Did you ever wish you could get a tennis lesson from Serena Williams? Writing advice from Stephen King? How about a singing lesson from Beyonce? Well today, you’re about to get financial advice from the self-proclaimed “Beyonce of Personal Finance,” which is so fitting!
My guest, Melissa Jean-Baptiste, is a financial educator and author of So This Is Why I’m Broke: Money Lessons on Financial Literacy, Passive Income, and Generational Wealth. And when I tell you she is qualified to teach us about money… just wait til you hear this.
She paid off $102,000 dollars in student loan debt on a teacher’s salary, all while writing and producing the award-winning Millennial In Debt web series. She has since pivoted into personal finance and career coaching to help millennials and Gen Z build generational wealth and gain financial freedom in a shame-free digital environment.
In this episode, we discuss what it truly means to build generational wealth, how to go on money dates and why they matter, and habits to incorporate into your life to start building your own wealth.
Personal Finance Education Is Crucial
Melissa is passionate about ensuring millennials understand the basics of personal finance, such as budgeting, saving, and investing. She knows that these skills can help you achieve financial stability and security, prioritize your spending, grow your wealth and plan for retirement.
Personal finance education (like what’s on the Millennial In Debt web series) can also help individuals avoid common financial pitfalls. For example, credit card debt can quickly spiral out of control if not managed properly. Understanding the importance of paying off credit card debt and avoiding high-interest rates can save individuals thousands of dollars in the long run.
In general, personal finance education is crucial in helping you make informed financial decisions, such as buying a house or taking out student loans. And as business owners, it’s even more important that we understand our financial situation!
Generational Wealth Means Educating, Too
“What generational wealth means to me is leaving behind not only just the funds and the access to the money for generations to come, but also the education and the knowledge.”
In our conversation, Melissa emphasizes that passing down wealth without education can lead to the loss of the money and assets. This is why it’s essential to educate individuals about financial management, such as investing.
She also highlights the importance of estate planning and trusts, which can help families pass down wealth and assets to future generations. She even emphasizes that estate planning is not just about deciding what happens when someone dies but also about empowering individuals to make informed decisions about their finances and assets.
This is what Melissa means when she says generational wealth means educating too!
Melissa’s Best Money Tips
Of course, she’s full of great ideas, but Melissa gave us
- Investing is the key to wealth: One of the key components of building wealth is investing, which will grow your assets and achieve financial stability. She points out that investing is often seen as a game for the wealthy, but this is a misconception! Anyone can start investing, regardless of their income level, suhc as with an employer-sponsored plan like a 401k or 403b, and contributing even starting with a small amount that will grow over time.
- Regular money dates are essential: Money dates are designated times (alone or with a partner) set aside to review your finances, including debts, savings, investments, and expenses. They are essential because they allow you to track your progress towards financial goals and adjust your plans accordingly. Plus, it demystifies money and ensures you are in control of your finances!
- Talk about money openly: Talking about money openly can be uncomfortable and taboo because it’s closely tied to our emotions and self-worth. But having conversations about budgets, investments, financial accessibility and equality can help us work towards closing systemic barriers and gaps in financial opportunities. We need to talk about raises, salaries, and generational wealth to ensure that everyone has the same chances to achieve financial stability and security!
- Automate your finances and time: One important aspect of achieving financial stability and security is automation. Automating finances can help you save and invest without even thinking about it. By automating tasks such as email management and bill payments, you can free up more time to focus on higher value activities, especially in your business.
- Invest in buying back time: In our conversation, Melissa and I discuss the importance of valuing one’s time and outsourcing low-value tasks in order to focus on higher value activities. She shared a personal example of feeling guilty for hiring someone to clean her home, but realizing that the three hours she saved allowed her to update her media kit, pitch to brands, and sign contracts that would ultimately generate more revenue than the cost of hiring a cleaner. I also pointed out that outsourcing tasks to people who enjoy doing them can also create a win-win situation where individuals can focus on their strengths and generate more income while supporting someone else’s livelihood!