Why many people have bad habits with money. In a way I’ll advise on the basis of techniques or tools that I gave good results. The idea is that you begin to choose among those options that best suit your needs and even create your own financial plan.
Why have financial problems?
Not to the point of talking at the level of the national economy, but rather trying to take as the axis focus to the subject or the person holding the money, we can say that A or key facto in this process is you. Robert Kiosk mentioned in many of his books that people are accustomed to bad money management. At this point I strongly agree with him. But the key question is: What factors contribute to our financial ignorance?
The answer is simple: financial education they gave us.
Until today I have not seen in schools and universities to touch issues about money management and personal finance. No topics such as taxes, banking. Issues that we deal with almost 80% of our lives. In other words, they are forgetting an important education 80%.
Taking the study only the school, I can assure you that you will end up being a total ignorant about financial matters. That is why many people have problems in their personal finance education were 0% at this point. He never spoke to invest, to control the money, to make a personal budget, a financial plan, etc. It seems that these issues do not matter, but to be living in highly managed companies for money, where money is taken as synonymous with survival, learn to handle these issues is very important. Even many people react badly when one wants to give advice or help on this point.
Imagine if when his parents gave him money or allowance, you would have saved even 10% of that money. Perhaps today you have some money to invest or to learn how. I remember that year I gathered between $ 50 and $ 100. I will assume that gathered $ 50 per year and I started saving at age 7, arriving at 18, would in my savings totaling $ 550. I know it’s not much money, but at 18 years and to make a tiny investment is perfect.
On the other hand live in a society where spending money is important. Today there is so much consumption, which are not part of it (talking about important objects) would be like being on another planet. In a consumer society becomes very difficult not to fall into the temptation to spend on something, or talk to the publicity that comes into our heads and we tinker with all cables. You end up buying 15 phones per year always saying “that’s just the cell phone that I needed.”
Another important factor in the family, the subject of which I spoke but to summarize a bit, our home education can not always be the best. For example, I come from a family that has had many money problems; trying to help at this point many answers were negative. Even when I talk about investing or generate new revenue some members oppose and tell me what I have to do really. My question here is: What advice can you give a person money management, when that person has such financial problems? However, that education and financial advice passed down from generation to generic creating the illusion that is part of our tradition. The study, work and earn money. The investment for them is impossible, in fact the word “investment” in their heads do not have a specific meaning, because it is a topic that does not speak much.
So the key factor of our financial problems is the financial education they gave us. And the only remedy is a re-education financial.
How to re-educate me financially?
At this point you are doing, decided to enter this bog, read it every now and then, and apply some concepts or ideas. Obviously this bog is only 1% of what you need to re-educate. For this reason I decided to create this post and deal mainly with the issue of lack of money, or money to burn. Precisely for that reason is that they say “Sir / Madam, invest in this, it is best to make money.” The idea is that you acquire this education on their own and do not be a robot and follow the advice of someone who could get wrong.