to see while managing the budget?

• Practice boundaries and communication skills with yourself and others. If you're unable to afford certain activities with your group, suggest something else.

• If you've already assessed the budget and cut in all of the areas you can, what are the other options? Is it time to talk to management about a raise, or if you're a business owner, raising your prices?

• Take a look at your own life, and seek out the positive changes that can be made.

1. What is your favorite summer activity?

2. What is your favorite thing to do for free?

3. What is your favorite summer treat?

Meet Sara W, Level 2 Certified Financial Trainer

Meet Yenny , Level 2 Certified Financial Trainer

With inflation touching every aspect of the economy, everything feels more expensive lately, and travel is no exception. This episode of Financially Naked: Stories from The Financial Gym is all about traveling and how to save money while living your richest life. Kylie and Sara, two of our Certified Financial Trainers at The Gym both have experience with various types of travel and are here to share some tips they've learned along the way.

BEFORE THE TRIP

• Saving for travel:

  • If travel is something you really care about, plan ahead of time and save up for it!

  • The key is always keeping what is important to you in mind. From the planning stages all the way through. You can have anything you want, but not everything.

  • To save money to travel or take a vacation, budget cuts might have to be made in areas that aren't so meaningful to you in order to make real progress.

  • If you can get gifts from your loved ones for a wedding or event, put travel on the registry. This is a great thing to think about if you don't need things. Ask for support. If you're flying home for the holidays, can that be part of the gift so you can make the trip?

  • It can take time to build up to taking a year off or saving for a dream trip. While saving, there's a lot to explore in your state and local areas. Staycations can be fun and a chance to explore new things in your own city.

• Scheduling Ahead:

  • When you are able to travel will depend on your life and various obligations.

  • Kylie does not have kids and her schedule is incredibly flexible. She usually will block off time 3 months in advance, and finalize details as it gets closer.

  • Sarah's travel schedule is dependent on the kid's school schedule, which means they usually visit their families in the summer and alternate every other holiday. They also keep a running list of places they would like to travel to and take one big trip each year.

  • Don't feel pressure to try something or pay for an experience that is not of value to you, even if it is a popular thing everyone does.

• Booking Flights

  • Start looking at flights in advance, especially if you plan to travel around major holidays.

  • Set your browser to incognito mode when you're searching to help minimize tracking and price fluctuation

  • Look at different iterations of the flights to see if there are more affordable options.

    • If your arrival and departure days are flexible, check the price on various days to compare rates.

    • If you live around a few different airports, check the flights at all of them. Consider the time and cost of commuting to those different airports when considering the price.

  • If traveling with a child, those who are under 2 do not require an additional ticket purchase.

  • Consider other options for travel, like trains! You can travel the east coast of the United States via train.

• Booking Accommodations:

  • This is dependent on the standards of how you like to travel and the places you like to stay.

  • Travel with friends, so you can split the cost of the hotel or Airbnb.

  • If you have family, friends, or acquaintances in a city, reach out to see if you can stay with them.

  • Kylie does a lot of backpacking and camping and she learned there is a lot of free camping out there. These free National Forest Lands might not have a lot of amenities, but totally great if you like that style of camping.

  • If you're visiting a National Park, there is usually National Forest Land within an hour or so, sometimes even closer!

  • If you want to get into camping but don't have the equipment, you can borrow it or rent it before investing in a purchase.

  • There are hostels and some even have private rooms. They're cheaper than hotels and it's a great way to meet people.

• Other travel-related expenses that come up:

  • Trip insurance or international health insurance. There's always a balance between getting enough insurance but not paying for too much which isn't necessary. See what your credit cards and current insurances cover and go from there.

  • How will you communicate? Do you need a pocket wifi device or does your phone provider cover where you're traveling? Be prepared, know what you've got, and top up on what you need.

  • Be mindful when packing for the trip. There can be a tendency to buy a lot, but be mindful and only purchase what is needed and borrow what you can!

  • How will you be paying for things? Is it best to use cash or a credit card? Using a travel credit card can help you avoid international fees.

WHEN YOU ARE THERE:

• Depending on where you're going and how you like to travel, one of the biggest expenses is food.

• If eating out is an important aspect of traveling for you, budget for it.

• You don't have to eat every meal out.

• Take advantage of continental breakfasts offered by hotels.

• Buy groceries and cook meals or make sandwiches when you need something quick. You can still enjoy the food the country has to offer, even if it's not coming from a restaurant.

• Consider taking public transit rather than renting a car or paying for taxis.

If you want to learn about using credit card points for travel, check out episode 123: Travel Hacking with Bevin & Garrett

If you're ready for a change or want to learn more about working with a Certified Financial Trainer, schedule a free warm-up call to learn more!

1. What is a place you've been that you recommend others travel to?

2. Where are you traveling next?

3. What do you like to do en route? On the plane or in the car.

Meet Kylie Lipinski, Level 2 Certified Financial Trainer

Meet Sara Willi, Level 2 Certified Financial Trainer

On this episode of Financially Naked: Stories from The Financial Gym, our host is Mike Poulin, a DC-based, Level 2 Certified Financial Trainer. Today's guest, Liz, is a West Coast-based client in her early 30's, who works in Blockchain. She first learned about The Gym through an Instagram ad, and has been a member for three years! She's come such a long way from when she first started and is here to share her experience as a member and celebrate the wins that have happened along the way!

When Liz first started with The Financial Gym:

• Total net worth: $ - 28,938
• Credit Score: 670
• 1-3 year goals: Pay down debt, save for a house, & travel through Europe.
• 3-5 year goals: Get married,

Liz's numbers now, three years later:

• Total net worth: $179,752 (a positive change of almost $200,000)
• Credit Score: in the 700's

Mike asks Liz how it feels to hear the numbers from three years ago.

• Hearing those numbers reminds Liz of all of the guilt and shame she was feeling years ago before she started her financial journey.
• Now she feels empowered and understands how to set meaningful goals and manage her money. She learned financial health is about figuring out what is important to you and setting financial boundaries with yourself and the outside world.
• Other than traveling through Europe (circumstances outside of all of our control), Liz has accomplished all of the goals she set. She paid down the debt, purchased a home, and is getting married in a few weeks.
• She feels proud of all of the work she's done and talks about how this has been a life-changing experience.

If your financial journey is a road trip, A Financial Trainer is the GPS. Ultimately, you are in the driver's seat, and your Trainer is there to guide you along the way. The Financial Gym gives you the tools needed to drive the car and help get you where you want to go.

• A huge part of a financial journey is working on mindset.
• Have compassion for yourself. Everyone is coming from a different background, and we can learn and make positive changes.
• If you've been in debt for a long time, working through a scarcity mindset to focus on abundance can be a challenge.
• There are small changes and shifts that make a huge difference. For example, reframing 'bad habits' as 'old habits' is a small, but compassionate language shift.

Those first few milestones feel the most exciting when you're starting out.

• She remembers saving the first $1,000 into her emergency fund, and how that was the first time there was a comma in her bank account for longer than a few hours. It felt empowering to save money for the first time.
• Liz recently had a significant financial win/windfall/circumstance
• She works at a startup, which is doing really well financially. The company was recently purchased, and Liz received a significant payout from Stocks she owned in the company.
• Even if you never expect or plan for a financial windfall, they do happen, and it opens up a lot of possibilities. Being clear on your values and your goals beforehand will help you be prepared if something like this happens. What are YOUR goals, not the ones society tells you are important?

Mike asks what Liz wants everyone to know about working with The Financial Gym

• It is a judgment-free zone. Before her first session, Liz hadn't sat down to face the numbers. When it came time to meet for the first session, she was nervous and almost canceled the meeting.
• When she went through the numbers, Lindsay, her Trainer at the time, did not flinch or make a face as she revealed her debt.
• Your financial plan will not be all about cutting everything you enjoy. Your Trainer will help you figure out what is most important, and tell you how to reach all of your goals.
• Ultimately, you are in the driver's seat. There is no one-size-fits-all for goals and financial planning. Success looks different for everyone, and it's about focusing on what is important to you.
• If you are feeling shame about your current financial circumstance, you are not alone. Many Americans are living paycheck to paycheck or in debt. There are people out there to help you.
• There is a light at the end of the tunnel. A financial journey takes time, and it can feel like you'll never get ahead. You can make a change!
• If you're ready for a change or want to learn more about working with a Certified Financial Trainer, schedule a free warm-up call to learn more!

Meet Mike Poulin, Certified Level 2 Financial Trainer

On this episode of Financially Naked: Stories from The Financial Gym, two of our Certified Financial Trainers, Kadri and Mike, sit down to talk about balance transfer cards. These can be a great tool for debt repayment or planning large purchases. Kadri and Mike go through how these cards work, the benefits of balance transfer cards, and things to keep in mind when considering if they're a good fit for you.

There are different forms of debt consolidation, including personal loans. Which one is the best choice for you depends on a few different variables. Mike has used balance transfer cards on his own personal financial journey and he and Kadri recommend them to their clients. They are a great tool and can be used for a few different things.

What is a balance transfer card, and why consider applying for one?

Balance transfer cards offer 0% APR for a one-time fee (or low low fixed rate) for a certain amount of time, usually between 12-18 months. They can be used to:

• Consolidate multiple smaller debts together for one monthly payment
• Transfer one high interest debt to a new card to allow more time and flexibility
• To strategically finance a large purchase.
• They can be used to lower monthly payments and provide flexibility in your budget.
• If you need more time by the end of the promo offer, you can apply for another balance transfer card.

It's important to be strategic when opening any new credit card. There are a few factors to consider, such as your credit score, current income, monthly expenses, debt to income ratio, and already existing debt payments.

What to consider before applying for a balance transfer card?

• The first step is to understand where you stand financially. Start by making a list of all of your debts: include the total owed, APR, and minimum monthly payment. It's important to understand the whole picture in order to make the best choices.
• Take some time to reflect on your debt. There's no need to feel shame or fixate during this process. It's about addressing the cause to be able to break through old patterns and cycles.
• Read and understand the terms, agreements, and options for each card. Does the fee make sense for your current scenario, or is this debt better suited for a personal loan?
• Be proactive and make a plan for paying off the debt. Use this time of 0% interest to make progress on those goals.
• Make saving a priority, even while paying down debt. Having an emergency fund is the number one step for breaking out of the debt cycle.

Where do you find a balance transfer card?

• Check existing offers with cards you already have. For example, you may be able to transfer your American Express Balance to one of your Discover cards.
• You can't transfer balances between two cards from the same provider. One Discover card can't be transferred to another Discover card.
• If you have a credit score of 700+, you'll likely be approved for a balance transfer card pretty easily. Depending on your overall financial picture, you may qualify even with a lower credit score.
• To find a balance transfer card that is a great fit for you, check out the BFF Approved Products Page.
• If you want a Certified Financial Trainer to walk you through the process, schedule a free warm-up call to learn more!

Listen to Kadri and Mike talk about consolidation loans on Financially Naked:

Kadri & Mike Gymsplain Consolidation Loans Read about balance transfer cards on The Financial Gym Blog: What to Know About Credit Card Balance Transfers

4 Signs That a Balance Transfer Card Might be Right For You

How to Pay Your Credit Card Balance Down Faster

Meet Kadri Augustin, Level 3 Certified Financial Trainer

Meet Mike Poulin, Level 2 Certified Financial Trainer

While a budget can seem intimidating, it is simply a tool to help you become financially successful. When it comes to budgeting, the key is finding a system that works and is enjoyable for you because sticking to any new habit is challenging if you dread the process! On this episode of Financially Naked: Stories from The Financial Gym, two of our Certified Financial Trainers, Gina Funaro and Mike Poulin are here to Gymsplain budgeting. They talk through their favorite budgeting methods/tools and tips for long-term success based on their personal experience and work with clients.

• Gina was a client at The Gym before she was hired as an employee. Joy is her trainer, and has been since she first started at The Gym. Gina loves budgeting. The piece of advice she gives to her clients when it comes to budgeting is to find a routine that is exciting to you and fits your lifestyle. It can take some time and experimenting to figure it out; it's just part of the process.

• You can try out a system for a month or quarter to learn what works and what doesn't.

Budgeting Basics:

• Start with multiple checking accounts. If everything is going in and out of one account, it can be hard to keep track of separate goals.

• Having different accounts makes saving for specific goals much more clear.

• It also allows separate accounts for fixed expenses (rent, utilities, insurance, etc) and variable expenses (daily spending)

Zero-Based Budgeting

• This style of budgeting works well for folks with consistent income, and who have a good idea of their fixed expenses and spending habits.

• This is where every dollar has a job, and certain accounts are designed to reach $0. Each dollar has a very specific duty and requires pre-planning.

• It can take some time to get into the groove of a 'zero-based budget' because it doesn't leave much room for error. It takes some time to get used to your account going down to zero, especially if you come from a scarcity mindset.

Anti-Budget/No Budget Budget

• Great for folks who don't like to track every transaction or deal with complex money management systems. If the apps or spreadsheets stress you out, this is a good system to try.

• Start with your paycheck and determine your fixed expenses and savings goals. Once you know those numbers, subtract the total fixed expenses and savings from each paycheck, and everything left over is what's left to spend on variable expenses/whatever you want!

50/30/20 style budgeting

• A mix of the 'anti-budget' and '0-based budget.'

• This balanced approach uses your take-home pay from each paycheck.

• 50% goes towards 'needs' - fixed expenses, transportation, groceries.

• 30% goes towards 'wants' - travel, home purchases, variable spending

• 20% goes towards 'building wealth' - long term savings / other investments

All cash/cash envelope system

• Great for folks who like a hands-on approach or like to see the physical cash to visualize their budget.

• Each time you're paid, withdraw the cash budgeted for that period and use it for your variable spend. Once the money is gone in each category, it's gone, or you can roll the leftover cash into various sinking funds.

Different tools for budgeting:

• Pen & Paper is always a classic choice

• Mint

• Personal Capital

• You Need a Budget (YNAB)

• Check the app store for FREE apps

Final thoughts and tips

• When it comes time to plan your budget, pour a glass of wine or whatever makes the process enjoyable for you. Make it a fun money date.

• Find what works for you and stick with it.

• Once you find a system that works and start to see the savings grow, following a budget becomes easier.

• There is no right or wrong answer, personal finance is personal, and it's a learning experience.

• You can use a mix of styles, or create a system that works for your goals.

Read more about budgeting on The Financial Gym Blog:

• Budgeting for Success

• 6 Tips for Budgeting as a Freelancer

• Introduction to Budgeting

If you want a Certified Financial Trainer to help you figure out the best budgeting system that works for you, book a complimentary consult call to learn more!

Meet Gina Funaro, Level 2 Certified Financial Trainer

Meet Mike Poulin, Level 2 Certified Financial Trainer

Credit cards can be an amazing tool in your financial planning tool belt. When you use a credit card to make purchases, there are rewards, perks, or points that come along with using that card. 'Travel hacking' is a method where you use credit cards with travel-related perks to earn points that can be spent on flights, hotels, or excursions. Garrett, one of the Certified Financial Trainers at The Gym, has been traveling quite a bit recently and using credit card rewards to keep the costs low. Today, he is joined by his colleague Bevin to talk all about travel hacking. They discuss choosing the right card, how to earn points, and how to use those points to travel and explore.

• Credit card points can be used for travel, exploring, hotels, and excursions. Garrett has been taking advantage of travel perks lately, and has 9 credit cards!
• He and his partner love Disney and like to enjoy Disney parks all over the world. Most recently, he was able to visit Disneyland in Paris using credit card points, and it was more affordable than a trip to Orlando.
• Each provider has its own rewards system with different names, but 'points' is a good general blanket term. They're all similar but have their own benefits and disadvantages.
• There are some with no annual fees, whereas others range between $95-$650 depending on the card.
• Think about the annual fee the same way you would a subscription. An annual fee is not a bad thing, as long as you're planning for it, and find value in the rewards offered.
• You can ask for the annual fee to be lowered or waived when it comes time to pay again. It never hurts to ask, and if they say no, downgrading to a card with no fee is usually an option.

How to earn points:

• Sign-up bonuses are a great opportunity. A company will offer points if you spend a certain amount of money in a scheduled timeframe. If this amount is within your planned variable spending limits or money you've already planned for, this is a great way to earn points!
• Once you've signed up for cards, check for points multipliers. These are categories (gas, restaurants, groceries) that when you spend within them, more points are earned. Choosing multipliers in categories you regularly spend in is a great way to earn extra points.
• You will earn points by just using your credit cards for regular spending.
• If you plan to make a bigger purchase, save that money into a sinking fund, make the purchase on your credit card to get the points, and then pay off the balance.

Favorites at The Financial Gym

• Garrett recommends Chase and American Express for their rewards cards.
• The Chase Sapphire Preferred Card is a favorite among Trainers at The Gym. Even with the $95 annual fee, it's one of the most popular cards.
• Check out the BFF Approved Credit Card here

In addition to using points for travel, other tips for traveling on a budget:

• Start early and do lots of research. There are deals out there, and the earlier you start planning, the more deals you can find.
• Subscribe to newsletters to stay on top of deals.
• Get creative about what traveling looks like. It doesn't always have to be a flight to a faraway destination. Consider road trips, camping, or getting an AirBnB in a new place to unplug and recharge.
• House sitting/pet sitting is a great way you can explore while getting paid!

Things to keep in mind

• In terms of actual value, where you redeem those points matters! You may get a better return to use your points on things like travel, rather than opting for the cashback.
• If you plan to use a credit card for a big purchase in order to score some points, make sure the money is already saved.
• The most important thing to remember when using credit cards is to 'know thyself'. If you've struggled with credit cards in the past, or struggle to stick with a budget, these strategies might not be a great fit for you right now.
• Opening new cards will affect your credit, so be mindful of credit pulls if you're planning to apply for a loan soon.
• If you plan to start using credit cards, create a system that works for you and stay organized. You can get into this casually, or truly go all out and put in a lot of work.

Awardhacker.com - A free product made to help people find the best award flights without being an expert in every airline mileage program.

Hopper - An app for finding deals on travel BFF Approved Travel Credit Cards

If you want to learn more about travel hacking, and if it would be a good fit for your goals, a Certified Financial Trainer can help make it part of the plan!

Find out more about working with a Certified Financial Trainer here:

Financial Accountability Coaching & Trainer on Demand

Meet Bevin Morgan, Level 2 Certified Financial Trainer

Meet Garrett Faulconer, Level 2 Certified Financial Trainer

On this episode of Financially Naked: Stories from The Financial Gym, our host is Jazmin, a Certified Level 2 Financial Trainer based in California. Today, she is joined by Carlos and Yuni Garcia. Carlos is a Licensed Real Estate Agent in California and works together with his wife, Yuni. When you're ready to buy or sell a home, choosing the right real estate agent can make all the difference, especially in a competitive market. Carlos and Yuni are here to share their insights about what the home buying experience should look like and red flags to keep in mind when interviewing prospective agents.

• What does a real estate agent do, and when should someone work with one?

• It is a real estate agent's job to represent buyers and sellers with honesty and integrity. You can work with one when you're buying or selling a home.
• In these competitive times, a great agent can make all the difference. They are out there every day and know the ins and outs of the market.
• They can provide a Comparative Market Analysis (CMA) - a tool used to estimate the value of a specific property by evaluating similar ones that have recently sold in the area.
• Each buyer and level of purchase is different. Everyone has their own background, goals, needs, and limits when it comes to purchasing a home.
• A great agent will guide you through the process and make it fun because they are experts in the field.

• Qualities of a GREAT real estate agent:

• From the beginning of the process, they are timely and communicative. Great communication is important. They should make themselves available.
• They take the time to answer your questions and share valuable information. It's an educational process, and they should be willing to teach you along the way.
• Someone who checks your references and makes sure you will be a good fit for them.
• Someone who has credentials and experience in the field. Some questions to ask:
• 'How long have you been in the business?'
• 'How many sales have you made?'
• 'Are you a top producer?'
• 'Are your offers being swiftly accepted?'
• A great negotiator. Someone who will work to get you the best deal.
• A person who will be straightforward and with you through the process. Their goal should be to get you into a home that you can truly afford in an area you want to live in.

• What are some RED FLAGS to watch out for when interviewing real estate agents?
• As with every industry, there are predatory people in the real estate business.
• An unresponsive agent can stall the process when it's time to put in offers. Watch out for someone who is unresponsive, or lacks timely communication.
• A lack of professionalism, for example, arriving late or unprepared for meetings or showings.
• Never surrender your deposit to people who are promising to give you a deal. That will ALWAYS go through escrow.

• Why do some people look to sell their homes?
• The last two years, there has been a desire to upsize. People working from home or realizing they would like a little more space.
• Some folks want to downsize, or move to a different area.
• Folks looking to invest in their long term future, and want to do so through real estate.

• General best practices when preparing to buy a home:

• Make a plan. There are many steps to ensure you're ready before starting the home buying process!
• Your FICO score will determine the loans available to you. Aim to raise your score if it needs work.
• Focus on your debt to income ratio.
• Fund the emergency fund.
• Save for the down payment (anywhere between 5%-25%)
• Practice making the mortgage payments and deposit that money into a savings account.
• Get your pre-approval before getting in touch with real estate agents.
• Have your documents prepared: 2 years of tax returns, paystubs or a letter from your accountant, and bank statements are a great place to start.
• Do the research, use the internet and references from friends,
• Always get a second option. This goes for lenders and real estate agents. It is a huge disservice to yourself to only get one opinion.
• Work with a local, licensed agent, rather than one of the big platforms.
• Remember, buying a home should be fun!

Instagram: @0carlos0

Facebook: Facebook.com/carlosgarcia

Meet Jazmin Higgins, Level 2 Certified Financial Trainer

You can become a Certified Financial Trainer, and build your own Financial Coaching Business! To learn more about The CFT School, follow this link:

Financial Trainer Certification