Wallet Wisdom: Sophie Parkison
How a 36-year-old U.S. operations manager spent 3 months working from Argentina
Hi everybody! Sophie is kicking off Finessing Finance’s newest series, highlighting the financial ups and downs of life. As we’re scheduled for one story every month, the purpose is to inform you that social media doesn’t make it all look great. Let’s hear Sophie’s story and be sure to subscribe if you haven’t already!
Introduce yourself!
Hi! I’m Sophie Parkison. I’m a Clinical Operations Manager for a veterinary telehealth app. I’m 36 years old. My hobbies include exploring, road trips, reading, playing guitar, and learning Spanish. I spent the last 3.5 months traveling as a digital nomad in South America (Argentina, Uruguay, Brazil, Chile). Yo hablo español muy mal pero mejor. Lo siento.
How was the process for stepping into your current occupation? What words of wisdom would you provide for someone considering going into your field?
I had been laid off in July 2020 due to COVID-19 related cutbacks. The rest of my team was laid off a month later. One of my former co-workers was hired at my current company but then received an offer for his dream job. He referred me and I was hired! Because of my performance, I’ve been moved twice to different projects outside of the realm of my experience (even though my other work had been eliminated). What matters the most at work is with whom you work and who you show up as everyday. Be yourself and accept yourself but also accept in humbleness that you and those around you have room to grow. Assume everyone is doing their best and operate out of that. Be kind and look for ways that you can help those around you, especially if they are looking for work. I was really touched by my co-worker’s kindness and I try to live that way as well.
How do you budget and manage your monthly expenses?
I started my career in 2013 as a Hollywood assistant who was paid minimum wage and was working over 40+ hours a week. Ends weren’t meeting and I was accumulating debt. I started logging every single receipt of every single purchase as a personal line-item expense report in a Google Sheet. From there, I radically slashed unnecessary purchases and developed a high-level budget. I set a weekly variable expense budget for “food” and “other”. This is currently $75/wk for each (total $600 variable expenses). Then I track my fixed expenses. I go through seasons of strictly logging and more loosely monitoring.
I am a Christian and I believe that everything I have has been given to me by God to use for Him. I tithe 10% of my gross income. This included when I was receiving unemployment. I have been resolute in this up until last year when I really wavered. I wanted to use the tithe money for other things. I kept giving while I worked through my emotions about where I was financially and where I thought I deserved to be. Throw in comparing myself to others and I was making myself miserable. I surrendered my pride, arrogance, and discontentment that I knew better than God who should be given what. No, I don’t know why I’ve encountered certain setbacks personally and financially. But the peace I have in surrendering, obeying, and following God is invaluable. I can’t see right now with earthly eyes that all of it has been worth it but I choose to believe that it is and that I may even see that on this side of eternity.
Can you share any financial goals you've set for yourself, both short-term and long-term?
I have had goals to pay off debt and have a $10,000 emergency fund. I have achieved these but then needed the emergency fund so I’m in the process of rebuilding it. I have a goal of a minimum $35,000 increase in compensation for my next role.
Truthfully I’m a bit of a fish out of water in our capitalist society. I’m very good at working with what I have and something about me loves to spend what I make. I love living generously and sharing what I have. I’ve accepted that retirement is very American dream and isn’t explicitly Biblical. I have accepted that I will work until the end of my days. As such, I prioritize my health and keep my stress as low as possible. I hope to find something I enjoy doing so I’ll be happy to keep doing it into my later years.
The Bible does say a lot about money, both about saving, earning, and giving to others. I catch myself saying that I’m bad at making money and I reframe this to say I’m learning how to make money. While I’m skilled and knowledgeable, I’m still learning how to deliver these skills and knowledge in a way that benefits others and I receive financial gain. I have a goal to improve my ability to make money.
Have you encountered any significant financial challenges or setbacks along the way? How did you overcome them?
I’ve lost my job three different times. I quit a job without anything else set up. I bought and sold crypto at the wrong time. I bought a used car that became a repair pit. I feel like I accepted jobs for too low of a salary throughout my career.
Therapy helped me stick with a difficult job and work through job-related stress/anxiety/issues. I gained experience and regained confidence. I regained salary losses from underemployment with $30,000 in raises in 2 years. See what mental health resources are available to you through your insurance company. My friend told me how she received mental health services for free through her Kaiser insurance and I had the same insurance. I’m very thankful she shared openly because I was able to stop paying for therapy out of pocket.
Run lean. Keep low fixed expenses. Slash variable expenses when unemployed. Apply for unemployment. Reach out to your network and network when unemployed. Don’t buy crypto.
What strategies do you use for saving money and building an emergency fund?
Nothing too special, just keep expenses and spend low while looking for better career opportunities.
Are you currently investing your money? If so, what types of investments do you prefer?
I’m not great at investing but I’m trying. I like VTSAX from Vanguard for my Roth IRA. I keep a minimal amount in my checking account and have a high yield interest account with Affirm.
How do you approach debt management and paying off loans or credit card balances?
Use cash and track your finances to avoid debt. Yet, sometimes those unexpected things happen like your 13-year car giving out when your landlord gives you notice that she’s pregnant and can’t rent you your room any longer.
I’m open about having had debt, paid it off, and having it again. Because I’m open about it, people tell me their stories. Based on how people act and talk, debt is not that common. Based on what I’ve heard, it’s pretty common. People often feel shame or embarrassment. They share this stops them from getting help to change or taking the first step to change.
Yes, it’s not ideal, but it doesn’t have to be your forever future. Face your debt, your spending, and your income. Make different choices. Stick close to people who seem to practice financial discipline and can enjoy hanging out without the bottomless mimosas, unlimited DoorDash, Uber rides, etc. Lastly, I utilize balance transfers so I can calculate a fixed interest rate (hopefully 3%).
What role does financial education play in your journey? Have you read any books or taken courses on personal finance?
Financial Peace University had a big impact on my journey. Also Money Matters by Dave Ramsey.
For travel, I read a lot of posts in the Facebook travel groups to learn more about what others had asked and others had shared about the countries to which I was visiting. I did a lot of research before making reservations.
Do you have any specific strategies for increasing your income or career advancement to support your financial goals?
I share my salary with other women. I had a co-worker who was paid more for the same role. I’ve been paid more than others with similar experience. This emboldened us to ask for more.
Document your responsibilities against the posted role for which you applied. Ask for increases in compensation where you took on additional responsibilities.
Loyalty is an important value but evaluate in whom your loyalty should be. Jobs can be like bad relationships. You can keep hoping the person you’re with sees and appreciates you or you can move on and be with someone who does so out of the box. I’ve seen co-workers laid off every quarter. Always be interviewing to keep your skills sharp and your resume in shape. Always be networking. Move on to another role if it furthers your opportunities to grow personally, relationally, and financially. Transition on with grace but don’t be afraid to give short notice.
What are some of your proudest financial achievements or milestones so far?
I’m proud that I completely paid off debt 2x. I have a Roth IRA and am positioning myself to start contributing to it again. While I accumulated debt last year because of difficulty finding a roommate and unexpected car expenses, I am on track to be debt free in 2024.
As a fully remote worker, I’ve dreamed about traveling while working. Usually I either have time/friends and friends/money but not money/time. My last roommate surprised me by giving a 30-days notice on our lease. I wasn’t finding a new place or roommate in time so I decided that this was the push to pursue my dream of traveling as a digital nomad!
I’m so proud that I took the leap and I had the time of my life. It was incredible. If you’re on the fence about traveling solo, reach out to me. There are challenges but I found it worth it and personally rewarding. For example, I was the very first person to reach the Garganta del Diablo (Devil’s Throat) at the Iguazu Falls in Puerto Iguazu, Argentina. I’m not the fastest walker out there but the faster walkers were traveling with a slower friend. Being by myself, I reached the edge 90 seconds before the crowd descended with their selfie poses in tow. I took in the moment by myself with the birds swirling in the mist and the roar of the waters. It was beautiful and worth every moment of challenge as a solo traveler. The video doesn’t do it justice. You’ll have to go for yourself ;)
While traveling, I set a budget of $1500 for housing. This came from the $1200 I paid in rent for a room in a 2BD1BA in Los Angeles and from location-related expenses that I canceled (AAA, car insurance, Amazon, Costco).
I created a spreadsheet to track my locations, transportation, housing, and cash flow. The plan included 23 accommodations. I ended up cutting the trip short so I stayed in 11. I wanted to make sure I didn’t forget about a connection/accommodation. When booking an Airbnb for 28+ days, Airbnb requires the 1st month upfront. When booking for 27 or fewer days, Airbnb will allow you to make partial payments. Some hotels require upfront payment, others do not. I tracked my cash flow to make sure that I had a realistic picture of my actual cash.
Travel Tips:
Many Airbnbs give a great discounted rate for monthly rentals.
I didn’t consider enough the cancellation policies, particularly for flights. I’m going to spend a bit more next time to make sure my travel is at least 80% refundable. I’m still glad I pre-booked my trip because this allowed me to stay in accommodations that I enjoyed and were within my budget. If I needed to go over in a costlier place, I made it up by staying someplace cheaper in another city.
Visit Argentina and before going, learn about the blue dollar rate.
I hope this situation changes for the Argentina people and that their economy strengthens.
In the meantime, be kind. Avoid celebrating publically online or in person what this could mean for you.
Practice lavish generosity in tipping and support the local economy.
Because of the exchange rate volatility, take out $200 USD at a time from Western Union (every 2 weeks or so depending on your budget). Ideally I wanted $300 every 2 weeks but increasingly the WUs didn’t have that many pesos on hand so then I’d have to go to 4-5 locations. More frequent, smaller trips are better.
Use the Western Union app when set to the same country on your VPN or it’ll flag a security alert on your account.
During my time in Argentina, I exchanged at 1 USD to the following pesos: 486, 535, 734.
I had gotten extra currency in September for when I planned to be in El Calafate in November because I had read it was more challenging to get currency there. The exchange rate recently hit 1040 in October and is now at 880. If I had waited, I could have gotten better rates or potentially worse rates. Because I had the currency and wasn’t going to go to Argentina, I exchanged it at a loss. I had joined lots of travel Facebook groups and it bothered me how obsessed some people were to capture the best rate when in reality, we as foreigners could still afford whatever we wanted which was becoming a challenge for the local people. In short, be kind, be generous, and don’t obsess over the swings.
I purchased NordVPN since I was working internationally on a work computer. This became an advantage when making flight or accommodation rentals. Different countries have different taxes. I was able to visit Rapa Nui by purchasing through LATAM Chile and not LATAM USA or LATAM Argentina. Conduct flight research online to determine which purchases will be best done online in Chilean pesos via credit card and which are best in Argentinian pesos.
As a general rule, it was best to purchase in cash in Argentinian pesos and next best credit card in Argentinian pesos whenever possible.
LATAM/Aerolineas Argentinas (airlines) and Buquebus (ferry) have brick-and-mortar locations. Purchase your flight to Argentina and go in person to buy your flights in cash in Argentinian pesos.
Check your suitcases for damage before leaving the airport. Take them to the respective airline counter before leaving. I didn’t do this and Aerolineas Argentinas still hasn’t engaged with my online claim.
NordVPN has an app on Amazon Fire Stick. Install it and connect to your accommodation’s Wi-Fi. Set the location to the United States. Then, make sure your mobile phone is connected to the same Wi-Fi and is set to the United States (same city). In this way I could watch Hulu. I bought my Fire Stick in Uruguay for USD$60 so I overpaid but sometimes that’s how it goes.
Life is full of ups and downs financially or otherwise. We gain and we lose. But at the end of the day, I came into this world with just myself and I will leave with just myself. I want to use my financial resources for good and I hope to have more resources so I can do more good. But I have friends who were my age, who ate better than I did, who exercised more than I did, and were in better shape than me. Unfortunately both got cancer. Both fought. Both died. We would have done anything to pay for the cancer to go away and for them to be restored to health. But cancer doesn’t take checks. Some things in life can’t be earned or bought. Financial health is important. Eliminating financial stress improves your whole person health. And when I get down on myself for not being as far in life as I want to be or feel like I should be, it helps me to remember that I can always earn more or spend less. And whatever I do earn, I don’t take it with me when I die. I’m glad for the trips I took to see my friends whether it was to Alaska or across Los Angeles to Mid-City. I actually got a second job so I could have enough money to go see my friend when she was living in Hawaii. I’m glad for the improvements in my financial situation and it was worth putting the work in. While I still have financial fitness to gain, I have other goals that aren’t financial and it’s been important to me to prioritize relationships and experience along the way. I’m glad we invested in each other and our friendships. I’m glad I traveled to South America while my knees are still good. I’m glad to share my journey and perspective. I hope that you are kind to yourself wherever you’re at in your goals and that today you take one step toward living in line with your values and your goals–financial or otherwise.