10 Things Only Personal Finance Nerds Would Understand


Want to hear something a small … embarrassing?

At one indicate in high school, we was a captain of both a Math Club and a AV Club.

I did propagandize plays, enjoyed a diversion of Magic a Gathering from time to time, spent many days building computers and many nights during “LAN parties” personification Starcraft with my friends.

It’s protected to contend we was am a “Nerd.”

And unapproachable of it.

Today, however, I’m a opposite kind of Nerd. I’m a personal financial nerd.

In other words, we suffer articulate about income and what it can do. we find a whole judgment of income fascinating and adore to find ways to make it, spend it, deposit it, censor it (legally!), greaten it and share it.

A few weeks ago we went to a Financial Bloggers Conference (FinCon14) in New Orleans and had an extraordinary time unresolved out with hundreds of other “personal financial nerds” usually like me. Sure, many of them were not genuine estate nerds like myself (we are a “special” kind of personal financial nerd), though they desired articulate about income and business all a same.

During a conference, one specific thing stood out to me: personal financial nerds are different. We consider a small differently than a rest of a race — for good and for bad. So currently we suspicion we would outline some of a ways we mount out.

As we review by this list, we consternation how many would request to YOU?

Let’s get to it. Below, we give we 10 things usually personal financial nerds would understand.

10.) I’d Rather Have $2.00 Tomorrow Than $1.00 Today

Personal financial nerds know a need for sacrifice. While a rest of a friends are bustling shopping a latest video diversion system, new glossy automobile or large residence with a 4 automobile garage, personal financial nerds are patiently waiting. We try to live next a means with a hopes (and assumptions) that someday a scapegoat will compensate off, and we’ll be means to have even more.

9.) Millionaires Typically Don’t Drive Lamborghinis and Aston Martins

For those who have review “The Millionaire Next Door,” you’ll know this. Millionaires are really opposite from what a ubiquitous race thinks they are. Most of a universe thinks of a universe “millionaire” and prognosticate those crazy existence TV housewives. However, personal financial nerds know better. We know that a standard millionaire hides among us, pushing normal cars, vital in normal houses, and vital normal lives.


8.) It’s Okay to Splurge on Something Nice…at a Right Time

Personal financial nerds are not spare for frugal’s consequence (well…some of them are!) In fact, many personal financial nerds know when to splurge on something good — since they can means it. The disproportion is timing. Most of a race buys things they don’t need, that they can’t afford, to stir people they don’t like. Personal financial nerds save adult and devise for a things they truly wish to heighten their lives.

Related: The Simple Action No One Does That Will Make You A Millionaire

7.) Forget Nuclear…Compound Interest is a Most Powerful Force in a Universe

Although that quote has been attributed to Einstein, it substantially wasn’t he who pronounced it.

However, a law is something famous by personal financial nerds opposite a world: Compound seductiveness is a absolute thing! If we are unknown with a concept, here’s a good approach to know it:

Which would we rather have: $1,000 any day for a month or $.01 doubled any day for a month?

The $1,000 any day for a month would net we $31,000. This is linear expansion — it goes adult a same any day.

The penny doubled is devalue interest, that grows exponentially. Any theory how many you’d have after 31 days?

Boom: $10,737,418.20. That’s a energy of devalue interest.

So…which would we rather have now?

Like we said, personal financial nerds get this. That’s since they deposit their income — to grow it exponentially!

Savers grow linear, investors grow exponentially.

6.) High Schools Do Practically Nothing to Prepare Kids for a Financially Sound Future

Look — high propagandize is good for a lot of things. You can learn how to find a strident angle on a triangle, what a Emperor Nero did to people he didn’t like, or how to make a Piñata out of paper mache and a balloon. But when it comes to things that indeed matter in life, like “how to build your credit,” “when is a right time to buy a house,” “should we get those store credit cards,” and some-more — schools tumble short. And we consider a usually ones who see this are personal financial nerds!

5.) Getting Out of Debt Can Actually Be Fun!

I know — if we are not a personal financial nerd, we competence consider this is crazy. Most of a universe substantially thinks a routine of removing out of debt is a labor. But overtly — removing out of debt can be fun!

For nerds like me — it’s a puzzle, a game. Each time we compensate off a credit card, tyro loan, whatever, I’m severely pumped! we like to lay down with a pencil and paper (or spreadsheet) and try to figure out how prolonged until any debt we have (including mortgages) are paid off. It’s sparkling stuff!

4.) I’d Rather Read a Great PF Blog Post Than Celebrity Gossip

Look — I’m certain George Clooney’s marriage was awesome. It was intoxicated all over a news, in any newspaper, in any magazine. But…honestly…I’d rather spend my time reading some good personal financial articles to improved my position in life. we know…I’m a nerd.

If this is we — and we are looking for some good personal financial blogs to follow besides The BiggerPockets Blog that this essay creatively seemed on, competence we suggest:


These are all overwhelming sites, so we rarely suggest we conduct over to any one and allow to their email lists! Not usually do they all have glorious information, they also underline glorious writers who make reading financial posts fun!

3.) Wealth Building Takes Time and Patience

Do people get abounding discerning in life?


But personal financial nerds know: there is no guaranteed approach to get abounding quick. It takes time, calm and infrequently a bit of luck. However, we also know that building resources is totally possible, and it doesn’t take a talent to do so. Simple actions can make thespian differences over time.

Related: How to Start Investing In Real Estate during a Young Age (or a “Young during Heart” Age)

2.) Frugality Can Be Competitive

In many of society, people gloat about their cars, their houses, their golf clubs, whatever. Only personal financial nerds gloat about how inexpensive they can be.

It can be a vital foe among personal financial nerds to uncover how good of a understanding they usually got on something. (You know a form — “I usually bought 450 rolls of toilet paper for $.17 regulating 12 opposite coupons!”)

The judgment of “Travel Hacking” also fits into this, as personal financial bloggers adore to share how inexpensive they are means to transport regulating credit label prerogative points.

1.) It’s Not About a Money. It’s About Freedom.

Finally, a series one thing that usually personal financial nerds will know is this: it’s not about a money, it’s about a freedom. Honestly, many of us don’t do this since we wish a bank comment to have millions of dollars in it.

The indicate is not a income — it’s a leisure that income can buy.

For me, we couldn’t caring reduction about how many income we have in a bank. What we wish is to be means to transport when we want, be with my destiny kids all a time, spend time with my mother divided from work and work on things we indeed suffer operative on. Money can assistance with those goals, though a income is not a goal.

And we consider many personal financial nerds know this.

Do you?


Alright, you’ve come to a end! Now it’s your turn: carillon in below, and let me know what we think. Do we have any other things we would like to supplement to a list? OR let me know that series rings many loyal for you!

Finally, if we consider we competence be a “Personal Finance Nerd” – tell a universe by pity this post on your Twitter or Facebook

This article creatively seemed on BiggerPockets, a genuine estate investing amicable network. © 2014 BiggerPockets Inc.

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