10 Money Lessons We Learned from "Friends"

This article was originally published on 1/21/2015. It was updated on 12/27/2019.

First—don’t panic! We found out that Friends is leaving Netflix because it lost a bidding war to HBO Max (so you can still watch all 236 episodes on a streaming service!).

It’s been 25 years since Friends first premiered on television, and although much has changed since then, the classic sitcom includes many money lessons we can all benefit from.

via Complex

10 Money Lessons We Learned from '“Friends”

via IMDB

1. The One Where Monica Gets a Roommate

Learning About Your Money Habits

After Rachel left Barry, she had no job, no money and no experience managing her spending. She honorably made a commitment to downsizing her lifestyle and refused to live off her parent’s money but knew she couldn’t control her spending if she had all of her credit cards.

If you find yourself in a similar situation, either cut the cards completely or find a credit card with rewards points and a low-interest rate. If you still have cards to pay off, consider a balance transfer credit card with a better interest rate as well.

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2. 'The One with George Stephanopoulos’

Knowing the Ins and Outs of Your Paycheck

We've all had a “Rachel” moment when we received our first paycheck. First comes denial: “Why does FICA get all of my money?!” Once the astonishment, depression, and bargaining subside, you finally accept this is the way it is.

Many experts suggest having additional taxes withheld from your paycheck to maximize your tax return. This comes with pros and cons-the biggest pro being that it will help keep monthly spending down, but the biggest con being that you might be tempted to spend your entire return.

Via potterwars

3. 'The One with the Fake Monica'

All About Credit Card Fraud

In this episode, Monica finds out someone stole her credit card and has been using it. When Monica receives her statement, she sees unknown charges on it and figures out someone has been pretending to be her. If your identity is stolen, you probably won’t go find the person committing this crime and you certainly won’t take a tap dance lesson with them.

Monica didn’t have the luxury of speedy online banking when her identity was compromised, but now we have Credit Card Alerts. If any type of suspicious activity is found you can opt to receive texts and/or calls/email notifications.

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4. 'The One with Five Steaks and an Eggplant'

Keeping Up with Your Friends Financially

Do you remember the one where Rachel, Joey, and Phoebe couldn’t afford to keep up financially with Ross, Monica and Chandler?

It can be awkward to have that conversation with yourself, and even more uncomfortable to discuss it with others, but you can’t reach financial freedom by trying to keep up with those in a different place financially. Your friends will understand. Start the conversation and commit to a better plan.

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5. 'The One with the Stoned Guy'

Finding the Right Career (That Also Pays the Bills)

We find out that Chandler works as a data processor supervisor, but hates his job. He quits after being offered a promotion, has no other job prospects, then is rehired by his previous employer after they offer a larger salary. He doesn’t quit this job for good until much later in the show (about 8 seasons later).

One of the challenges he faces in this episode is that he invested five years in this company as a young adult and when you’re young, it’s easy to get caught in a career that you’re not completely passionate about, especially if the pay and benefits are good.

The money moral of the story: We want you to be able to follow your dreams, and saving money in case of an unexpected circumstance may be part of the plan. Because how many of us could really afford to quit our jobs tomorrow?

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6. 'The One Where Eddie Won’t Go'

Living Within Your Means

We were all proud of Joey when he landed his first major acting gig as Dr. Drake Ramoray on Days of Our Lives.

But, he overestimated his financial stability when he leased a new apartment and decked it out with new furnishings. Joey ended up selling the expensive items he bought and moving out.

The money morals of the story: Know when/how you’ll be paid regardless of the type of career you have to ensure financial stability and if you geta raise, consider increasing your savings and maintaining your current lifestyle. Splurge every once in a while, just not all at once.

Via SavetheStudent

7. 'The One with the Ballroom Dancing'

Making Changes to Your Budget

When Chandler mentions he’s been paying for a gym membership but doesn’t actually go to the gym, Chandler takes Ross with him to cancel his membership in person. Unfortunately, that plan doesn’t work and Ross also signs up for a gym membership.

Even though this episode ends in a less-than-ideal way, it’s still a great money lesson of quitting the subscriptions or memberships you no longer use.

8. 'The One with the B**b Job’

About Loaning Friends Money

After Chandler leaves his data processing job, he takes an unpaid internship, which leads to some financial hardship between him and Monica. In an attempt to keep their funds flowing, Monica and Chandler both ask Joey for a loan without the other one knowing.

As Joey decides to loan Monica money and Chandler sees the exchange, Joey has to make up the reason he loans her the money.

This is a great money cautionary tale for loaning friends money: you might never be repaid and it could potentially have negative effects on the friendship. Who knows, if Monica and Chandler had taken out a personal loan, this episode might have never existed.

via TBS

9. 'The One with the Cat'

Making Financial Decisions with a Partner

In this episode, Joey builds an entertainment unit. His roommate, Chandler, wants to get rid of it. So instead of throwing it out, Chandler suggests selling the unit and accept, “ludicrously low offers”, at one point being offered a canoe for it. Joey refuses it, despite wanting to accept the trade.

While this story evolves into a robbery and the fateful canoe returning, there’s a good money lesson here. It’s important to talk about money with anyone you share household expenses with, whether it’s a roommate/friend, family member, or spouse.

via Movie Land

10. 'The One with the Bullies’

Learning How to Diversify Your Money

This episode happens after Monica is let go from her previous job and down to the last of her savings. In order to avoid taking on the slightly more embarrassing job at a cheesy ‘50s style diner, she decides to invest her money in the stock market (which she knows nothing about).

Things go south and she loses all her money, which forces her to take the diner job.

The money lesson? It’s not a bad idea to consider diversifying your money into different types of accounts, but it’s a better idea to do some research first. If you’re looking to make long-term money goals, speaking with a financial advisor can set you on a path for future financial success.

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Remember, your friends will always be there for you.

Life rarely turns out the way we plan, but your true friends will always cheer you on. One relationship worth cultivating is with your financial institution.

Make sure they’re your BFF-your best financial friend. If your hard-earned money is paying for stockholder dividends and derivatives instead of investing locally, it might be time to make the switch to a member-owned credit union. We’ll be there for you when you need us.

via Giphy