Money Stories: Sophie Ella Abernethy

Sophie Ella Abernethy is a Model, Pilates Instructor and freelance Marketing & Communication Specialist. I first met Sophie when she joined my Financially Fit and Fabulous Bootcamp in June of this year. This beach-loving, fitness queen is as kind as she is gorgeous. If you happen to follow her instagram you’ll also know she is a bit of a domestic goddess in the kitchen too. Sophie and her partner, Geoff, have just announced they will become parents in 2021. I caught up with Sophie recently to chat about her money story and how she’s financially preparing to become a parent. I hope you enjoy reading Sophie’s story as much as I enjoyed chatting to her!

What’s one of your earliest money memories?

When I was around the age of Year 1 or Year 2, I had an annoying sleep habit that I’m sure most young kids go through where I’d wake in the middle of the night and go into my parents room. Mum being the creative she is, got her craft on and drew up a beautiful big poster of a calendar for the night’s of the week and stuck it right above my bed where I could see it. It was a fortnight til the school fate, and she created a fortnight on the chart. Every night that I woke, but went back to sleep in my own bed, I would get a gold star on the chart. And for every gold star I got a gold coin out of Dad’s coin jar to spend at the fate. It worked very well, proving from a young age that I’ve always been motivated by monetary reward haha.

How would you describe your relationship with money?

I would say I have a healthy relationship with money. I was lucky to grow up in a comfortable family environment where money was never an issue – we were never without. Like some teens, I probably took money for granted initially. My Dad was a softy and would pay uni parking fines and little things like that.. always giving my brother and I pocket money for the weekend. So probably the rudest awakening was moving out of home, and interstate into my first share house and realising it was completely up to me to fund the kind of life I wanted to live… no more handouts! In saying that though, by going freelance I learned very quickly that savings equals security, and from that point I’ve been the classic saver and relatively cautious with my money. 

In case Mum reads this I better also admit Dad stillllll pays my phone bill. I’m milking it while I can. Maybe when I turn 30 I’ll start paying it…

If you could turn back time, what would you tell your younger self about money?

Losing sleep over money worries is not worth it! Build up that rainy day fund early and work hard at keeping it healthy. It will save you mental stress! Money = freedom and security. The best feelings in life!

You joined my Financially Fit & Fabulous Bootcamp earlier this year. What motivated you to do that and what did you take away from it?

Yes I did! ..and loved it by the way. Oh gosh, I learnt all of the things. What probably stuck with me the most was learning about Super and the power of compounding interest. I literally went and made a $10k personal contribution (from my vacay savings) straight into my Super after your course, because learning about how that will grow over the next 40 years was THAT impactful. 

You’re self employed and have various sources of income. What have you done differently or learned since becoming self employed?

Ahhh yes I am. Self employment brings me many joys. Tax time is NOT one of them. I have multiple income streams: I model through a modelling agency, am employed part time in a social media role and recently became a Pilates instructor (all of which pay my Super and tax on my behalf). However the majority of my income is direct through my personal ABN, which means I have to keep track of my tax and pay quarterly instalments. Plus my own personal Super contributions to keep that growing.

My biggest (recent) learning since becoming self employed has been the importance of keeping track of the tax I owe, literally the second it lands in my account. The best thing I’ve done is set up a “Tax” account. As soon as an invoice payment hits my account, I transfer the percentage straight into my “Tax” account so I can’t touch it. 

You've just announced that you and Geoff are starting a family - congratulations! How are you financially preparing for your new arrival?

Thank you so much. It’s a very exciting time, but I’ll be honest not quite the plan we had in mind. I’d love to tell you we’re fully prepared with a financial plan but the truth is, we’re not. We’d always planned to get married and do lots of travel this year, so we’re lucky we have that money set aside now that COVID and mother nature had other things in mind!

Geoff and I are both good savers, and I think we’re both confident in that so haven’t done too much planning. Although a baby budget is on our list and I’m texting Geoff as we speak to set that up (he loves Excel!). The biggest eye opener has been the expenses that come with pregnancy. We’ve been pretty blind sighted by the cost of everything (scans, obstetrician appointments etc etc). I definitely think twice now about buying a new dress for the weekend or splurging on shoes.

How do the two of you come together as a financial team?

We actually maintain quite a lot of financial independence as a couple. We manage our own finances and only have one joint account for everything house, bills, life admin related. I’m sure that will change with marriage and children but for now it just works. I think at the heart of it is trust. We both trust that the other is coming equally to the table. 

I have some solid trust in Geoff as my financial partner and I’d like to think he feels the same.

What’s your favourite thing to splurge money on?

Travel! I love making memories.

Good food and wine. Going out to new restaurants and bars is something I’ll never tire of and something I’m so comfortable splurging money on. Let’s not talk about my love for icy Tommy’s Margs. Those are worth every cent.

Tell me about your proudest money moment?

I’m really proud of the number I have sitting in my term deposit account I’ve work so hard to reach. Every time I open my bank account I feel proud of myself! It’s a little personal win I keep all to myself.

If you won $100,000 tomorrow, what would you do with the money??

Ohhh hard one now that I have a baby on the way… I can’t say an all expenses paid trip to Ibiza with my best girlfriends can I!?

I’d probably splurge $20K on a luxe family holiday.. somewhere bub appropriate.. let’s go with Hawaii? Or Fiji? Somewhere with Island nannies. Then I’d put $80K towards our next home – our family home I’m so excited to someday be able to afford.

If you want to learn more about Sophie or perhaps hire her and her bump for some branding work you can find her on Instagram @sophie_ella _abernethy or contact her via Wink Models, The Right Fit or Bump Models.

This Interview was originally published on the 29th November 2020