Steps to Learning Personal Finance

Few have the privilege of receiving a financial education as they grow up, and yet it is one of the essential elements of financial success. If this topic is new to you or you are looking to increase your knowledge, here are 5 easy steps to get the information you need:

Talk to people you admire finance.

When you start to learn about financial topics such as expenses, savings, credit, debt, investments and retirement strategies, share what you know by talking with someone you admire in the financial field, there are usually people who talk a lot about money, but the Most of the financial notions of friends and acquaintances are wrong. 

Instead, share your ideas with mentors and other successful entrepreneurs in their financial lives. Ask them about their failures and successes, we can avoid many mistakes if we learn from the experience of others. Keep in mind, of course, that for many, talking about money is still a sensitive topic, so start small and go deeper. Be respectful of what others share with you and always appreciate their advice.

Hire a professional advisor

  • You have little or no experience in financial planning
  • You don’t have an unbiased opinion
  • You have a complex financial situation
  • You don’t have time to do it.

To learn about personal finance spend at least 20 minutes

Understanding the world of finance in one afternoon is impossible, so take it easy, start your financial education in small pieces. 

20 minutes a week, in addition to your money appointment, should be enough to read articles or books on personal finance related topics. You can choose a weekly topic and read about it until you fully understand it.

Schedule weekly money appointments

According to researcher Thomas Stanley, millionaires spend an average of 8.4 hours a month planning and managing their finances and although many people yearn to be millionaires, they do not use the time and energy necessary to make it happen. Avoid making that mistake and invest your time. Set a recurring event on your schedule to dedicate at least one hour a week to your money date. 

You must update, during this hour, your budget, pay bills, review future expenses, review account statements and control any other financial matter. Make sure that these dates are entertaining and enjoyable, put music, dance, light candles or whatever makes that moment more fun.

Try the strategies in your own life

The best way to learn whether or not an idea will work is by testing it. This is also applicable in your personal finances, remember that some strategies work better for some than for others.

You acquire essential financial notions to undertake

When starting an entrepreneurship project, one of the biggest challenges that entrepreneurs face is the financial management aspect, both at the beginning to get the capital necessary to start the project, and once the The project is already in operation for the management of economic resources, so it is necessary to have knowledge of financial management so that the company or business can function properly.