Financial Tips from a Former Miss Rhode Island Turned Wall Street Expert
By: Caroline Parent
My year spent as Miss Rhode Island in the Miss America Opportunity was the most rewarding experience of my life; yet the opportunity did not end with a new title. Instead, I concluded my time as Miss Rhode Island with incredible scholarships and a network beyond my wildest imagination.
Upon relinquishing my title, I began a career on Wall Street working in investment banking. The learning curve was steep, but I quickly realized that my most formidable challenge as I began adulthood in New York City would be personal finances. In case you haven’t heard, New York is quite expensive. So at the same time that I set out to make my mark into the financial capital of the world, I find myself grappling with how to master my own personal finances. As I sought out tips and tricks, I found myself wishing financial literacy was taught to high schoolers – especially young girls – far more than current curriculum allows. Here are the “Three B’s” I wish I knew before going off to college:
Be Vigilant:
It is important to get in the habit of checking on your finances often. At the very least, be sure to check your bank accounts and look over your transactions once per week. Apps like RocketMoney and Simplifi allow you to review transactions on your phone from all of your accounts and cards at the same time.
Build Credit:
This was the advice proffered by every adult in my life as I was growing up, and it is true. The earlier you can get a credit card and learn safe spending habits, the better. I find it best to set strict spending limits when first starting out. Even if you only put a few purchases on your credit card per month, starting early goes a long way in building a strong credit score.
This will be very important down the line, especially if you are hoping to rent an apartment in a major city.
Budgeting 101:
Find the budgeting guidelines that work best for you and your financial goals and check up on them often. If you are unsure where to start, the 50/30/20 rule is a great launching point. This means 50% of your earnings go towards needs (housing, groceries, gas, all the pretty boring stuff), 30% goes toward wants (the fun stuff: travel, restaurants, subscriptions, or my personal favorite, Miss America merch), and 20% goes towards savings and loans. Depending on your goals, you can shift these percentages accordingly.
By using an app, or, dare I say, making a spreadsheet of your own finances, you can clearly see exactly where your money is going and plan where it should be going.If you want to deepen your financial knowledge, consider adding these books to your reading list. For a strong foundation in personal finance, “How to Money” by Jean Chatzky, Katherine Tuggle, and the HerMoney Team offers essential guidance. If you’re looking to explore the world of investing, “Girls That Invest” by Simran Kaur breaks down key concepts in an accessible way. And for young women aspiring to be in leadership and entrepreneurship, “Girls Who Run the World: 31 CEOs Who Mean Business” by Diana Kapp provides inspiring stories of female business leaders who have made their mark.