Why personal finance matters

On the importance of tending to your money -- however much you have, however it makes you feel.

Real wealth is measured not by money in the bank but by a meaningful life and connection with nature and other beings. And yet, for better or worse, money runs the modern world. We need it to buy food, to put a roof over our head, and — at least in the United States — to pay for medical care. Money means survival.

Unfortunately, most of us don’t learn how to handle money in school. We’re taught algebra and geometry, but not budgeting. You’re lucky if you had parents who modeled good financial habits, or even made an effort to teach them. But, for many of us, we’re forced to learn how to handle money on our own. And it can be expensive tuition.

What’s worse: the system is stacked against you. Everybody wants your money. Especially those that touch your money.

The government takes between 15 and 40 percent of every dollar you earn in taxes.

Then the banks take a few percent. In the United States, banking is a $1.4 trillion industry, equivalent to the GDP of Mexico. As much as $120 billion of this comes from credit card interest and fees alone (CFPB, 2022).

And then there’s everybody else. Nearly 70% of the United States’ gross domestic product (GDP) comes from consumer spending (The White House, 2023). Those Amazon boxes. The shirt you saw on Instagram. The car you drive. All of it contributing to scarring the Earth and your soul.

Your discretionary income is a feeding frenzy for corporations. It’s survival of the financially fittest.

How are you faring in this unfair fight? Can you:

  1. Earn enough money to afford food, housing, and healthcare?
  2. Consistently resist spending to save enough money for a long and uncertain future?

We’re not talking about greed here. We’re talking about survival.

The United States is an unforgiving nation for the poor. In this culture, being poor is “your fault”. It doesn’t matter if, just a few generations ago, your ancestors couldn’t own property. It doesn’t matter if you grew up in poverty and attended under-resourced schools. It doesn’t matter if you’re a woman and will still statistically only earn 83 cents on a man’s dollar. It doesn’t matter if you have a disability. America is not going to help you.

This is not just. But it is reality.

And so, money matters. Your ability to earn it. The way you spend it. Your ability to save enough of it to weather the unexpected. Your ability to invest it so that its value increases over time, providing security for decades into the future.

This is why I created Money Under 30. When I was in high school, my formerly middle-class family lost everything. When I started college — thanks to financial aid and a lot of student loans — I became very aware that I was a “have not” for the first time in my life. But despite my family’s financial downfall, I grew up with enormous privilege. Although I struggled to get on my feet as a young adult, I did so as a straight White man with an elite education. I played on easy mode.

Most people are not so fortunate.

Wherever you are on your journey, I hope something you find here will empower you to take care of yourself and your money so that you can fulfill your highest callings and leave your mark on the world. If you’re unsure what’s next, read my advice on how to get started.