The Jesse Mecham Show

New York Times columnist and bestselling author Ron Lieber joins the podcast for a frank discussion about the ever rising cost of college and whether it's even a good idea for young people today. Evaluating the true cost of college, as it turns out, is essentially a budgeting exercise. There's the sticker price for tuition and room and board, but the real analysis lies in examining the hidden costs, as well as the hidden benefits. Ron Lieber helps us break those down and demystify the college problem. Ron Lieber https://ronlieber.com The Price You Pay for College https://ronlieber.com/books/the-price-you-pay-for-college/ Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Buying a house is a stressful experience, especially in the current market where low supply and high demand have pushed prices up and up. Naturally, house shoppers worry about overpaying for a house, or whether they've overpaid for a house they've already bought. We'd all like to perfectly time the market and buy at the lowest possible point, but it's very difficult to do. Jesse reminds house shoppers to check in with their reasons for owning a house before they worry. Is your house a real estate investment that you are buying with an exit strategy? Then purchase price is very important, and you should be worried about overpaying! But are you buying a house to be your home? In that case, it's not an investment, it's the place where you live, and the purchase price only matters insofar as it fits your budget. If you value the lifestyle that a house offers, and that house fits your budget, then don't sweat whether you have overpaid or not. You are giving your house dollars the job of securing housing that fits your needs. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

What does budgeting have to do with nutrition? A lot, actually, explains Kali Langevin, a nutritionist and Registered Dietitian who has spent 16 years working with athletes in United States Soccer Federation. Kali is also a long time YNAB user, and joins the podcast to explain how the Four Rules can be applied to nutrition. Much like Jesse encourages people to be mindful of their spending habits -- giving dollars jobs that accomplish the things that you value -- Kali encourages people to be mindful of their eating habits, being intentional with meal times and the rituals around food. Kali on LinkedIn: https://www.linkedin.com/in/kalilangevin Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

This week's Money Story comes from the vivacious Diania Merriam, founder of the EconoMe Conference which brings together speakers in the FIRE movement (Financial Independence, Retire Early). After finding herself working for a decent salary in NYC but falling deeper into debt, Diania decided to pull her head out of the financial sand and figure out where her finances stood. Around the same time, a friend introduced her to the Mr. Money Mustache blog and the concept of FIRE. Armed with these tools, she started cutting her expenses and aggressively paying off debt. Eventually, Diania managed to stash away 60% of her income, and pay off $30k of debt. Ever the life of the party, Diania attributes part of her success to realizing that her happiness lies in connecting with friends and shared experiences, not necessarily in spending money in exclusive clubs. After paying off her debt, she was also able to pursue her dream of hiking the Camino de Santiago in Spain. Today Diania has reached CoastFI, having already saved enough to retire in the future at the standard age of 65 but still working, albeit at a more relaxed pace. Financial independence has allowed her to pursue more fulfilling work (like the EconoMe Conference) and engage in new adventures. This, she explains, is the real American Dream. Optimal Finance Daily Podcast: https://oldpodcast.com/optimal-finance-daily-podcast/ EconoMe Conference: https://economeconference.com

Jesse chats with Geoff Woods, President of ProduKtive, the training company behind the bestselling book The ONE Thing by Gary Keller and Jay Papasan. After leaving a high-stress and ultimately unfulfilling job in medical device sales, Geoff set out to surround himself with successful mentors. Eventually Geoff found Gary Keller and Jay Papasan, and immersed himself in their philosophy of the "one thing," that is, the concept of relentlessly pursuing the single most impactful thing you can do in your day, and arranging your schedule to accomplish that thing first. Geoff describes the one thing as a stack of dominoes. Accomplishing the one thing you can do first -- "can" is the operative word here, this task must be small and easily achievable today -- topples the first domino in the chain, which topples the next, and the next, and so forth. Most people never do the work to identify this one thing, however, and get stuck spending lots of time toppling individual dominoes without ever setting off this chain reaction. The connection to budgeting is clear. Before you give every dollar a job, you need to know what it is your budget needs to do for you -- what you value, what you are trying to optimize for. Once you've identified this, you can assign your dollars jobs. The ONE Thing Podcast: https://www.the1thing.com/podcasts/ The ONE Thing book: https://www.amazon.com/ONE-Thing-Surprisingly-Extraordinary-Results-ebook/dp/B00C1BHQXK/ref=sr_1_1?crid=3HGDLQ2QU6QJP&dchild=1&keywords=the+one+thing+keller&qid=1615904686&sprefix=the+one+thing+ke%2Caps%2C245&sr=8-1 Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse attempts to give some advice on purchasing a car... before admitting that he has no advice to give! Well, maybe a bit of advice. Jesse reminds us that optimizing your budget involves optimizing for YOUR needs and wants. Jesse chooses to lease a Tesla to drive around in, because he wanted to have as little headaches with car maintenance as possible. That's important to him today, but ten years ago his needs and wants were totally different, and thus the things he chose to optimize his budget for were too. So this episode is not about how to buy the most cost-effective used car, or how to get a good deal on a new car, or anything like that. It's about examining your own needs and shaping your budget around them. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Bestselling author Ian Morgan Cron introduces the Enneagram, a personality typing system which identifies nine different personality types, their motivations, strengths, and weaknesses. As Ian explains, understanding your enneagram can help you better understand your motivations for why you want to do the things you do, which has direct implications in budgeting. Understanding the motivations and perspectives of others, especially those with polar differences in personality, can help you mitigate conflict and reach compromise in your family relationships and in the workplace. Ian Morgan Cron is a psychotherapist, Episcopal priest, and an accomplished author. His book The Road Back to You champions the Enneagram for people that seek to better "know thyself." https://ianmorgancron.com

Jesse reminds us that the ideal budget... is the budget which helps you achieve your goals and values. And those goals and values can, and will, change over time! Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Robert Leonard has been a uniquely driven person since a young age. Eyeing the professional ranks of motocross at age 14 (the minimum age to turn pro was 16), he competed all over the country. When his father discouraged his going pro, Robert started working various jobs and reading about investing. By the time he graduated college, he had already purchased his first piece of real estate and began "house hacking" -- leasing spare rooms to roommates to generate cash flow to cover the mortgage. Over the years Robert has continued to house hack, selling properties and rolling the profits into the next investment. He now owns a portfolio of rental properties. On the side, he also invests in individual stocks as a value investor, and enjoys the process of digging through company financials and earnings to find undervalued companies to buy and hold. Robert is also passionate about teaching other people how to get started with investing in both real estate and the stock market, and he hosts two podcasts on the topic. Check the links below to follow Robert, learn more about his philosophy, and his podcasts! Robert on Instagram: https://www.instagram.com/therobertleonard/ Real Estate 101 Podcast: https://www.theinvestorspodcast.com/real-estate-101/ Millenial Investing Podcast: https://www.theinvestorspodcast.com/millennial-investing/ Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Sita Thomas is a woman of many talents, and many careers, having worked jobs ranging from massage therapy to data analytics. She has been using YNAB for over 8 years to help her reach her goals, including going back to school and making a career change, taking time off work to care for a terminally ill family member, and removing the day to day stresses of money from her life. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse chats with professional coach and business strategist Kelsey Murphy about how she left a high profile -- yet unsatisfying -- corporate job to travel the world with her husband. During their travels Kelsey realized she had a gift for coaching and helping others put their visions and dreams into practice. Today she runs a successful coaching business doing just that. Kelsey puts a lot of emphasis on her client's values, examining them through a very practical lens. What would you like to see or do first thing when you wake up in the morning? What kind of space do you imagine yourself working in? These are a couple of the questions Kelsey might ask. Once you understand your values in clear, tangible terms, then you can focus your attention on the important tasks that will bring you closer to your vision. Learn more about Kelsey: https://www.kelseymurphy.com/careerandlifecoaching Whisky & Work Podcast: https://www.kelseymurphy.com/podcast Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse answers your questions about small business in Q&A format. You can send Jesse your questions and comments at: [email protected] Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse chats with Amir Salihefendic, CEO of Doist, the company behind the popular productivity tool Todoist. Between running a company and being a father, Amir has a very busy life. He explains how he keeps everything moving smoothly, including the importance of managing your energy throughout the day, not just your schedule. https://todoist.com Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse chats with YNAB's manager of support hiring, Emma Rolls, about what it takes to get hired at YNAB, what type of person fits in with the company culture, and Emma's personal experience learning about YNAB and getting hired. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse identifies four common traits in people who don't stress about money. They have a cadence for checking their money. These people regularly check-in with their budget and watch their money. It's not a panicky, reactionary review but a planned part of their week or month. They have regular conversations with themselves and/or significant others about money. These conversations are not highly charged, hostile engagements, but calm, rational discussions about what is going on day-to-day. Often these conversations aren't about money per se, but rather the things that the money is going towards. In that sense, the conversations are more about whether or not spending is happening in accordance with their values and goals. They have clarity about their priorities, values, and goals. They give their money a job, and know why they are spending. They have plenty of cash on hand. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Writer and entrepreneur Corbett Barr joins the podcast to discuss digital mindfulness, the pitfalls of social media and endless digital content, and his own quest to find peace as a digital creative. https://corbettbarr.com Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse interviews strength coach, former pro Strongman, and founder of Barbell Logic Online Coaching, Matt Reynolds, about the many analogs between strength training and budgeting. Matt relates the Four Rules to the basic tenets of effective strength training -- consistency, small increases in weight each workout that add up to big results over time, and focusing on the things that will give you the greatest bang for your buck. Matt relates strength training to a "physical 401(k)," where the work that you do today to build you fitness and health can be drawn on later in life when the inevitabilities of aging and life events happen. Strong people are more resilient and more useful, especially in old age! Matt's company, Barbell Logic Online Coaching, offers customized strength, conditioning, and nutrition coaching to individuals, pairing each trainee with their own highly trained Barbell Logic coach. If you're interested in trying out Barbell Logic Online Coaching, you can get the first month totally free when you sign up. And, YNAB listeners can get an additional $10/mo off their future months. Sign up here: https://store.barbell-logic.com/ynab/ Take the 34-day challenge: https://www.youneedabudget.com/34dayreset/

If you've been doing the 34-Day Reset, you're in full sprint mode right now. And it might be tough! But the beauty of the reset is that it's just 34 days, and affords you some space to reflect on whether your money is working for you and helping you achieve your goals and values. So stick with it, finish strong, and bask in the extra money you will have saved. You're almost there! Take the challenge: https://www.youneedabudget.com/34dayreset/

Jesse interviews Katie about her journey after college to Hawaii, where she went through a tough breakup and financially tenuous times. She persevered through those hard times, discovered YNAB (actually re-discovered, having first encountered YNAB in college) and began to get her budget back on track in a notoriously expensive state. The hard work paid off; Katie met her husband and was able to have a dream wedding in Hawaii, and the couple now enjoy a rich life... paid in cash! Katie is quick to point out that she hasn't always made the financially optimal choice, but she is intentional about everything she does. She and her husband decided to hold off paying down their student loans in order to finance their wedding, for example. Katie has set aside money to buy her husband a new computer, and they leave room in their budget for their favorite hobbies and pursuits -- for Katie, her side business coaching women in personal finance and helping them avoid traps like MLM schemes; for her husband, collecting and competing in the Magic the Gathering card game. While this approach may result in paying down debt slower, and not maximizing savings, it's a sustainable approach for them. As Katie reminds us, personal finance is personal! Are you ready to take the challenge? https://www.youneedabudget.com/34dayreset/

Jesse offers three ways to stop spending money and kickstart your savings: Designate a "no spend" day. Pick a day of the week where you will deliberately spend NO money, and dutifully stick to that. Be realistic! If you usually have a date night on Friday, then pick another day. Maybe's it's a Tuesday, maybe it's a Sunday, but it should work with your schedule. Treat your savings as a purchase. In other words, change your mindset about what spending is. Instead of buying a good or service, treat your saving as "buying investments" or "buying back your debt." Some people turn buying small numbers of shares in an index fund into a game, where their investment brings them pleasure just like buying a coffee or a croissant at the local coffee shop. Identify your triggers. Pay attention when you have an impulse to buy something. Does it happen in certain places? Certain websites or forums? Perhaps on your way home from work? Find your spending "triggers," and work on ways to avoid them. Take a different route home, block or limit your access to certain websites... things you can do to help you avoid the impulse in the first place. Are you ready for a financial reset? https://www.youneedabudget.com/34dayreset/

Jesse talks with YNAB'er Liz about her recent conversion to the YNAB software, which she discovered through the social media network Tik Tok. In just six months with YNAB, Liz has already reversed her financial situation, paid off debt, and created financial security for her family. Are you ready to take the challenge? https://www.youneedabudget.com/34dayreset/

Just like weight loss, there are some people who manage to pay off their debt through a burst of willpower and concerted effort... only to fall into debt again, usually slowly. Jesse points out that often this is a failure to follow Rule Two (Embracing Your True Expenses), and discusses how you can prevent slipping into old habits in the New Year. Are you ready for a financial reset? https://www.youneedabudget.com/34dayreset/

YNAB is bringing back the Debt Stories... but this time we're calling it "Money Stories." In this series, Jesse interviews YNAB users about their incredible stories using YNAB to pay off debt, plan for life, build their savings, and more. In this episode, Jesse interviews 34-year old nurse Trish. Though very hard working and driven to succeed, Trish found herself in $50,000 of debt despite working multiple jobs. Her unusual work arrangement meant that she went long periods of time between paychecks -- sometimes receiving multiple paychecks at once, months apart -- during which time she began relying on credit cards to ensure she had enough money to cover emergencies and unexpected expenses. The credit card balance continued to climb, however, and, when combined with her car note and student loans, the monthly payments began eating up a large portion of her cashflow. Fed up, Trish decided to make some changes. Focusing her energy and work ethic on her money, Trish decided to make drastic moves to pay down her debt for good. She began by selling nearly everything she could in her flat on Facebook, netting nearly $3,000. In addition to her two or three regular jobs (besides nursing, she teaches at a university and works as a technician for a pottery studio), she took small jobs whenever she could: transcribing, dog walking, etc. It was an intense experience, and she knew she could not sustain it long term, but harnessing her energy in these bursts jumpstarted her savings. Are you ready to take the challenge? https://www.youneedabudget.com/34dayreset/

Jesse issues a New Years' challenge for YNAB'ers. For the next 34 days, abide by just three rules: Write down every single thing you spend money on. You can do this in YNAB, or on a sheet of paper, but it must include every penny spent! Purchase ONLY essentials. Essential means you must have it to live. Do not eat out, or order take-in from restaurants. No restaurant spending, full stop. It's only 34 days, you can do it! YNAB's data and experience has shown that people often find hundreds, even a thousand, extra dollars in their budget by doing these three things. In particular, eating out has proven to be the number one most common drain on the budget. Remember, this is only for a short time! It's a small amount of hardship to endure, that can provide a major boost your savings and financial health to start the New Year. Start the reset today: https://www.youneedabudget.com/34dayreset/

Jesse reflects on budgeting for the Christmas season. While YNAB is all for getting your savings in order so that you can cash flow your Christmas spending without going into debt, the holiday season is about much more than presents. Recalling his childhood, Jesse can't actually remember much about the gifts he received. What he does remember is the time he spent with family, and the memories he made with them. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse interviews his friend and realtor Terry Bickmore about Terry's introduction to YNAB and how it helped transform his business and personal life. Terry offers some advice for first-time homebuyers, based on YNAB's Four Rules. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse reflects on learning to relax about spending money, especially on the "black box" line items -- unspecified purchases from Amazon that don't fit neatly into any other category, or purchases that he simply doesn't want to look up and re-categorize. Part of learning to relax about these expenditures is realizing that as long as you are achieving your primary goals -- funding an emergency fund, saving for retirement, saving for a house perhaps -- then it doesn't really matter what happens to the rest of your money. It's another way of looking at the big picture. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

The end of the year is nigh, and 2020 has been one of the most stressful in recent memory. Jesse offers some advice for those dealing with fear and anxiety during these times. During times of fear and uncertainty, Jesse draws on Stephen R. Covey's seminal book The 7 Habits of Highly Effective People. The first habit is to be proactive and take responsibility for your reactions to events. To that end, Covey asks readers to consider their circle of influence -- What do you control? Where do you not have control? Drawing a very clear picture of your circle of influence, and defining what you don't control, can help with realizing what things you ought to be fear and what things are outside your influence, and thus should be outside your concern (or at least unworthy of spending mental bandwidth on). When people start budgeting, they often can't control what they make, but they can control some of things they spend on. So focusing on spending, giving their money a job, and following the four steps brings their attention to concrete, actionable things within their circle of influence. Secondly, Jesse recommends learning more about the things you are fearful of. What information could you gather about a topic that would help you better understand it? If you are fearful about money, how about understanding how much you have in your checking account right now? Then take another step. What does that money need to do between now and the next time you get paid? Gathering data points and information about the things causing you fear and anxiety can help make them seem more manageable. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse and Taylor Brown, YNAB's Chief Technology Officer, celebrate the company being named Fortune's #1 Best Place to Work in Small Business in 2020. Jesse and Taylor take a walk down memory lane, reminiscing about the very early days of YNAB and how they much they've grown since, both as a company and as leaders within the business. The moniker "best place to work" doesn't just happen, but rather is a consequence of Jesse and Taylor's work in defining their company and employee values and consistently acting on those principles over the years. Of course winning this honor is due to the work of everyone at YNAB, especially the operations team (lead by COO Chance Gurr) whose responsibility is making sure YNAB is a rewarding place to work. So, Jesse and Taylor wish to thank everyone at YNAB for their hard work and for embodying the company's values every day. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse sits down with acclaimed finance writer and entrepreneur Ramit Sethi for a long chat about the mindset of financial success, how to think like an entrepreneur, and why the most important question about personal finance you need to be able to answer is... "Why?". Ramit is the author of the 2009 New York Times Best Seller, I Will Teach You to Be Rich, and the founder of Earnable, a community of entrepreneurs in which he coaches people how to think like entrepreneurs, develop viable business ventures, and market effectively to grow their business. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse interviews wellness expert, educator, and entrepreneur Robyn Conley Downs about applying her strategies for wellness to making lasting change in budgeting. You can find Robyn here: Real Food Whole Life: https://realfoodwholelife.com/about/ IG: @realfoodwholelife Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

In the world of cost accounting, there's a concept known as contribution margin. Basically, it's how much you make on a product or service after you consider how much it cost to make that thing. The formula is revenue less the variable costs that go into making the product. Contribution margin is an important metric for businesses because it tells you whether you are making a profit on the things you sell. After all, it would do no good to sell a bunch of t-shirts for $18 a piece, if each of them costs you $20 to make! Now, Jesse asks, what if we apply this concept to our life? We have jobs that earn us revenue. What do they cost to do? Time, obviously, but perhaps also driving/commuting, stress? The point is, the things that earn us money have a non-zero cost associated with them, and it's wise to keep track of that cost and make sure, at the end of the day, that we are using our time in a profitable manner. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

It's not a dirty word, so let's say it together -- wealth! At YNAB, we often use the words "save money," and it's a more approachable concept, something that seems achievable in the short term. Wealth can seem like such a far-off concept sometimes. But at the end of the day, that's what we're all trying to do, is to build wealth that will allow us to do more of what we want to do in life. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

While canning tomatoes from a bumper crop, Jesse realized the process was going to take a looooooong time. His wife advised him, simply, to "just settle in." Anything that yields great results in the future takes both upfront effort and perseverance. Whether it's gardening, putting up vegetables for the winter, or budgeting, you have to settle in. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse lays out a strategy for managing unknown expenses without continually dipping into your emergency fund. Traditional budgeting advice tells you to create an emergency fund for dealing with unforeseen expenses, but often people end up using their emergency funds for irregular, but foreseeable expenses -- things like new tires, new cars, A/C repair, etc. They don't happen regularly, maybe only every several years, but if you look into the future you know they are coming. For YNAB'ers that are following Rule #2, Embracing Your True Expenses, these aren't true emergencies, and they are already covered in the budget. In the rare event of a true emergency that catches you off guard, Jesse recommends that rather than spending money out of your global emergency fund, set up a new category for that expense. Maybe it's a house repair that you had never encountered before. Make a new category for that type of repair, and start a new sinking fund for it like you do for other Rule #2 expenses. Over time, this strategy will give you useful data about your true expenses, so that you can be more prepared for next time. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse tackles the defeatist attitude some people develop that they are just no good with money. As they say, comparison is the thief of joy, and we should add, it's very misleading when it comes to money! Watching what other people do with their money isn't particularly helpful or relevant to your own situation. Bottom line, being smart with your money simply means knowing what you want your money to do, and allowing it do that for you. This is something anyone can do! Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Recently someone asked Jesse about his thoughts on preventing lifestyle creep, a major supposed gremlin of budgeting. Jesse doesn't even like the question, and discusses why worrying about lifestyle creep is looking at budgeting in the wrong light. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Recently Jesse received an email from a woman who claimed YNAB was really a program about mindfulness... just using money and budgeting as the entry point. So Jesse invited this woman onto the podcast to talk about the connection between mindfulness, meditation, and money. Welcome to Kathleen Slattery-Moschkau, a mindfulness expert, yoga instructor, and filmmaker currently residing in Madison, WI where she runs The Studio. The Studio: https://www.thestudiomadison.com/about-us-2/ Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Let's face it, it feels good to buy things. That's not necessarily a bad thing, either. Spending on hobbies or other things that bring you value -- maybe a date with your partner -- makes you feel good for a good reason. However, from time to time we need to check the rationale behind our purchases. Maybe you intend to start a new exercise regime, so you buy new shoes and clothes and perhaps a new journal as well to document your progress. But have you actually started the program yet? Often simply purchasing something related to your goals can make you feel like you've made progress.... when, unfortunately, that's not really the case! Jesse calls these "progress purchases," and warns you to watch out for them! Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

We're all familiar with the situation. A person reads a book, learns a new skill, or discovers a method, and gets REALLY INTO IT. Brimming with enthusiasm, they share it with their partner and try to get them involved, only to be met by reluctance and intransigence. The reluctant partner is a common trope, even when it comes budgeting! The idea that your partner is dragging their feet because they don't share your goals about budgeting and personal finance, however, is a false one. In Jesse's and the YNAB team's experience, the reluctant partner is often simply overwhelmed. They usually want to share the goals and aspirations of their partner, and share in the process of attaining them, but the speed and intensity of the habit changes may be too much. So if you're just getting into YNAB, break it gently to your partner. Talk about your goals, get on the same page about your finances, then start talking about the process of getting there. Small steps are the key to change! Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

By popular request, Jesse flips through his office bookshelves and discusses the books he's read recently... and, well, some that he hasn't but is getting around to! This week he covers books in the "business" category, ranging from marketing, advertising, management theory, team building, and customer service. Many of these books have had an influence on the way YNAB operates and its success. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

By popular request, Jesse scans though his office bookshelf and discusses the books he's read recently... and, well, some that he hasn't but is getting around to! This week he covers books in the "general" category, basically anything that isn't specifically about business. Next week he will cover the books on his business shelf. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse interviews a YNAB'er, nurse practitioner Naseema, about how she used YNAB and the four rules to pay off an extraordinary $200k of debt in just under two years, all while going through some tough life transitions. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

YNAB'er Elizabeth wrote into the podcast asking for clarification of Rule Three -- can you use it too often? Simply put, If you aren't reaching your goals, Jesse says, you're misusing Rule Three. If you aren't saving the money you thing you should be saving, then Rule Three has become an escape hatch for your budget, instead of an empowering tool. Scarcity is a powerful motivator for budgeting. Embracing the fact that you have limited dollars, and that you cannot rob from your future self to pay unexpected expenses today, means you will have to become comfortable saying "no." If you'd like to write into the show, email Jesse your questions at [email protected]. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

With everything that has transpired this year, we could all use some positive news. Today Jesse highlights a couple of positive stories from YNAB users who have managed to save money and stabilize their financial situation despite job loss and salary cuts due to COVID. Follow the four rules, and things will get better. Budgeting isn't the end-all-be-all, it's not the solution for everything, but it will help you make your financial situation better. Budgeting simply works! Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

In light of the terrible events that have transpired in 2020, YNAB is launching a new initiative to help those in need. YNAB is partnering with non-profit organizations that work with marginalized communities on personal financial and financial resource issues. YNAB is offering licenses for its software for free to these non-profits, so those in need can benefit from YNAB's powerful budgeting tools. If you work for a non-profit or know of one who could benefit from this program, visit https://www.youneedabudget.com/good for more details and how to sign up for the program.

Jesse wraps up the Atomic Budgeting series, based on the ideas in James Clear's book Atomic Habits, with a look into how our environment shapes our decision making. The world is awash in advertisements — billboards, store displays, TV, YouTube, etc — which aim to subtly influence us to buy products and services. It's hard to avoid them, especially when you spend time in areas or websites where targeted ads can pique your interests and potentially cause you to buy things you otherwise wouldn't have sought out. Even our social groups can influence our purchasing decisions. Whether your friends and neighbors are conspicuous spenders or frugal, their collective habits will become the normal behavior in your social circle. So the last step in "atomic budgeting" is to be aware of your environment, and choose your friends and social circles wisely. "Join a community where the normal behavior is the behavior you want." Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse discusses James Clear's "laws" of how people make lasting changes to their behaviors and how they might apply to the YNAB'er looking to improve their budgeting habits. Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

In the third installment of the atomic budgeting series, in which Jesse applies the principles in James Clear's book Atomic Habits to budgeting and personal finance, Jesse discusses the concept of becoming the person who has the traits you wish to have. Typically when we think of making personal change, we set goals and then a process to achieve that goal. Yet, once we achieve the goal (if we do), does the change we made to achieve it continue on? Are the new habits long-lasting, or do we revert to our old ways? Too often, the latter proves true! As Clear says, "every action you take is a vote for the type of person you wish to become." If you want to become a person who is smart with money, who is rarely stressed with financial concerns, and budgets with ease... then you must start identifying yourself as that type of person. Then prove it with your actions. If you're a weightlifter, you lift weights. If you're a writer, you write. You cannot be the person you claim to be without doing the things that type of person does. Budgeting is no different! Sign up for a free 34-day trial of YNAB at www.youneedabudget.com

Jesse continues with part two of the Atomic Budgeting series, applying the concepts in James Clear's Atomic Habits to budgeting and the pursuit of financial freedom. One of the key concepts in Clear's book is focusing on building effective systems for achieving your goals, rather than on the goal itself. Goals are great things, but without a logical, replicable, and flexible system, you are unlikely to consistently achieve your goals. YNAB's Four Rules comprise a simple, flexible, and replicable system for achieving the goal of freeing up financial resources to handle unexpected events and do more of the things you want to do in life. The Four Rules don't ask you to come up with a solid number of dollars to save each month, or a percentage; rather, they ask you to follow certain processes (like giving every dollar a job) that ultimately help you achieve the goal of saving money. By staying process-focused rather than goal or number focused, YNAB allows you "roll with the punches" and adjust as your life circumstances change and unexpected expenses arise. So whether it's budgeting, improving your fitness, reading books, or something else, the next time you set a goal focus your attention on your system for achieving that goal, and learn to love the process! Sign up for a free 34-day trial of YNAB at www.youneedabudget.com