Do financial topics make you nervous? A Baltimore-born social media star wants to change that.
Vivian Tu has captured the attention of millions through her TikTok presence called ‘Your Rich BFF,’ creating fun and accessible content about money management. Her videos cover everything from salary negotiation strategies to managing credit card debt effectively. The self-described ‘favorite Wall Street girly’ has amassed 10 million social media followers and authored two books on personal finance.
Growing up in Baltimore as the child of Chinese immigrants shaped Tu’s financial perspective early on. While her parents instilled frugal habits and money awareness from childhood, Tu discovered her true calling for financial education several years into her professional journey.
After earning her degree from the University of Chicago, Tu launched her career as a JPMorgan trader in New York City. Following her Wall Street experience, she transitioned to a sales role at BuzzFeed for two years. Tu launched her TikTok presence in late 2021, which now boasts 2.7 million followers. The inspiration came from constantly providing financial guidance to her coworkers.
Beyond social media, Tu produces the podcast ‘Networth and Chill’ and recently accepted the position of chief of financial empowerment at SoFi, a financial technology and banking company. Her latest publication, ‘Well Endowed,’ hit shelves this month.
Here are Tu’s essential recommendations for managing money wisely, from curbing unnecessary spending to beginning your investment path:
According to Tu, discussing money matters ranks among the most crucial conversations couples can have. Though talking finances with a partner may feel daunting, it’s essential for building a solid future together. Rather than waiting until engagement or marriage, Tu advocates for early financial discussions.
‘Start early, start often. I always say you have to talk about money on the first date,’ she said.
Tu suggests beginning these conversations with engaging questions. She recommends asking: ‘If I gave you $100,000 tomorrow to plan your dream two-week vacation, what would you do?’ When one partner envisions an outdoor adventure while the other prefers luxury accommodations, this reveals different lifestyle priorities.
Financial discussions can be enjoyable while revealing important insights about your partner’s money values and aspirations. These conversations don’t need to be serious initially; they can deepen alongside your relationship.
Excessive spending can prevent emergency fund building or worse, create credit card debt. Tu suggests pausing before purchases to examine your motivations.
‘The most important question to ask yourself before you buy something is: Do I want it or do I want people to know I have it?’ Tu said. ‘There have been multiple instances in my personal life where I have bought stuff to be cool, to prove to someone else that I was cool.’
Tu emphasizes making deliberate purchasing decisions and avoiding spending driven by social pressure or the desire to fit in with certain groups.
While homeownership is traditionally viewed as part of ‘The American Dream,’ rising costs have made it increasingly difficult to achieve. However, Tu points out that owning property isn’t the ideal choice for everyone. Renting provides greater flexibility and can be more budget-friendly.
‘Are you okay with maintaining your own HVAC, providing plumbing for toilets if something starts leaking at 2 a.m.?’ Tu said. ‘If not, you’d be better off having your landlord be on the hook for that.’
While many consider homeownership a future investment, renters can still achieve strong financial positions through other means, Tu explains. She advocates allocating funds toward alternative investments, building savings accounts, and eliminating debt.
For those who find investing overwhelming, Tu recommends robo-advisers as an accessible starting point for beginners or anyone seeking simplicity.
‘A robo-adviser is the happy medium,’ she said. ‘What I love about (robo-advisors) is that anybody who doesn’t understand investing can be investing in 45 minutes. It is better to start today than to start tomorrow, the sooner the better.’
These automated investment platforms gather information about your financial circumstances and future objectives through questionnaires, then provide personalized advice and handle investments on your behalf.
