The Educator's PLN

The personal learning network for educators

8 Reasons Why Financial Education Is Your Best Bet

Many people get through life without a financial education. Managing our eventual income is not something we tend to learn about in school. But being financially aware is a life skill all of us should possess. Here are eight reasons why financial education is your best bet:

You Learn How to Budget
One of the basics of financial literacy is knowing how to budget. Assessing income against outgoings, understanding how much disposable income you have and where you can save money if needs be, is the foundation of all other financial decisions.

You Learn How to Grow your Money
When you have a solid understanding of your personal finances and the financial climate, you’re better placed to grow the money you already have. You could learn to trade and grow your money on the stock and foreign exchange markets. You could invest in property. Or you could buy bonds. Whichever investment option you choose, you’ll feel more confident about taking risks and working out where opportunities lie.

You Learn How to Save your Money
Saving your money is about so much more than putting it in a savings account. Banks offer different savings deals with good interest rates to attract new customers. When you understand a few financial basics you can shop around with confidence, finding the best savings accounts and moving your money when you need to.

You can Plan for Retirement Effectively
Many people bury their heads in the sand when it comes to their financial future. They think only in terms of the present, not what is going to happen decades down the line. But it’s important to think about retirement early on in your career. By learning about different pension plan options, you can make sure you have enough money to live comfortably later in life.

You Can Build an Emergency Fund
Living hand to mouth without the savings you’d need in case of an emergency can be worrying. When you’re financially aware you can look at your monthly budget and find places where savings can be made. That money can then be put away for a rainy day.

You’ll Avoid or Get Out of Debt
Being fully versed in interest rates, repayment plans and loan terms will help you make better decisions when it comes to your debts. You’ll be able to avoid lenders who charge exorbitant rates and find ways to pay off the debts you have in a manageable way.

Financial Advisors Don’t Always Have Your Best Interests at Heart
You may think there’s no need to gain a financial education. After all, there are experts out there who can do the job of managing your money for you. The sad truth is that financial advisors don’t always have your best interests at heart. They may get commission for pushing certain financial products or make their money as a percentage of how much you invest. It’s much better to manage your money yourself then you can be 100% confident of how and where it is being invested.

You’ll Feel Less Anxious About Your Finances
When we don’t understand something, it causes us anxiety. We know we should have a firmer grasp of our finances, now and for the future. But we just don’t understand the titbits of information we read. When you learn about financial planning – in a class, from a book or just from reading the financial pages of the newspaper – this anxiety will begin to lift. You can think about your finances without getting a knot in your stomach and you can plan your financial future with greater clarity.

Those who don’t seek out a financial education are missing out. They miss out on investment opportunities. They don’t plan adequately for the future. And they don’t make their money go that bit further day to day. Set out to learn about your finances little by little and you’re sure to feel much more confident about making financial decisions that benefit you in the present and the future too.

Views: 241

Comment

You need to be a member of The Educator's PLN to add comments!

Join The Educator's PLN

About

Thomas Whitby created this Ning Network.

Latest Activity

Julia Galkina updated their profile
4 hours ago
John Maker commented on Thomas Whitby's video
Thumbnail

Dan Pink on Motivation in Business.

"Great video! I also want to ask question about accounting for business. I read that modern companies prefer to hire remote accountants for tax filing and other work. Is it good variant? I have small business in Singapore and I want to try services…"
yesterday
Ruth Herman Wells posted an event

Portland OR Teacher Classroom Management Course at Courtyard by Marriott

October 8, 2020 to October 9, 2020
Management problems in the classroom ends here. This Teacher Classroom Management Course delivers hundreds of strategies for students who struggle with motivation, depression, work refusal, violence and more. Visit our website https://www.youthchg.com for more information, or via email (dwells@youthchg.com) or call toll-free to 1-800-545-5736See More
Nov 13
Kelly Leon posted blog posts
Nov 12
Kathy Huntley posted a blog post

Alcohol dependence

Alcohol dependence has become an epidemic in the 21st century. According to the National Institute on Alcohol Abuse and Alcoholism, 2.45 % of men and 5.78% of women consume alcohol daily. Every year, alcohol misuse causes the deaths of 2.5 million people. The problem of alcoholism is getting commonsense, and that is scary. Almost everyone has an experience of dealing with people who suffer from alcohol misuse. The following research will show signs of the addiction and methods of its treatment…See More
Nov 9
Profile IconRachelle Fender, Kelly Leon, Rosie Del Tejo Williamson and 7 more joined The Educator's PLN
Nov 9
Thomas Whitby's 2 videos were featured
Nov 9
Thomas Whitby posted videos
Nov 9

© 2019   Created by Thomas Whitby.   Powered by

Badges  |  Report an Issue  |  Terms of Service