What changed your financial future for the better?

learning about compounding interest changed the game for me in my late teens early twenties.

Nice thread idea.

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When I got out of school and started earning some real money ($26,000/year ) I barely saved anything. I owned a house and had two roommates that paid me rent, but I had less than $1,000 to my name.

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Feels like we're missing some information here. You owned a house (one that could fit 2 other people) with a job paying $26k a year?

I inherited a little money when I turned 18 which was intended for college expenses. I became so intent on having it for a down payment on a house, I worked multiple jobs throughout college. With TOPS plus income from my different college jobs, I never touched my inheritance. It eventually became my down payment on my first house (live in double).

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Feels like we're missing some information here. You owned a house (one that could fit 2 other people) with a job paying $26k a year?

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Good call! I actually received a THDA loan (probably called something else in LA) where I didn't have to put any money down. The house was a basic 3 bed/2 bath and cost $91,500. I lived in until I get married and moved in with my wife. Kept it and rented it til I had enough and sold it. Biggest pain the arse ever due to certain restrictions with renting a house with a THDA loan and there is a payback percentage if you sell before 9 years.

As far as the renting part, I had to get permission from the mortgage holder to rent the thing. And there was no type of "life changing event" in the contract. Just sucked all the way around.

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hat changed your financial future for the better?

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Education. And having two parents who worked for the state telling me NEVER to work for the state government.

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ThatsAFactJack

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Hate that you had the medical problems with your wife, but good for you on getting it together!

Getting a job that has a large percentage of total comp as a bonus.

If I live off of my salary, my savings is taken care for me. It would be a lot harder for me to sock that money away if it was comin in twice a month.

I'm young, but I would say I have built a pretty solid foundation over the last couple years. Starting a job and making my own money has definitely aided that.

My progress stems from a few different things. One is the fact that although close, my dad and I don't see eye to eye on things, specifically money. I was about 16 when I realized I would be more financially successful than he was. That may sound conceded, but the bottom line is his financial path to date isn't something I wanted to emulate...Despite the fact that he does very well since retiring from the military.

Secondly watching and learning from grandfather on my moms side. He is a 68 year old man born to a rubber worker in Akron. He didn't grow up with much and didn't make much when he was in the Navy. Since then, he has built a large amount of money by living frugally and making smart financial investments. I've constantly hassled him with questions about finances since I first opened a savings account.

I also took out a $5,000 loan from him last year. When I paid it off, he unexpectedly gave it to me and told me to invest it smartly. He knew I was good for it, but wanted to reinforce the responsibility of managing debt, budgeting, etc. He's a pretty awesome guy.

- Father and grandfather taught me about compound interest at an early age (along with lots of other math)

- Started buying XOM stock in fourth grade with a DRIP. Parents matched 100%, so I would throw in $10 or $20 here or there, often more. It was worth over $50,000 by the time I finished college.

- Went to in-state school instead of private school or out-of-state, banking extra money instead of student loans. Figured an engineering degree there was as good as a liberal arts degree at somewhere expensive.

- Started career with 15% going into 401k automatically plus 8% company match, which really added up.

- 15 year loan at low interest rate on first condo allowed me to build some equity at a time when I was single and blowing through most of my paycheck otherwise

- Bought and sold houses at the right time, with no comissions paid on sold homes due to either FSBO or company relocation

- Worked hard in my career to build skills that make money for other people (not just BS bureaucratic stuff) which has led to good raises, job changes for the better, and ultimately equity stakes

- No big expenditures on houses, just sort of moving up gradually as the family expands

No place like the Money Board for honesty, and I think it will help me reflect if I type out the entire story.

I grew up what most of you would consider poor. My mother got a $500 social security disability check and my father made around $25k working at a plant. We lived in a small town, and I remember my father setting the mortgage on fire and throwing it into the wood fireplace that heated our modest home.

He worked hard to make ends meet. I barely saw him. When he wasn't working 12 hour shifts 7 days a week, he was installing windows, tilling land, hustling used cars, etc. My mom was worthless and refused to work.

Paying that mortgage off freed up some cash flow, and I made it through high school with things like a decent car, and a little cash in my pocket to take my girl to Sonic and an occasional movie.

No one in my family went to college. It wasn't even a possibility until I was in 11th grade and made a 31 on the ACT. All of a sudden, it was a possibility. My parents really weren't fond of it, my two older brothers worked plant jobs like dad - but I received a combination of scholarship and grants to cover tuition and room and board at Mississippi State.

I met my wife in college and we got married shortly after. She came from a much different background. Her parents were business owners and lived in a $500k house in a gated community. I was awestruck and embarrassed of my humble back story. Almost broke things off because I was so embarrassed.

However, I learned with the watchful eye that like many, it was a front. My in-laws are 7 figures in debt, and a small crisis from losing everything. Katrina almost bankrupted them. By that time, I was a couple years into marriage, $25k in credit card debt because I was emulating my in-laws' lifestyle, and deeply unhappy.

It took my mother in law breaking down to us in tears that it was all a farce. I knew I was heading down the same road. I know its cliche, but I mastered the debt snowball Dave Ramsey plan, and got completely out of debt by 2008. We bought a new house in 2009, and slipped about $10k in debt again, but I had the moment: A job change that took my income from $40,000 to $75,000. I pid off the debt really quickly and started saving. I made it a goal to save 35% of my income.

That slipped down to 20% after our first child was born, but its been a good formula. Our house payment is 18% of our income, and we have no other debt. ETFs have been good to us, and we have a completely different financial future than we both grew up in.

My dad retired, and they have a fixed income, but they make it. My in-laws are approaching $2 MM in debt on their home and business, and they have $10,000 in retirement savings despite my father in law turning 62 this year.

Bought a home in 1999 that has increased in value approximately $950k.