Managing money 101.1 / Financial Education.
Financial Education
Introduction.
We live in a debt-based society. Debt sustains the entire financial system. It’s built on debt – debt carried by people who have jobs. What that means for the average person who has been brought up to work hard, be fair and honest, do their best, and follow the rules is .... they must work increasingly harder just to stay in the same place. When you hear people say “Why is everyone working so much harder these days” – that’s why. Tell them. Help them start to look at things differently, and find freedom.
Our debt-based society and what it does to working people is just one of the many very good reasons why I strongly recommend that you kill your debt.
One thing that suffers when people are too busy, is their own financial organization. There just isn’t the time to spend planning and improving one’s own situation. And yet few things are as important. So I hope this course will help.
Reading 1.
Organizing your finances will help you make better decisions about where your money goes. When you analyze it you will be amazed at the waste that happens simply because of a lack of tracking and organizing.
?It’s not that we’re blowing the money on extravagant living – it’s that it leaks out like water from a rusty bucket. So you could see your planning and organization as the bucket that carries your money. If the bucket is in good condition, the money will not leak out.
If the bucket is not maintained, repaired, and cared for, you will have leaks. The longer the neglect, the bigger the leaks.
?You don’t need a huge bucket! You just need a bucket that’s in good shape.
It is commonly thought – (and common thoughts are seldom examined) – that to have more money you need a salary increase. But that’s not true.
The bigger the bucket, the bigger the leaks and the more of them, if the bucket is not cared for.
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Many people simply raise their standard of living, buy a bigger car, a bigger house, etc. This does not solve the problem, it just makes it bigger. (Bigger debts, more vulnerability, more dependence on a job.)
?The tendency, amongst people who have not educated themselves about true wealth, is if they have more money they just lose more.
That’s why I say, one of the main problems about making money is that your chances of losing it increases dramatically. The more money you have, the more you have to lose. And correspondingly, more care and maintenance are required for your bucket.
?What is maintenance when it comes to your money bucket (your money strategy and care)?
It’s planning. Budgeting. Some discipline. Some creative changes to your lifestyle.
?As I said, the unexamined financial situation is a leaky one. Often money is being lost for no good reason. You’re not even enjoying it or blowing it – it’s just leaking out without doing you any good. You can plug some leaks just by knowing about them and making a few changes.
And the first step – getting started – is the hardest. After that, it gets much easier, and even becomes fun!
Your assignment:
For more information on the Wealth Creators method;