The lack of financial education is a big problem in the population. It also affects more certain sectors. Many of these problems are due to ignorance or improper use of services such as paying only the minimum on the card, borrowing without planning to pay for it, etc.
7 out of 10 people face issues in their personal finances. Like not arriving with your salary at the end of the fortnight or always staying in debt. These are some of the reasons.
Bad financial education
The lack of financial literacy is reflected in a bad economy or bad money management. This lack of education is because we do not have the tools or were not given to us at an early age. In addition to this, the institutions do not have clear information about their products and services, which makes understanding the subject more difficult.
On the other hand, this lack of understanding makes people easily fall into frauds such as the pyramids: the flower of abundance, family batches, or loans to people who are not registered and who probably end up taking all their savings. Etc.
Consuming without need, that is to buy objects only by immediate desire, is one of the biggest problems in the population. People seek to satisfy immediate desires without thinking about what consequences this brings in the future.
You should plan your purchases and allocate an exact amount of money, in addition to adjusting to that amount and not exceeding your economic limits. Living a life according to our salary is essential. You should also take care not to get carried away by advertising and do an internal analysis of the things you need and the things you only want.
Try to follow the tips to improve your financial problems.
Save and invest
We have mentioned it before, and it is the primary basis for building a good heritage and developing healthy finances. Save 10% of your salary and use this formula: Income – Savings = Expense.
Saving 10% is the basics. However, it is always advisable to save up to 25% of your salary. It would help if you had goals such as percentage for retirement, another percentage for possible vacations, etc. It is also necessary to discipline yourself when you have savings, give value to money. It is not enough to keep it, but we must grow our heritage. By this, we mean the investment.
You can rely on a financial advisor and, of course, research on the subject.
Learn about finance
Although in schools we do not receive education about personal finances, nor at home, as adults, we should be interested in learning from them since they will accompany us for the rest of our lives and depends on them the quality of life we want to lead.
If you have internet access, you can search for tutorials or an online book that you can download. Finance blogs always have useful guidance and advice for you.About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file, critical financial documents and back office tools in an efficient and secure environment. Complete Controller’s team of US based accounting professionals are certified QuickBooks™️ ProAdvisor’s providing bookkeeping, record storage, performance reporting and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay services. With flat rate service plans, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.