Personal
finance is like caviar for most people. Some like it the first time they taste
it. Some hate it forever due to a bad experience, leaving a bitter taste in
their mouth. But unlike caviar, personal finance is necessary. Many people find
personal finance troubling because they believe these three silly myths you
might find hilarious yourself.
Finance Are Huge Buildings And The Market
Personal
finance isn't the New York Stock Exchange or having to walk into an insurer's
building to inquire about your possible financial future. Finance isn't even
these things too.
Finance
is all about you and your wallet. It is about handling your personal finances
and your unique situation where you have a positive and disciplined attitude
towards your money.
Lots of Maths
No,
personal finance does not involve any sort of complicated mathematics. Some
perceive that you have to be a grade A theoretical mathematics expert to be
good at personal finance.
To
be honest, all you need is just the basic knowledge and equation of your
interest growth. You may find online calculators for these. But for everything
else, it's all about adding and subtracting, and knowing how much you can spend
per period.
Jargons And Investing
Investing
can be an integral part of personal finance. However, it isn't always
necessary. Investments guarantee that your money continues to grow passively as
you grow older. Once you have created a budget, investments come in second.
Some
perceive that in order to invest, you need to understand the lingo of personal
finance, which isn't exactly true. You do know the basic terms, as these are
often explained when you're about to take on an investment or insurance policy.
But
here's a bit of a clue; the simpler the terms used in your financial contract
for a product, the better that product truly is.
