Q&A with Kimberly Palmer, author and US News personal finance columnist
Posted on October 11, 2010 2 Comments
One of my favorite financial bloggers is Kim Palmer. Kim writes the “Alpha Consumer” blog over at US News and World Report and is also the personal finance columnist for the magazine. Kim and I became friends via e-mail years ago since we write about a lot of the same topics – finance for beginners, shopping, spending and saving, and generally being a smart cookie when it comes to your budget. (Also, per her answer to the last question, her down-to-earth nature and love of strong beverages makes her a girl after my own heart.)
Unlike me, Kim is a professional writer, and also unlike me, she actually knows what she’s talking about when it comes to personal finance. She has a great talent for translating that knowledge into easy-to-read language — that makes her a fabulous resource for folks just starting on their financial journey. She also happens to be one of the nicest people I’ve met in the blogosphere. She’s quoted me in her blog, interviewed me for a podcast and generally has been super supportive of my site throughout the years.
Kim and I have been in touch regularly in the past few months because she’s been working on – get this – a personal finance book (!) and she amazingly decided to include me in it. So I asked if she’d willing to do a Q&A with me on The Budgeting Babe to help me launch the new site, and she, being the fabulous person she is, agreed!
So, I’m thrilled to introduce you to the talented Kim Palmer, author of the new book “Generation Earn: The Young Professional’s Guide to Spending, Investing, and Giving Back” (which I encourage you all to buy - it’s the most relevant book I’ve come across so far for young professionals, and I see a lot of them.) Without further ado, here’s my Q&A with Kim.
Q (me): You have a lot of faith in today’s young working professionals, but in my experience, a lot of 20-somethings are completely clueless when it comes to personal finance. I see interns making $10 per hour whose parents are paying their rent while they splurge on phones, designer sunglasses and clothes. What are you seeing differently that led to you to write this book?
A (Kim): You are right that some young people are like that, but I met so many young people who really want to get on time of their financial lives, even if they don’t know exactly how. They might be making $10 an hour, but they want to figure out how to double or triple that, and to spend and invest what they have in smart ways. I think the recession really taught us that lesson, and motivated a lot of people to try to stay away from debt, invest and save more, and generally become smarter consumers. I wanted to help make it easier to reach those goals.
Q: The recession has hit a lot of potential generation earners hard. I know so many smart, talented people who are out of work for extended periods of time. Do you see a light at the end of the tunnel? Do you have any advice for those feeling a sense of frustration?
A: That is the hardest part about the recession – that it hit a lot of young people especially hard. The people who are thriving right now are the ones who are figuring out how to take advantage of the recession, by freelancing more (since so many companies have laid off full-time workers and need more help), starting up businesses (by taking advantage of cheaper than usual start-up costs), and investing in the real estate and stock market at lower prices.
Other than that practical advice, the most important thing is to focus on being grateful for what you do have, which can be easy to forget to do but can make you feel so much better.
Q: Your book includes stories of so many characters and cool people, like Kimberly Wilson. How did you find such a smart, engaged, and successful group of young people?
A: Mostly through blogs! I had followed Kimberly Wilson’s blog for a long time just because I enjoy what she writes about (how to be more creative and more ‘tranquil’) so when I thought of a way I could write about her, I contacted her. That’s how it worked for many of the people quoted in the book, including you – I really enjoyed reading their blogs, so got I in touch.
Q: Your book has some interesting suggestions for generating income outside of a nine-to-five job. What tips would you give to someone looking to make extra cash from a hobby or passion?
A: To get started, even if it’s in a small way at first. Maybe you need to reach out to an editor you’ve been wanting to pitch a story to, or purchase the domain name for your freelance business. I love the idea of doing taking one small step toward your goal every day, even if it’s just shooting someone an email.
Q: Why was it important to you to put a central focus on giving back in the book?
A: I think that’s one of the defining characteristics of our generation – we care about sustainability, the impact of our consumption, and making a bigger difference in the world where we can. I met so many young people who want to give back or even start their own nonprofit, so I explored how we can do that, even in small ways when we’re still getting on our feet.
Q: What have you done to give back?
A: For some reason the movie Slumgdog Millionaire really moved me (maybe because I was thinking about having a baby at the time!). After watching it, I wanted to do something that could help kids living in poverty in India… I found a nonprofit that works with so-called “street children” and made a donation. My sister, a med student, actually has made a much bigger commitment, and traveled to India to volunteer there.
Q: What do you think is the most important first step in “getting a financial life” for a complete novice?
A: To decide what your big goals are, so you know what you’re working towards. It could be a vacation to Turkey or first home or sizable retirement fund. Then you can start taking the steps to get there.
Q: What else should we know about your approach to personal finance?
I like focusing on the positive side of money. It can do so much – make us feel secure, support our families, help us give back in the ways we want… Money can be so empowering, and that’s why I’m fascinated by it and love writing about it.
Q: Where can we find the book?
Everywhere! It’s on Amazon and you can select the online bookseller of your choice at www.generationearn.com.
Q: What kind of beverage do you like? Because I am taking you out for coffee, tea, or alcohol when you’re in Chicago!
A: I can’t wait to meet you! I’m personally a huge fan of strong coffee before 4 p.m. and beer anytime after that!
Category: Money
Tags: basics
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2 Responses to “Q&A with Kimberly Palmer, author and US News personal finance columnist”
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October 11th, 2010 @ 10:22 pm
I love that comment, when she said “I like focusing on the postive side of money. It can do so much…” I could not agree more.
October 12th, 2010 @ 2:45 pm
Thank you for that comment, Allison, I’m glad to hear that resonated with you!